Oce reports net loss of €23 million in the fourth quarter
Action program on track
Highlights fourth quarter:
- Market development continued to affect printing industry strongly
- Revenues € 683 million (-11% organically)
- Normalized operating income € 16 million
- Restructuring costs € 27 million
- Net loss € 23 million
Highlights full year:
- Free cash flow € 82 million
- Cost-cutting measures delivered results (€ 154 million)
Comments by Rokus van Iperen, Chairman of the Board of Executive Directors: "Our revenues continued to decline in the fourth quarter as customers remained uncertain about the economic situation and sustained their efforts to reduce costs. Towards the end of the year, we saw some bottoming out in the sales of continuous feed systems in the United States.
We are on track with the implementation of our action program related to job reductions and saving out-of-pocket expenses. Although we have spent a significant amount on restructuring, we improved our cash flow by further reducing inventories and trade receivables. Our net debt developed positively for the third consecutive quarter.
In 2010, we anticipate that the markets will remain challenging. In order to further strengthen our competitive position and drive sales under difficult market conditions, we will continue to introduce innovative products.
The fourth quarter was marked by the important announcement of Canon’s intended recommended offer for Océ, which is aimed at creating the global leader in the consolidating printing industry. In the meantime, the transaction process is on track and all relevant anti-trust approvals have been obtained."