First half-year operational result reached €-1.2M (€-17.9 M in 2009). In addition to the improvement of gross margin linked to the increase in sales, half-year results benefited from:

• a marked reduction in costs related to destocking
• a strong decrease in costs linked to the adaptation of workforce
• the benefits of the actions of indirect cost reduction

Thanks to a decrease in interest expense (by €-2.3 M) and to an increase in foreign exchange results (€+0.6 M), the financial result improved by €3.0 M.
Considering a corporate tax income of € 0.9 M (€6.7 M in 2009) and the positive contribution of Loisirs Finance (€ 0.9 M), the net consolidated result stood at €-3.2 M (€-17.1 M in 2009).

Half-year accounts recorded further improvement of Trigano’s financial structure. The actions implemented to contain the utilisation of credit have allowed a limitation of the seasonal increase in working capital requirement to € 3.7 M (€ 78.8 M in 2009). In particular, the stock level has been reduced by €27.0 M compared to 31 August 2009 (€-114 M€ compared to 28 February 2009).

Net financial debt, traditionnally at its highest level as at 28 February, reached € 87.3 M (€ 256.1 M at 28 February 2009), representing just 30.8% of equity.

Prospects

The good level of order books as at end of March 2010 augurs the realization of a sales level in the second half-year that should allow a return to profit from the current financial year. With a preserved financial structure (€283.5 M in equity as at 28 February 2010), Trigano should widely benefit from the prospects offered by the end of the crisis and return to strong profitability in 2011.