Vaisala Oyj Revised Earnings Guidance for the Year Ended December 31, 2013; Expects to Report One-Time Impairment Charge to Controlled Environment Business Area's Operating Profit for the Year 2013
January 20, 2014 at 07:56 am
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Based on the preliminary financial information regarding Vaisala's financial statements for 2013, Vaisala estimates that for the full year 2013 its operating profit will be EUR 17 million to EUR 19 million and its net sales EUR 270 million to EUR 275 million. Previously, the company estimated its full year net sales to be in the range of EUR 270 million to EUR 286 million and the operating profit (EBIT) in the range of EUR 20 million to EUR 30 million. The company's net sales will decrease as compared to 2012 and thus have a negative impact on the operating profit.
In addition, the company will recognize a one-time impairment charge of EUR 4.3 million to controlled environment business area's operating profit. The related goodwill and intangible assets originated from the acquisitions of Veriteq Instruments Inc. in 2010. This impairment charge is mainly due to delayed Life Science business growth as markets in all geographic areas have not developed according to expectations. After the impairment charge, the carrying amount of goodwill and intangible assets for Controlled Environment business area is EUR 0.00.
Vaisala Oyj is a Finland-based company engaged in the development, manufacture and marketing of observation and measurement products and services for meteorology, weather critical operations and controlled environments. The Companyâs operations are divided into two business areas. The Weather and Environment operating segment is a provider of measurement technology for weather-dependent markets and customers, such as meteorological institutes, road and rail operators, airport operators, defense forces, energy and maritime industries. The Industrial Measurements segment offers products and services to industrial customers and research institutions that operate in controlled environments and require precise measurements. The Company operates worldwide through its subsidiaries, branches and sales offices.
Vaisala Oyj Revised Earnings Guidance for the Year Ended December 31, 2013; Expects to Report One-Time Impairment Charge to Controlled Environment Business Area's Operating Profit for the Year 2013