UMS United Medical Systems International AG i.L.
UMS United Medical Systems International AG Announces Preliminary Results for Fiscal Year 2005
Ad hoc announcement transmitted by DGAP – a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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Adhoc-Message
UMS AG Announces Preliminary Results for Fiscal Year 2005
Sale of the English Subsidiary and Write-Down of the Commitment in Europe
Hamburg, March 2, 2006. Today UMS United Medical Systems International AG
(UMS) has sold the assets of UMS United Medical Systems Ltd. (UMS UK) to an
English competitor. The agreement provides for the acquisition of all the
company’s employees and assets and all the leasing obligations related to
the assets. The sale results in a one-time charge of approximately €0.4
million for fiscal 2005. With this transaction, UMS is again divesting
itself of an investment that had recently fallen significantly behind the
original expectations. With a loss of around €0.3 million, UMS UK
contributed approximately €1.3 million to consolidated revenue last year.
This sale is an additional step towards concentrating on profitable regions
and lines of business.
With regard to the remaining activities in Europe — particularly in Germany
— the Management Board has decided, with effect as of December 31, 2005, to
write down certain assets on the balance sheet. This involves not only a
write-down of goodwill in the amount of approximately €7.7 million, but
also the elimination of deferred tax assets in the amount of approximately
€ 1.2 million and an adjustment to intangible assets by €1.0 million. Other
one-time book losses in the amount of €1.0 million are attributable to
various other measures.
Following these one-time non-cash effects and prior to minority interests
of €2.9 million the preliminary consolidated loss for 2005 is €6.7 million
(last year: € – 0.6 million). As expected after the sale of two
subsidiaries, the preliminary consolidated revenue stands at €56.5 million
(last year: €58.5 million). Following the write-downs mentioned above and
the one-time income from the sale of Pet Scans of America Corp, EBIT
amounts to €1.5 million and is therefore not directly comparable with the
prior year’s number of €2.6 million.
The comprehensive sales of parts of companies and the restructurings
resulted in a clear reduction of the liabilities of the UMS Group in the
past fiscal year. These liabilities amounted to €22.1 million in 2005, as
opposed to €37.4 million in the previous year. In addition, the liabilities
under operating leases of €13.2 million at December 31, 2004 were almost
completely eliminated, having been reduced to around €1.0 million as of
December 31, 2005. At the same time, the UMS Group’s cash and cash
equivalents of €2.8 million at the end of fiscal year 2004 increased to
€7.6 million as of December 31, 2005. These figures show that the Group’s
indebtedness and cash position have significantly improved in comparison
with the prior year.
The write-downs as of December 31, 2005 are further steps on the road
towards consolidation, as established by the Management Board. They will
allow the company to do business beginning in fiscal 2006 without the
burdens of the structural problems of the past. This Company’s earnings
will reflect this in the short term. The Management Board is convinced that
a clear focus on the highly profitable, high-growth business in the United
States is in the shareholders’ best interest because it is the only way to
demonstrate and increase the UMS Group’s actual earnings potential.
Analysts have estimated our earnings per share for fiscal 2006 at €0.55,
and the Management Board considers this estimate reasonable. However,
because of the one-time charge on earnings, it will not be possible to
distribute a dividend for fiscal 2005.
The final audited numbers will now be published on April 4, 2006
The Company in Brief
UMS International AG offers innovative healthcare concepts in the growth
segment of high-tech medicine. UMS pioneered the mobile use of med-tech
systems around the world, and markets full-service solutions for hospitals
and physicians. The Company’s forward looking concepts include complete
service for the customer, from system management through provision of
application specialists to operation of diagnostic and therapy centres.
After this transaction the UMS Group employs a staff of around 225, and
serves about 1,000 customers worldwide.
The Executive Board
Contact: Bernd Humke, Fon (040) 500 177-0, Fax: (040) 500 177-77, E-Mail:
investor@umsag.com
(c)DGAP 02.03.2006
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language: English
emitter: UMS United Medical Systems International AG
Borsteler Chaussee 43
22453 Hamburg Deutschland
phone: +49 (0)40 – 500 177 –
fax: +49 (0)40 – 500 177 –
email: investor@umsag.com
WWW: www.umsag.com
ISIN: DE0005493654
WKN: 549365
indexes:
stockmarkets: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin-Bremen, Hannover, Düsseldorf, Hamburg, München,
Stuttgart
End of News DGAP News-Service
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