Download annual report 2011 here - Dantherm

INDEX INDEX147.4m at the end of 2010. Danthermpossesses modern production facilities,and the fall in depreciation and amortisationis primarily attributable to a low levelof investment.Receivables from associatesNon-current receivables from associatesconcern convertible loans granted toDantherm Power with a view to financingthe development within the company. Atthe end of the year, an impairment testwas carried out in respect of the receivable,which did not lead to any impairment.Equity and equity ratioEquity excluding minority interestsamounted to DKK 129.6m at the end of2011 and is on a par with the end of 2010.In 2011, equity was negatively affected byDKK 3.1m as a result of foreign currencytranslation adjustments and adjustmentof an interest rate swap in respect of thebuilding financing in Skive.The equity interest amounted to 28%,which is on a par with the level at the endof 2010 and close to the objective of anequity interest of at least 30%.Net interest-bearing debtNet interest-bearing debt amounted toDKK 187.1m and is largely unchangedrelative to 2010. Of this net interestbearingdebt, finance lease commitmentsand mortgage debt amounted to DKK113.5m.Working capitalAt the end of the year, working capitalamounted to DKK 92.3m against DKK90.6m at the end of 2010 despite thegrowth in revenue of 18%.In 2011, Dantherm launched a projectaimed at optimising the working capital.Cash flowsCash flows from operating activitiesamounted to DKK 19.8m against DKK3.2m in 2010. The increase is primarily attributableto the improvement in results,while the working capital was roughlyunchanged relative to 2010.Cash flows from investing activitiesamounted to DKK -19.9m against DKK100.5m in 2010, of which DKK 107.3mconcerned net cash and cash equivalentsreceived in connection with the divestmentof subsidiaries and activities. Thelevel of investments in 2011 was low andprimarily comprised convertible loansgranted to Dantherm Power.Cash flows from financing activitiesamounted to DKK -12,8m in 2011 againstDKK -68.6m in 2010. The negative cashflows in 2011 are attributable to a reductionin interest-bearing debt.Cash flows for the year amounted to DKK-13.9m against DKK 95.4m in 2010, whichsaw major positive cash flows from thedivestment of enterprices and activities.DehumidificationDantherm has been selling dehumidifiersfor almost 40 years and has, during thisperiod, sold more than 300,000 dehumidifierproducts.The products are sold via a distributornetwork present in most European countries,via direct sales to large customerswithin professional rental and damageservices and via private label sales.In connection with the cloudburst inCopenhagen in July 2011, Dantherm'sdehumidifiers were used to dry out manyflooded basements, summer cottages,enterprises and public buildings.The product portfolio includes both stationaryand mobile dehumidifiers.The main markets are Denmark, Germany,Russia, France and Norway.The dehumidifiers are based on thecondensation principle: A fan draws themoist air across a cooling surface where itcondenses into water which is drained offinto a drain or a container.Dantherm's mobile dehumidifiers are,among other things, used for drying inconnection with flooding.34 Dantherm Annual Report 2011 Annual Report 2011 Dantherm 35