INTRASOFT INTERNATIONAL

INTRASOFT INTERNATIONAL
Consolidated Financial Statements in accordance with IFRS
31 December 2014
INTRASOFT INTERNATIONAL GROUP
CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014
IN ACCORDANCE WITH INTERNATIONAL FINANCIAL
REPORTING STANDARDS (I.F.R.S.) AS ENDORSED BY
THE EUROPEAN UNION
INTRASOFT INTERNATIONAL
Consolidated Financial Statements in accordance with IFRS
31 December 2014
Page 2 of 89
Contents
Α) Directors’ Statements
B) Message of the CEO
C) Board of Directors’ Report
D) Independent Auditors’ Report
E) Annual Financial Statements in accordance with IFRS
F) Notes and Information
The attached annual financial statements have been approved for issue by the Board of Directors
on 7
th of August 2015.
THE CHAIRMAN OF THE BOARD OF
DIRECTORS
A.D. KOTSIS
Passport No AI0956414/11.11.2011
THE CHIEF EXECUTIVE OFFICER
A.N. MANOS
ID No. ΑΒ340384/2.10.2006
THE CHIEF FINANCIAL OFFICER THE GROUP CHIEF
ACCOUNTANT
E.V. TERROVITIS N.V. TZANOGLOU
ID No. AE 012763/05.02.2007 ID No AE 578851/20.06.2007
INTRASOFT INTERNATIONAL
Consolidated Financial Statements in accordance with IFRS
31 December 2014
Page 3 of 89
Α) Directors’ Statements
The members of the Board of Directors, of INTRASOFT INTERNATIONAL SA
1. Athanasios D. Kotsis, Chairman
2. Konstantinos S. Kokkalis, Vice Chairman
3. Alexandros-Stergios N. Manos, Member of the Board of Directors & Chief Executive Officer
4. Georgios S. Koliastasis, Member of the Board of Directors
In our above mentioned capacity we declare that:
As far as we know:
a. the consolidated annual financial statements for the year 01/01/2014 to 31/12/2014 which were
drawn up in accordance with applicable accounting standards, reflect in a true manner the assets
and liabilities, equity and results of “INTRASOFT INTERNATIONAL” Group and
b. the annual report of the Board of Directors is a true representation of the progress, the
performance and the financial position of “INTRASOFT INTERNATIONAL” Group, including a
description of the major risks and uncertainties they confront.
THE CHAIRMAN
OF THE BOARD OF DIRECTORS
A.D. KOTSIS
Passport No AI0956414/11.11.2011
THE CHIEF EXECUTIVE OFFICER
OF THE BOARD OF DIRECTORS
A.N. MANOS
ID No. ΑΒ340384/2.10.2006
INTRASOFT INTERNATIONAL
Consolidated Financial Statements in accordance with IFRS
31 December 2014
Page 4 of 89
Message from the CEO
In 2014, the global economy continued to grow but at a slow pace. At INTRASOFT International,
we followed a disciplined financial management strategy whose successful outcome has been
reflected in our 2014 sales achievements and financial results.
Group revenue for 2014 reached EUR 144.0 million, up almost 6% year on year from EUR 135.9
million in 2013. Even more importantly, operating profit rose to EUR 4.7 million from EUR 2.4
million in 2013. Moreover, for a third consecutive year overall net debt has been reduced by
26.9% year on year.
INTRASOFT International exceeded our expectations for new contract awards in 2014, delivering
record bookings of EUR 290 million. The total value of these contracts represented a 9% increase
over 2013 bookings and helped boost the company’s order backlog to EUR 458.9 million at yearend.
We maintained our leading position in the EU Institutions market winning new contracts with the
European Commission who continues to trust our experts and our high-quality IT services, having
added more Directorates-General and Agencies to our long client list. In 2014 we served the needs
of a great number of Directorates-General, such as: Informatics (DG DIGIT), Taxation and
Customs Union (DG TAXUD), Research & Innovation (DG RTD), Justice and Consumers (DG JUST),
Communication (DG COMM), Home Affairs (DG HOME) and the Environment (DG Environment), as
well as the Statistical Office of the European Union (EUROSTAT) and the European Parliament.
In the Public Sector, we continued our business development efforts in new markets and regions
with high-growth potential, such as the Middle East, Africa, Eastern Europe and Southeast Asia. In
addition, we made a first step into new contractual, business and technological project frames
through our first large Public Private Partnership Project in the public transportation domain.
