1. Description of the organization of the issuer’s capital group with indicated entities subject to consolidation 3
1.1. Make-up of Apator Group as at 30th September 2013 3
1.2. The entities subject to consolidation as at 30th September 2013 3
1.3. Business activity of Apator Group 4
2. Employment in Apator Group 5
3. Shareholders of parent entity 6
3.1. Share capital 6
3.2. Possession and changes in the ownership structure of important shareholders 6
4. Financial part of quarterly statement 7
4.1. Selected financial data with essential items of condensed financial statement (also translated into Eur) presenting accumulated data for all quarters of current and previous financial year. 7
4.2. Consolidated financial statement of Apator Group 9
4.2.1. Consolidated financial statement of financial position 9
4.2.2. Information concerning the changes in contingent liabilities or contingent assets that have occurred since the end of the recent financial year (off balance sheet items) of Apator Group 11
4.2.3. Consolidated financial statement of comprehensive income 12
4.2.4. Consolidated financial statement of changes in equity 14
4.2.5. Consolidated cash flow account 16
4.2.6. Consolidated financial statement according to operating segments 17
4.2.7. Geographical information 18
4.3. Separated financial statement of Apator SA 19
4.3.1. Financial statement on financial position of parent entity – Apator SA 19
4.3.2. Information on amendments to contingent liabilities or contingent assets that have occurred since the end of the recent financial year (off-balance sheet items) of parent entity - Apator SA. 21
4.3.3. Financial statement of comprehensive income of parent entity - Apator SA 22
4.3.4. Financial statement of changes in equity of parent entity - Apator SA 24
4.3.5. Cash flow account of parent entity - Apator SA 25
5. Information on principles adopted during preparation of financial statement especially the information on changes being applied in accounting principles 26
5.1. Accounting principles 26
5.2. Consolidation principles 26
6. Additional financial information 27
6.1. Weighted average number of shares 27
6.1.1. Weighted average number of shares to seperated financial statement 27
6.1.2. Weighted average number of shares for consolidated financial statement 27
6.2. EUR exchange rates used for the calculation of selected financial data 27
6.3.1. Consolidated financial statement 27
6.3.2. Separated financial statement 30
6.4. Amendments to accounting principles 32
7. Factors and events, particularly of special nature, having the impact on financial results achieved by Apator Group in three quarters 2013. 33
8. Analysis of financial results achieved. 33
8.1. Explanation of seasonal nature of sale 33
8.2. Analysis of revenueson sale 33
8.3. The analysis of comprehensive income account for three quarters 2013 34
8.4. Analysis of comprehensive income account in the third quarter 2013 35
8.5. Analysis of financial position 36
9. Foreign trade balance, hedging transactions 37
10. The effects of changes in the structure of entity including merger, take over or sale of entities of capital group of the issuer, long-term investments, division,restructing and discontinued activity 37
11. Condensed description of significant achievements or failures of the issuer with the list of the most important events in the period of three quarters 2013 39
12. Events that occurred after 30th September 2013 i.e. after the day of preparation of quarterly condesend financial statement. 40
13. The forecast of financial results of Apator Group for 2013 40
14. Proceedings before the court, the appropriate body for arbitration or public authority. 41
15. Information on conclusion by the issuer or subsidiary single or several transactions with related entities in single or in total which are significant and they were concluded on other than market conditions. 41
16. Information concerning the issue, buyout and repayment of non share related and capital securities. 42
17. Dividend 42
18. Loans and borrowings 42
18.1. Information on guarantee on loan, borrowing or guarantee granted by the issuer or subsidiary 42
18.2. Loans and borrowings of subsidiaries of Apator Group 43
18.3. Information on borrowings granted 43
19. Other significant information for the assessment of personnel, property and financial situation, financial result and their changes and information for the assessment of possibilities of the issuer to perform its obligations 44
20. Factors that in opinion of the Executive Board of Apator S.A. will have the impact on future results ( in the prospective at least one quarter) 44
Preparation of strategy for 2014 – 2019 45
Activity continued of Apator SA in economic zone 45
1. Description of the organization of the issuer’s capital group with indicated entities subject to consolidation
1.1. Make-up of Apator Group as at 30th September 2013
The parent entity in Apator Group is Apator SA, that is the owner of 100% share capital of 6 entities: Apator Metrix SA, Apator Powogaz SA, FAP Pafal SA, Apator Mining Sp. z o.o , Apator Control Sp. z o.o., Apator GmbH and co-owner of 2 entities: Apator Rector Sp. z o.o. (70%) and OOO Apator Elektro (50%).
