"I am pleased to say that EB reached its main goal for 2013 –
to grow its operating profit from the previous year. I want to
thank our personnel for the good results achieved in 2013 and
for the efforts made to build our future success."

- Jukka Harju, CEO

Change in the Consolidation Method, Continuing and Discontinuing Operations, Non-Recurring Items

From the beginning of 2013, EB has applied the new IFRS 10 and IFRS 11 standards. As a result the proportion of net sales and operating result of e.solutions GmbH, a jointly owned company of EB and AUDI, to be consolidated into Elektrobit groupīs consolidated financial statements has changed. For comparability, all 2012 figures presented for comparison are restated assuming that the proportionate consolidation method would have been applied already in 2012.

EBīs figures are divided between Continuing and Discontinuing Operations as provided by the IFRS 5 standard. In this annual report, Test Tools product business, sold on January 31, 2013, is classified as Discontinuing Operations.

Operating results of 2012 and 2013 include non-recurring items that have been reported as part of the Wireless Business Segmentīs results:
  • Non-recurring costs related to collecting thereceivables from TerreStar Companies of EUR 1.2 million, during 2012;
  • Non-recurring income of USD 13.5 million resultingfrom the settlement payment in thereorganization cases of TerreStar Corporation,and non-recurring positive cash flow effect ofapproximately EUR 10.8 million in the thirdquarter of 2012;
  • Non-recurring items of approximately EUR 4 million in total, booked in the fourth quarterof 2012, as a result of the financial challengesfaced by a US based customer of EBīs subsidiary,Elektrobit Inc.; and
  • Non-recurring cost of approximately EUR 0.8 million resulting from the cost saving measuresin the Wireless Business Segment in thefirst quarter of 2013.