Today Rilken S.A. published the 2006 financial results as well as the consolidated financial statements of the Rilken Group.
Company sales amounted to 23.259 T Euro in 2006, a decrease by 9,5% compared to the previous year. Domestic sales, too, declined by 11,1% to 21.249 T Euro. This is due to the fact that Rilken discontinued its production on behalf of Henkel Hellas and assigned it to third parties. After adjusting for this, organic domestic sales growth amounted to 1,3%. Export sales increased by 12,7% as a result of the new policy applied for this sector.
Gross profit decreased by 2,3% and amounted to 14.831 T Euro versus 15.175 T Euro in 2005. Gross margin however, i.e. as a percentage of sales, increased by 4,7pp to 63,8%. This improvement is mainly due to the corporate focus on profitable products and the elimination of less profitable products that were related with the existence and operation of the factory.
Earnings before interest and taxes (EBIT) in 2006 decreased by 703 T Euro or 69,2% to 313 T Euro versus 1.016 T Euro in the previous year, after the relevant adjustment for comparability reasons (ΕΒΙΤ in 2005 was 954 T Euro before the adjustment). This decline is related to the above mentioned gross profit decrease and, additionally, to the higher other operating charges due to the restructuring programme of the company. The operating expenses of the company, however, remained on the level of the previous year.
After taxes, the company recorded a loss of 667 T Euro compared to an adjusted profit of 90 T Euro in 2005. The income tax rate in the current period considerably increased mainly because of the higher tax provisions for past unaudited periods.
The consolidated financial statements of Rilken Group include the parent company Rilken S.A. and its subsidiaries Schwarzkopf & Rilken Hellas S.A. and ZAO Rilken Moscow. Both of the subsidiaries have discontinued their business operations and are already in the final phase of liquidation.
Rilken Group recorded consolidated net sales, which came exclusively from Rilken''s activities, of 23.259 T Euro, a decrease by 19,6% compared to the previous year. This is due to the discontinuation of business operation of the subsidiary Schwarzkopf & Rilken Hellas S.A. and the above mentioned reason. After taxes, the Group recorded a loss of 802 T Euro versus an adjusted loss of 490 T Euro in 2005.
The 2006 financial statements have been posted on the company''s website www.rilken.gr
Rilken S.Α. is an Athens based manufacturer and marketer of cosmetics, specialized in hair care products. The Company is a member of the Henkel Group, which is the major shareholder of Rilken S.A. via its subsidiary Henkel Hellas S.A.