Moreover:
§ Apator Powogaz SA is the owner of:
-100 % of capital of Apator Metra s.r.o. ,
- 61, 60% of capital of Apator Telemetria sp. z o. o. ,
- 61% of capital of TOV Apator Metroteks,
- 50% of capital of ZAO Teplovodomer,
§ Apator Metrix SA is the owner of 50% of shares of George Wilson Industries Ltd.
§ George Wilson Industries Ltd. is the owner of 35% of capital of INDA d.o.o.
1.2. The entities subject to consolidation as at 30th September 2013
- Parent entity: Apator SA,
- subsidiaries (directly and indirectly) consolidated by full method:
Firm / Headquarters / Share in capital / RelRelationships with Apator SA /Apator Mining Sp. z o. o. / Katowice / 100,00% / Subsidiary of Apator SA
Apator Control Sp. z o. o. / Toruń / 100,00% / Subsidiary of Apator S.A.
Apator Metrix SA / Tczew / 100,00% / Subsidiary of Apator S.A.
FAP Pafal SA / Świdnica / 100,00% / Subsidiary of Apator S.A.
Apator Rector Sp. z o. o. / Zielona Góra / 70,00% / Subsidiary of Apator S.A.
Apator Powogaz SA / Poznań / 100,00% / Subsidiary of Apator S.A.
Apator GmbH / Berlin (Germany) / 100,00% / Subsidiary of Apator SA
Newind Sp. z o. o.*) / Wrocław / 60,00%
42,00% / Subsidiary indirectly of Apator SA through Apator Rector Sp. z o. o.
Indirect share through Apator Rector Sp. z o. o.
Apator Metra s. r. o. / Sumperk (Czech Republic) / 100,00%
100,00% / Subsidiary indirectly of Apator SA through Apator Powogaz SA
Indirect share through Apator Powogaz SA
TOV Apator Metroteks / Kiev (Ukraine) / 61,00%
61,00% / Subsidiary indirectly of Apator SA through Apator Powogaz SA
Indirect share through Apator Powogaz SA
Apator Telemetria Sp.z o.o. / Słupsk / 61,60%
61,60% / Subsidiary indirectly of Apator SA through Apator Powogaz SA
Indirect share through Apator Powogaz SA
*) On 31st May 2013 all shares in Newind sp. z o.o. were sold.
- Joint controlled and associated entities evaluated by equity method:
Firm / Headquarters / Share in capital / RelRelationships with Apator SA SA /OOO Apator Elektro / Moscow (Russia) / 50,00% / Joint controlled by ApatorSA
ZAO Teplovodomer / Mytishchi (Russia) / 50,00%
50,00% / Joint controlled indirectly by Apator S.A. through Apator Powogaz S.A. Indirect share through Apator Powogaz SA
GWi Ltd. / Coventry (Great Britain) / 50,00%
50,00% / Joint controlled indirectly by Apator S.A. through Apator Metrix S.A. Indirect share through Apator Metrix SA
INDA d.o.o.* / Ljubliana (Slovenia) / 35,00% / Associated entity of Apator SA through GWI Ltd.
Indirect share through GWI Ltd.
*) 35% shares in capital of INDA d.o.o. were purchased on 03.09.2013 by George Wilson Industries Ltd.
1.3. Business activity of Apator Group
APATOR Group concentrates its activity on two segments of electric machines sector: metering and switchgear ones. The table below presents the scope of activity of particular entities in capital group of Apator:
Metering segment / Switchgear segmentApator Metrix SA z GWi Ltd. and INDA d.o.o. / Apator Mining Sp. z o. o.
FAP Pafal SA / Apator Control Sp. z o. o.
Apator Powogaz with entities: Apator Metra s. r. o., TOV Apator Metroteks, ZAO Teplovodomer, Apator Telemetria Sp. z o.o. / OOO Apator Elektro
Apator Rector Sp. z o. o.
