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S H A R E H O L D E R S

9 August 2011

Dear ShareholDerS
overview – The Interroll Group
During the first half of 2011, net sales generated within the Interroll Group slightly increased by 0.3 %,from CHF 136.8 million in the first six months of 2010 to CHF 137.2 million in the period under review.
In terms of local currency, sales revenue rose significantly by 14.3 %. Almost without exception,
every product group and region delivered a contribution to this favourable outcome. In comparison
with the same period last year, order intake rose by 6.4 % from CHF 144.6 million to CHF 153.9 million;
expressed in local currency, this corresponds to an increase of 20.9 %. As at 30 June 2011, the bookto-bill ratio (new orders in relation to sales) stood at 1.12, compared to 1.06 as at 30 June 2010.
Owing to the steep rise in the Swiss franc against all major currencies since the first half oflast year, the consolidated financial statements compiled in CHF scarcely reflect these gains.
In brief

To some extent, Interroll has been able to pass on the rising cost of materials to sales

First semester 2011: Sales revenue

prices or absorb such rises through productivity increases. Earnings before interest,

increases despite steep rise in
Swiss franc against major currencies.
Profitability increases significantly.

taxes, depreciation and amortisation (EBITDA) exceeded the previous year’s value(CHF 15.2 million) by 35.2 % to stand at CHF 20.5 million at the end of June 2011.
Comparing the two half-year periods, earnings before interest and taxes (EBIT) alsorose sharply, from CHF 7.5 million to CHF 13.2 million. Net profit for the period increased by asimilarly exponential 86.2 %, up from CHF 5.3 million to CHF 9.9 million.
Interroll succeeded in further improving customer value in the period under review thanks to thetechnical enhancement of products; new designs have also made products easier to install andmore user friendly. As the iF Product Design Award 2011 and other distinctions and certificates haveshown, the market is increasingly coming to regard Interroll as an innovation partner in the fieldof internal logistics. Alongside innovation, Interroll also pushed ahead with strategic projects suchas the implementation of SAP during the reporting period.

2

New generation: new drive solution with RollerDrives, conveyor rollers driven via V-belt and decentralised
intelligent control modules

L E T T E R

Patent pending: new wear-resistant Speed Controller for even higher
throughput in pallet flow storage

T O

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S H A R E H O L D E R S

Major order from Procter & Gamble:
flow storage modules for around
20,000 pallet positions

Financial position
The latest figures confirm the financial stability of the Interroll Group. Total assets amounted to
CHF 219.3 million as at 30 June 2011, compared to CHF 211.3 million as at 31 December 2010.
Investment in non-current assets stood at CHF 9.3 million in the period under review; this was
mainly attributable to additional preparations for the introduction of SAP, final expansion work at
the Centre of Excellence for conveyor rollers and the replacement of production facilities.
Current assets also increased as a result of the rise in sale revenue and the significant order backlog (work in progress), which contributed to the increase in net debt from CHF 12.9 million (atthe end of 2010) to CHF 16.2 million. Comparing the two half-year periods, net cash from operating
activities rose from CHF 4.4 million to CHF 5.8 million.
As Interroll announced on 22 October 2010, the business units were disbanded at the start offinancial year with the introduction of a new Group structure, and the Group management wasadapted accordingly (see also Interroll Annual Report 2010, section on Corporate Governance).
The focus has now shifted to the revenue of product groups rather than business units. Capital
expenditure and personnel resources will be devoted solely to the strategic product groups on thebasis of market potential. Segment reporting includes revenue by product group and by region/
country in line with IFRS 8.

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Just-in-time conveyor roller production at Interroll in Wermelskirchen, Germany“Drives” product group
The Drives product group (motors and drives for conveyor systems) performed very well in thefirst half of 2011, with revenue amounting to CHF 50.2 million (compared to CHF 46.3 million
for the same period a year ago). Order intake rose 4.5 % year on year, from CHF 49.5 million to
CHF 51.8 million. The Synchronous Drum Motor and the RollerDrive EC310 – new products with
newly developed intelligent control units – both gained market share during the reporting period.
The RollerDrive EC310 won the MM Logistik Award at the world-leading CeMAT logistics fairin Hanover in May 2011. Drum motors also made encouraging market share gains in the American
food processing industry.
“rollers” product group
Revenue generated from the sale of Conveyor Rollers rose from CHF 40.9 million in the comparable
period of last year to CHF 42.1 million; expressed in the reporting currency, order intake remainedlargely unchanged at CHF 42.0 million. The new design of the conveyor rollers – which facilitateshigher conveyor speeds and maximises running smoothness thanks to optimised concentricity –has already gained a strong foothold on the market. The dirt-resistant surface provides extra customer benefit by reducing the need for cleaning. The Group also saw an expansion in the fieldof applications in which conveyor rollers were deployed, including the packaging industry. Furthermore, Interroll made considerable progress with preparations for the launch of a new conveyor
roller set – aimed specifically at light goods – in the second half of 2011.
“Conveyors & Sorters” product group
Revenue generated within the Conveyors & Sorters product group stood at CHF 21.8 million at theend of June 2011 (against CHF 23.8 million). Order intake rose by an outstanding 19.4 % on thesame period last year, from CHF 24.2 million to CHF 28.9 million. The Group is looking to conclude
a cooperation agreement with a Japanese systems integrator for a significant volume of powered
conveyor modules. In April, Interroll was nominated by Siemens as a Top Supplier for 2011; thirtyof around 1,200 key suppliers received the award this year in recognition of close cooperation and
excellent performance. In the first half of 2011, Interroll businesses in the US served the growthmarket of airport security by fulfilling major orders for conveyor modules, which are designed toincrease the flow of passengers through security checks.

