The Company’s consolidated results for the year ended 31 December 2012 were unfavorably impacted by the abovementioned Euro 0.2 million impairment expense, by the Euro 0.1 million expense corresponding to the estimated effect of the completion of the liquidation process of the Company’s Indian subsidiary which was recorded in the quarter ended 30 September 2012, and by the decrease in the amount reported under the caption Other operating income from Euro 0.2 million in the year ended 31 December 2011 to nil in the year ended 31 December 2012.
Cash position and cash flow analysis
The Company had no outstanding debt and a cash position of Euro 2.3 million as at 31 December 2012, compared with a net cash position of Euro 2.3 million as at 31 December 2011 and Euro 1.6 million as at 30 September 2012, respectively.
Cash flows provided by the Company’s operations amounted to Euro 1.7 million in the year ended 31 December 2012 (compared with Euro 1.8 million in the year ended 31 December 2011), allowing the Company to finance its operating requirements and its capital expenditures during 2012.
Detailed discussion of the Company’s financial performance
A detailed discussion of the Company’s financial performance during the quarter and the year ended 31 December 2012, including a comparison with the previous financial year’s comparative periods, is set out in note 2 to the condensed management report of the Company’s Board of Directors for the quarter and the year ended 31 December 2012, which is attached to this press release, together with the condensed consolidated financial statements for the same periods.
Auditors’ reports on the 2012 statutory and consolidated financial statements
The attached condensed consolidated financial statements and selected explanatory notes, which were drafted by the Company’s Board of Directors on 12 February 2013, have been reviewed by the Company’s auditors, and are therefore final.
The Company’s auditors still have additional audit procedures to perform, notably on the Company’s statutory financial statements, the full version of the notes attached to the Company’s consolidated financial statements, as well as on the reports relating to the year ended 31 December 2012 which have to be drafted by the Company’s Board of Directors in accordance with applicable legal and regulatory provisions.
As in previous years, the reports of the Company’s auditors on the 2012 statutory and consolidated financial statements will be included in the Company’s annual financial report for the year ended 31 December 2012, which is expected to be released in April 2013.
Gary Fry, Global Graphics’ CEO commented, “2012 saw major releases of our Harlequin® and Jaws RIP technologies as well as uptake of our patent-pending gDoc Platform by our channel partners.
“We released version 3 of our Harlequin “Digital” RIP – the Harlequin Host Renderer – in March, ahead of the drupa trade show, during which we announced the results of independent speed tests on the RIP. These showed that Harlequin is so powerful that it benefits press manufacturers by reducing their bill of materials for the Digital Front Ends that drive their presses. Hard on the heels of drupa we announced that TKS in Japan had selected this technology to drive their new inkjet newspaper press.
“The launch of Jaws 3 in September was warmly welcomed by customers such as Wasatch and Onyx who have integrated this new software release into their solutions for wide-format specialty printing applications, such as printing on textiles or sports equipment.
“Adoption of the gDoc Platform by our channel partners gained steady traction during 2012 and by year-end, three partners were proposing new solutions based on this technology, amongst them LexisNexis with Lexis Binder, aimed at the professional services market.”
First quarter 2013 results announcement
Global Graphics expects to announce its consolidated results for the quarter ending 31 March 2013 on Friday 26 April 2013 before market opening.