Apator SA
Apator GmbH
Apator Group offers for metering segment:
§ Electricity meters,
§ Gas meters,
§ Water meters,
§ Heat meters,
§ Start-up and service of systems of AMI/AMM class (Automated Meter Management),
§ Start-up and service of prepayment systems.
The offer capital group of Apator for metering segment covers both hardware and software included in smart metering and smart grids integrated systems. It is comprehensive one and it includes complete chain of values from manufacturing of metering equipment to analysis, visualisation and making available of metering data.
The offer of capital group of Apator for switchgear segment covers the equipment for safe making and breaking of electrical circuits.
2. Employment in Apator Group
The table below shows the employment the employment in Apator Group excluding entities consolidated by equity method i.e.ZAO Teplovodomer, OOO Apator Elektro oraz GWi Ltd. and INDA d.o.o.
Company / Status as at 30.09.2013 / Status as at 30.09.2012 / Change / Dynamics /Apator SA / 520 / 481 / 39 / 108,1%
FAP Pafal SA / 336 / 368 / - 32 / 91,3%
Apator Metrix SA / 298 / 308 / - 10 / 96,8%
Apator Mining sp. z o. o. / 105 / 118 / - 13 / 89,0%
Apator Control sp. z o. o. / 66 / 61 / 5 / 108,2%
Apator Rector sp. z o.o. / 170 / 146 / 24 / 116,4%
Newind sp. z o.o. * / - / 40 / - / -
Apator Powogaz Group / 565 / 529 / 36 / 106,8%
including: Apator Powogaz SA / 364 / 345 / 19 / 105,5%
Apator GmbH / 2 / 2 / 0 / 100,0%
Total / 2 062 / 2 053 / 9 / 100,4%
*) Newind sp. z o. o. was sold on 31st May 2013
The main changes in employment regarded:
§ Apator SA – increase of production employees due take over of some services from cooperating parties,
§ Apator Powogaz Group – caused first of all by increase of employment of production employees in entities of thr group due to performance of growing number of orders,
§ Apator Rector sp. z o. o. – increase caused the necessity of the increase of competence and capacity in the areas of implementation (software engineers) and business suport (system analysts and application developers),
§ FAP Pafal SA – decrease of employment related to restructuring of the company.
3. Shareholders of parent entity
3.1. Share capital
Share capital of Apator SA as at 30th September 2013 was 3.310.702,80 PLN and it consisted of 33.107.028 shares of nominal value of 0,10 PLN each.
Shares and votes / Number of shares / Structure of shares (%) / Number of votes / Structure of votes(%)
Registered shares / 7 754130 / 23,42% / 31 016 520 / 55,02%
Bearer sharers / 25 352898 / 76,58% / 25 352 898 / 44,98%
Total shares / 33 107 028 / 100,00% / 56 369 418 / 100,00%
Each bearer share entitles to single vote but registered shares are preferred ones and one such share entitles to four votes at General Shareholders Meeting.
3.2. Possession and changes in the ownership structure of important shareholders
The shareholders holding at least 5% of total number of votes
3.3. Possession and changes in the ownership structure of shares of persons in management and supervisory bodies
Person in management:
Persons in supervisory body:
4. Financial part of quarterly statement
Consolidated and separated financial statements for three quarters of 2013 have been prepared in accordance with International Accounting Standards (IAS / IFRS) and related to them interpretations announced in form of Regulations of European Commission and Regulation of Ministry of Finance dated 19th February 2009 on current and regular information being transferred by the issuers of securities (Journal of Laws of the Republic of Poland No 33, item 259) with later amendments.
Interim financial statements (consolidated and separated ones of parent entity) for the period of eight months completed on 30th September 2013 have been constructed according to IAS 34 (Interim financial reporting). Interim financial statements do not include all the information and disclosures that are required in annual/semi-annual financial statement and they should be read together with semi-annual/annual statement of capital group of Apator at 31st December 2012.
4.1. Selected financial data with essential items of condensed financial statement (also translated into Eur) presenting accumulated data for all quarters of current and previous financial year.
