Nanogate AG: Accounting switchover to IFRS has positive effect on consolidated net profit
The new accounting standard is another important step forward in capital market communication. The most important differences between IFRS and HGB reporting were as follows:
- The IPO costs incurred in 2006 do not reduce the income statement(P&L) result. Instead, they reduce the IPO proceeds in the balance sheet capital reserve. The result is an IFRS net profit for the year of €1.2 million (rather than a €0.3 million loss).
- Deferred taxes are stated for various amounts in the IFRS and tax balance sheets. For loss carryovers from previous years that will in future reduce the amount to be paid in taxes Nanogate has stated €0.5 million in deferred taxes on the assets side.
Now that the consolidated financial statements have been drawn up according to IFRS for the financial year 2006, the interim report for the first half of 2007 – to be published at the end of September – will also be based on the IFRS standard.
The focus of the switchover to IFRS is on shareholder interest and thereby on stock market success. Publication of IFRS accounts is now mandatory for companies listed or seeking a listing in regulated market segments on the German stock market. Ralf Zastrau, CEO of Nanogate AG, says that “For international institutional investors in particular the company will now become even more interesting.
Nanogate now fulfils the key requirements for Prime Standard listing. Our shareholder structure has grown significantly wider since our Entry Standard IPO in October 2006. We aim to take this change into account by making our financial reporting even more transparent.”
NC Gesellschaft e.V.
Nanogate is a leading international enabler in the nanotechnology growth market and so opens the gate to this technology for its customers. The Saarbrücken-based firm enables the programming and integration of additional properties such as non-stick, anti-bacterial, anti-corrosive, ultra-low friction. Nanogate thereby gains a competitive edge for its customers by product refinement using chemical nanotechnology.
Nanogate covers a wide range of industries, functions and substrates already on the basis of technology platforms. The company thus provides a decisive interface for the commercialisation of chemical nanotechnology, bridges the gap between raw materials and their industrial conversion into products and concentrates as an enabler on one of the most attractive segments in the industry. As a partner in innovation, Nanogate provides many services along the value chain - from development and production of innovative nanocomposites and nanostructured materials to powerful support for innovation and product integration.
The Nanogate Group currently has 60 employees in all (as of 31 December 2007) and since commencing operations in 1999 has been a pioneer in nanotechnology.
Nanogate is a high-growth company and has operated profitably since financial year 2004. In financial year 2007 it boosted consolidated sales by about 32.8% to around EUR 10.4 million. The earnings before taxes (EBT, according to IFRS) increased by about 32.8% to around EUR 1.5 million. The company has first-class customer references, such as ABB, BSH Bosch-Siemens Hausgeräte, Kärcher and Koenig &
Bauer AG, and many years' experience of different industries and applications. It has also entered into strategic cooperation with US companies Dow Corning and Ceradyne/ESK Ceramics and Authentix and with Giesecke & Devrient. The Group's consolidated entity includes Nanogate Advanced Materials GmbH, which specialises in safety engineering and optics. Nanogate also holds an investment with a majority option in Holmenkol AG.