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06-04-2006

- Board of Directors approves ISS A/S Annual Report 2005

Copenhagen, 6 April 2006 - Today, the Board of Directors of ISS A/S has approved the ISS A/S Annual Report 2005.

Performance highlights are shown below:

Amounts in DKK million*

Revenue

Operating profit
before other items

Net profit for the year

Operating margin

Organic growth

Full Year 2005

46,440


2,650

948

5.7%

3%

Full Year 2004

40,355


2,260

837

5.6%

1.5%

Change

+15%


+17%

+13%

 

 

* Except percentages

  • Revenue increased by 15%
  • Organic growth was slightly above 3% - up from 1.5% in 2004
  • Operating margin was 5.7% - up from 5.6% in 2004
  • Adjusted for acquisitions carried out after the take-over of ISS, the revenue and operating profit before other items are in line with the outlook for 2005 released in the Q1 report on 26 April 2005
  • Net profit was up 13% impacted by costs associated with the take-over of ISS in May 2005 and increased interest costs following the payment of dividend to shareholders amounting to DKK 7.2 billion  
  • ISS made 102 acquisitions (65 of which were made after the take-over of ISS in May 2005)
  • At year-end ISS had 310,800 employees – an addition of 37,300 compared to last year
  • ISS entered into new geographies such asIndia, Turkey, Russia, New Zealand, and Estonia and expanded its presence in China
  • On 14 April 2005, ISS launched and started implementing a new strategy plan, Route 101. The new strategy plan aims at continuing the transformation of ISS into a Facility Services provider. The target is to reach annual revenues of DKK 101 billion. The strategy also aims at expanding ISS’ geographical footprint to 55-60 countries covering more than 90% of world GDP.

The ISS A/S Annual Report 2005 can be downloaded here.




Forward-looking statements
This press release and the ISS A/S Annual Report 2005 may contain forward-looking statements. Statements herein, other than statements of historical fact, regarding future events or prospects, are forward-looking statements. The words ''may'', "will", "should", ''expect'', ''anticipate'', ''believe'', ''estimate'', ''plan'', "predict," ''intend'', ''should'' or variations of these words, as well as other statements regarding matters that are not historical fact or regarding future events or prospects, constitute forward-looking statements. ISS has based these forward-looking statements on its current views with respect to future events and financial performance. These views involve a number of risks and uncertainties, which could cause actual results to differ materially from those predicted in the forward-looking statements and from the past performance of ISS. Although ISS believes that the estimates and projections reflected in the forward-looking statements are reasonable, they may prove materially incorrect, and actual results may materially differ as a result of the matters described in the Risk Factors beginning on page 32 of the ISS A/S Annual Report 2005, including: changes in demand for the services offered by ISS, risks related to ISS's growth strategy, risks related to the Group's substantial indebtedness, ISS's ability to operate profitably, ISS's exposure to currency-related risks; complexities related to compliance with regulatory requirements of many jurisdictions; ISS's dependence on its management team and qualified personnel; ISS's potential liability for acts of its employees; the threat, institution or adverse determination of claims against ISS; potential environmental liabilities; and changes in laws and regulations. As a result, you should not rely on these forward-looking statements. ISS undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent required by law.



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