DESCRIPTION / in 000’ PLN / in 000’ EUR /Current period / Previous period / Current period / Previous period /
Consolidated financial statement / III quarters 2013 / III quarters 2012 / III quarters 2013 / III quarters 2012
Sales revenues of products, goods and materials / 503 601 / 498 850 / 119 249 / 118 921
Profit (loss) from operating activity / 67 801 / 84 334 / 16 055 / 20 104
Gross profit (loss) / 65 782 / 79 318 / 15 577 / 18 909
Net profit (loss) / 52 146 / 84 407 / 12 348 / 20 122
Net profit (loss) for shareholders of parent entity in Apator Group / 51 544 / 84 100 / 12 205 / 20 049
Net profit (loss) for non-controlling interest / 602 / 307 / 143 / 73
Weighted average number of shares / 29 507 028 / 29 507 028 / 29 507 028 / 29 507 028
Net profit (loss) per ordinary share [PLN/share] / 1,75 / 2,85 / 0,41 / 0,68
Cash flows from operating activity / 16 890 / 44 414 / 4 006 / 10 796
Cash flows from investment activity / (16 853) / (13 629) / (3 997) / (3 313)
Cash flows from financing activity / (24 900) / (30 994) / (5 906) / (7 534)
Total cash flows / (24 863) / (209) / (5 897) / (51)
Consolidated financial statement / 30.09.2013 / 2012 / 30.09.2013 / 2012
Total assets / 511 785 / 504 448 / 121 382 / 123 391
Fixed assets / 248 952 / 249 359 / 59 045 / 60 995
Current assets / 262 833 / 255 089 / 62 337 / 62 396
Equity with non-controlling interest / 317 118 / 299 592 / 75 212 / 73 282
Non-controlling interest / 1 529 / 1 160 / 363 / 284
Share capital / 3 311 / 3 311 / 785 / 810
Long-term liabilities and provisons / 32 635 / 45 364 / 7 740 / 11 096
Short-term liabilities and provisions / 162 032 / 159 492 / 38 430 / 39 013
Weighted average number of shares / 29 507 028 / 29 507 028 / 29 507 028 / 29 507 028
Net book value per ordninary share [PLN/share]: / 10,75 / 10,15 / 2,55 / 2,48
DESCRIPTION / in 000’ PLN / in 000’ EUR /
Current period / Previous period / Current period / Previous period /
Individual financial statement / III quarters 2013 / III quarters 2012 / III quarters 2013 / III quarters 2012
Sales revenues of products, goods and materials / 125 887 / 145 736 / 29 809 / 34 742
Profit (loss) from operating activity / 12 848 / 28 720 / 3 042 / 6 847
Gross profit (loss) / 49 089 / 53 173 / 11 624 / 12 676
Net profit (loss) for shareholders of parent entity in Apator Group / 46 519 / 68 188 / 11 015 / 16 255
Weighted average number of shares / 33 107 028 / 33 858 852 / 33 107 028 / 33 858 852
Net profit (loss) per ordinary share [PLN/share]: / 1,41 / 2,01 / 0,33 / 0,48
Cash flows from operating activity / 10 357 / 14 646 / 2 456 / 3 560
Cash flows from investment activity / 24 281 / 28 122 / 5 759 / 6 836
Cash flows from financing activity / (31 682) / (36 025) / (7 514) / (8 757)
Total cash flows / 2 956 / 6 743 / 701 / 1 639
Individual financial statement / 30.09.2013 / 2012 / 30.09.2013 / 2012
Total assets / 280 012 / 273 799 / 66 412 / 66 973
Fixed assets / 214 765 / 221 493 / 50 937 / 54 179
Current assets / 65 247 / 52 306 / 15 475 / 12 794
Equity with non-controlling interest / 212 070 / 199 082 / 50 298 / 48 697
Share capital / 3 311 / 3 311 / 785 / 810
Long-term liabilities and provisions / 6 640 / 5 609 / 1 575 / 1 372
Short-term liabilities and provisions / 61 302 / 69 108 / 14 539 / 16 904
Weighted average number of shares / 33 107 028 / 33 669 870 / 33 107 028 / 33 669 870
Net book value per ordninary share [PLN/share]: / 6,41 / 5,91 / 1,52 / 1,45
4.2. Consolidated financial statement of Apator Group