Marfin Investment Group has reported net profit from continuing operations at EUR183.8m in 2008 versus EUR69.4m the previous year, an increase of 165 per cent.
Marfin Investment Group has reported net profit from continuing operations at EUR183.8m in 2008 versus EUR69.4m the previous year, an increase of 165 per cent.
Group net profit after tax and minority interest rose to EUR112.6m versus EUR330.1m in 2007. When the 2007 figures are adjusted for exceptional income of EUR267.8m arising from the sale of banking assets, the increase of net profit would stand at 80.7 per cent.
Earnings before interest, tax and depreciation rose to EUR326.8m versus EUR34.1m in 2007 and EUR192m pro-forma for 2007.
Shareholders’ equity reached EUR4.5bn and liquidity EUR1.5bn, representing 19.8 per cent of the group’s total assets. Net asset value per share stood at EUR5.45 as of 31 December 2008.
The board has decided to propose the distribution of EUR0.20 constructive dividend. Shareholders will be offered the option of reinvesting the constructive dividend in the form of MIG shares.
Andreas Vgenopoulos, Marfin Investment Group’s executive vice-chairman (pictured), says: ‘2008 was a year marked by an unprecedented and mounting market downturn. The ripple-effects of the economic slowdown are already visible in the real economy. Our group has not been immune from the adverse market conditions. However, through a focused strategy and a disciplined and defensive approach already in place since the end of 2007, we have created a well-diversified portfolio of leading investments in defensive sectors and have preserved liquidity, thus managing to insulate, to the extent possible, the group from external shocks.
‘Our key advantage is our sufficient cash levels that can be regarded not only as a ‘safety net’ for a potential further deterioration in market conditions, but also as a pool for capitalizing on opportunities that might arise. The acquisition of the assets of Olympic constitutes such a value enhancing opportunity.’
He says that for 2009, emphasis will be given on operational and organisational initiatives that will facilitate the long-term value creation for shareholders and stakeholders.
‘The main objective of such optimization initiatives, both at a group and at the portfolio companies’ level, is cost containment, preservation of our revenue base and increase of market shares in the sectors we operate. Our strategy will be implemented under the prism of social responsibility. Several initiatives from both MIG parent and our portfolio companies, such as the freezing or even the reduction of prices in certain products and services, have been already embraced by the end-customer. In addition, we continue to further expand into new markets resulting to the enlargement of our customer base which enjoys our unique products and services.’