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S H A R E H O L D E R S“Pallet & Carton Flow” product group
In the area of dynamic storage, a persistent reluctance to invest remained apparent in the first six
months of 2011; revenue totalled CHF 23.1 million (CHF 25.9 million last year). Having said that,order intake rose by 10.5 % in half-yearly comparison, from CHF 28.1 million to CHF 31.0 million.
Interroll also received a major order relating to dynamic storage solutions – encompassing some
20,000 pallet positions for the consumer goods group Procter & Gamble; the order will be fulfilledin partnership with Spanish company Mecalux. Procter & Gamble is aiming to expand the capacityof an existing distribution centre in Germany through this project. Another dynamic storage
order was placed by a Swiss wholesale distributor. At the CeMAT fair in Hanover in May, Interroll
showcased technology designed to raise productivity at distribution centres. The company
presented dynamic storage innovations that included the new wear-resistant speed controller (forwhich a patent application has been filed). This world-first solution, which utilises completely
new technology, raises throughput volume as much as fivefold, which in turn enables customers
to handle products at greater speed.
overview by region
Sales in Europe increased by 8.4 % in local currency terms in the first half of the year as Interroll
gained significant market share in European countries. All product areas contributed to the growth,with the exception of palletising warehouse logistics. During the first six months, Interroll madepreparations to establish a sales base within the emerging Turkish market – which offers highly promising opportunities and projects – in the second half of the year. Interroll is also pursuing a numberof interesting projects in South Africa that should impact on order intake for the second six months.

Coveted MM Logistik Award: Georg Malina (left),
Interroll Global Product Manager RollerDrives,
Rollers & Controls, accepts the award for the newRollerDrive EC310 at CeMAT, the world’s leading
fair for internal logistics, in May 2011 in Hanover.

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Ideal for high-frequency start-stop operation: new Synchronous Drum Motor as a conveyor belt drive forsalmon processing

Interroll succeeded in expanding its North American market share significantly in the reporting
period, especially in the product areas of Drives and Conveyors & Sorters; the company wasawarded two follow-up orders from the online retailer Amazon and managed to raise the profile ofits drum motors in the food processing industry. Interroll also concluded a sorter contract witha leading courier business. In South America, the recently established Interroll branch in Brazil
received its first sorter contract; a crossbelt sorter will be deployed in the sales and distribution
centre of a textiles firm.
In Asia, Interroll China secured the biggest order so far for belt curves in this region during the first
half. The belt curves will be utilised by a service provider for courier and postal services. Interroll’s
branch in China has also taken up residence in a much larger factory with a production area of over
10,000 square metres; the new facility will be officially opened in September. Interroll appointed
successor managers for its companies in South Korea and Japan; the current general managersof these firms are due to retire this year. Interroll opened a sales office in Jakarta during thefirst six months of this year with the intention of securing a larger share of the rapidly expanding
Indonesian market.
Innovation
In May 2011, Interroll unveiled new and enhanced key products for internal logistics at the worldleading CeMAT logistics fair in Hanover. Interroll produces solutions that save energy and space,utilise decentralised intelligent control and promise high levels of user friendliness as well as quick
returns on investment (two years on average). Interroll products also offer fast, easy and safe
installation. New solutions unveiled included the aforementioned wear-resistant speed controller,
which facilitates much higher pallet throughput in dynamic storage systems. The new cassettesolution with drum motors also makes conveyor belts easier to install in checkout systems. During
the first six months of 2011, Interroll carried out the final tests on other solutions in the field ofelectronic control systems for motors; they are to be launched in the second half. Offering fast
installation and flexible conversion, these control units will increase the productivity of material
flow systems considerably.