In the Enterprise Solutions Sector, we reinforced our Banking business activity in Eastern Africa,
which constitutes the area of our strategic focus, and as a consequence we celebrated the award of
another large banking project in Uganda. In the Telecommunications business solutions sector, we
continued growing our services business, adding new customers and offering new technologies. In
the SAP solutions sector, we maintained the Gold SAP partner and SAP solutions provider status
for medium to large-scale integration projects, both in the private and the public sectors, servicing
a variety of industries. More importantly in 2014, we continued to invest in the vertical market of
integrated IT systems for Higher Education Institutions, as a specialized partner of SAP solutions
for Education, with the successful go live of 2 major projects.
Following closely the developments of the global markets, we intend to continue investment in
growing the lines of business which offer attractive long-term prospects with high returns on
investment. Being a leading European IT Solutions and Services Group with a strong international
presence, INTRASOFT International is now well-positioned to capitalize on markets with long-term
structural growth prospects and deliver further value for shareholders.
I would like to personally express my deep appreciation to INTRASOFT International’s worldwide
team for bringing us to where we are today. Additionally, I am proud to become a member of this
team and to be trusted with the leadership of this strong multinational IT and Services Group. All
of us at INTRASOFT International are motivated by what was achieved in 2014 —particularly our
INTRASOFT INTERNATIONAL
Consolidated Financial Statements in accordance with IFRS
31 December 2014
Page 5 of 89
record new business bookings— and we are eager to reach new revenue levels in the coming three
years with the same strong commitment to creating yet more value together.
Alexandros-Stergios Manos
Chief Executive Officer
INTRASOFT INTERNATIONAL
Consolidated Financial Statements in accordance with IFRS
31 December 2014
Page 6 of 89
C) Board of Directors’ Report
ANNUAL REPORT OF THE BOARD OF DIRECTORS OF INTRASOFT INTERNATIONAL S.A. TO THE
GENERAL ASSEMBLY OF THE SHAREHOLDERS FOR THE YEAR 2014 (1st JANUARY – 31st DECEMBER
2014)
Dear Shareholders,
We have the pleasure to inform you about our Group’s activities over the past financial year and to
submit the Consolidated accounts as closed on 31 December 2014 for your approval.
General information
With headquarters in Luxembourg, INTRASOFT International operates through its operational
branches in Greece, Romania and Jordan, subsidiaries in Belgium, Bulgaria, Cyprus, Denmark,
Greece, Jordan, UAE, United Kingdom (UK), United States of America (USA) and offices in
Moldova, Morocco, Palestine, Philippines, Romania, Saudi Arabia and Yemen.
Financial Performance
For the fiscal year 2014 INTRASOFT International annual revenues stood at EUR 144,0 million a
figure unchanged compared to 2013 (EUR 135,9 million) in a very difficult financial environment
characterized by significant cuts in IT spending & budget and a fierce competition on margin,
reflecting a 6,0% increase and EUR 4,1 million.
Cost of sales – as a percentage of sales – has been decreased in comparison to 2013, amounting
EUR 119,89 million (83,3% of revenue) against EUR 113,46 million (83,5% of revenue) in 2013
due to some one-off costs and combined with the small revenue growth eventually reduced the
gross profit in both absolute value and percentage of revenue, amounting EUR 24,1 million (16,7%
of revenue) against EUR 22,4 million in 2013 (16,5% of revenue).
Marketing & selling costs reduced to EUR 10,38 million in 2014 against EUR 10,61 million in 2013.
Administrative expenses reduced to EUR 9,53 million in 2014 against EUR 9,74 million in 2013.
Other gains/(losses) was decreased by EUR 0,17 million in comparison to 2013 amounting EUR –
0,01 million against EUR -0,18 million in 2013
The Group’s 2013 Finance cost were affected by impairments. According to standard procedures,
taking into account the market conditions that there is an important and permanent reduction of
the fair value of the available-for-sale asset, namely HOL shares listed in ASE, in order for the
financial statements to reflect available-for-sale at fair value, management has decided to proceed
with the impairment of EUR 9.5 million through P&L.
Group’s EBITDA amounted to € 6,8 million, compared to € 5,6 million in 2013.
As a matter of consequence, Earnings before interest and tax (EBIT) reached EUR 4,66 million
against 2,44 million in 2013.
Earnings before tax (EBT) ended positive at EUR 1,0 million in 2014 against negative at EUR 11,5
million in 2013.
Net Equity has ended positive stood at EUR 7,6 million in 2014 against EUR 7,9 million in 2013.
INTRASOFT INTERNATIONAL
Consolidated Financial Statements in accordance with IFRS
31 December 2014

You May Also Like