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outlookGiven the volatility of raw material prices, the persistent reluctance to invest within key user markets and continuing currency fluctuations, Interroll is conservative in its outlook for the near future;
the significant uncertainty that continues to underpin global economic trends shows no signsof abating. To consolidate our market position and ensure we are able to utilise market potential inboth the short and the long term, we are purposely expanding our global network and promoting
innovation at every opportunity. We are confident that this approach, allied with our years of expertise, will provide us with the basis on which to sustain success in the future. Geographicallyspeaking, we are also expanding our activities in Asia and the USA. Consistently stringent costmanagement, further productivity increases and a strong financial basis will remain criticalfactors in the steady implementation of our long-term growth strategy.

Paul Zumbühl

Kurt Rudolf

Chief Executive Officer

Chairman of the Board of Directors

7

K E YF I G U R E S

all graphics depict January–June in million ChF
Consolidated net sales, Group
0

50

100

150

200

2008

187.5

2009

116.5

2010

136.8

2011

137.2

Consolidated earnings before interest, taxes, depreciation and amortisation (EBITDA)
0

10

20

30

40

2008

30.5

2009

8.5

2010

15.2

2011

20.5

Consolidated earnings before interest and taxes (EBIT)
0

10

20

30

40

2008

23.3

2009

0.8

2010

7.5

2011

13.2

Consolidated net profit
0

8

5

10

15

20

2008

17.9

2009

0.1

2010

5.3

2011

9.9

M I D - Y E A R

1

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2 0 1 1 :S T A T E M E N T

O F

F I N A N C I A LP O S I T I O N
I N T E R R O L L
G R O U P

F I N A N C I A L I N T E R I M S TAT E M E N T S O F I N T E R R O L L G R O U P

1.1

Consolidated statement of financial positionin thousands CHF

30.06.2011

in %31.12.2010

in %30.06.2010

in %ASSETS
Property, plant and equipment

78 75282 94584 363

Other intangible assets

31 20528 70728 600Goodwill

8 907

9 281

10 049Financial assets

804

912

860

Deferred tax assets

871

821

191

Total non-current assets

120 53955.0

122 66658.1

124 063

Assets held for sale

1 050

1 088

1 198

Inventories*

34 79731 51035 290Current tax assets
Trade and other accounts receivable*

71

650

1 223

51 13245 23949 49810 11056.8

Cash and cash equivalents

11 716

Total current assets

98 766

45.0

88 59741.9

94 340

7 131
43.2

Total assets

219 305

100.0

211 263

100.0

218 403

100.0

EQUITY AND LIABILITIESShare capital

8 540

8 540

8 540

Capital reserves

26 80827 57727 952

Total earnings

95 640Total equity

130 988

91 34059.7

127 457

92 04960.3

128 541

Financial liabilities

5 486

5 600

1 313

Deferred tax liabilities

10 741

10 5809 429

Provisions

6 225

Total non-current liabilities

22 4527 298
10.3

23 478

58.9

6 627
11.1

17 369

7.9

Financial liabilities

22 47217 388Current tax liabilities

2 782

5 805

16 1895 164

Trade and other accounts payable

40 61137 13551 140Total current liabilities

65 86530.0

60 32828.6

72 493

33.2

Total liabilities

88 31740.3

83 806

39.7

89 862

41.1

Total liability and shareholder’s equity

219 305

100.0

211 263

100.0

218 403

100.0* In line with the annual report 2010, advanced payments on inventory were reallocated from inventories to trade and other accounts receivable as per June 30 , 2010.
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1.2

2 0 1 1 :I N C O M E / C O M P R E H E N S I V E

I N C O M E

S T A T E M E N T

Consolidated income statementin thousands CHF
Net Sales

Jan. – Jun.
2011

in %

Jan. – Jun.
2010

in %

Variancein %137 208

100.0

136 799

100.0

409

0.3

5 338

35.2

5 465

55.5

5 667

75.4

Material expenses–58 681–42.8–53 824–39.3

Personnel expenses–41 476–30.2–42 201

–30.8

2 772

2.0

–3 031–2.2

Increase/(Decrease) in work in progress,
finished products and own goods capitalised
Other operating expenses–23 742–17.3–26 906–19.7

Other operating income

4 429

3.2

4 335

3.2

Operating result before depreciation andamortisation (EBITDA)

20 51014.9

15 172

11.1

Depreciation–5 207–3.8–5 334–3.9

Operating result before amortisation (EBITA)

15 303

11.2

9 838

7.2

Amortisation–2 121–1.5–2 323–1.7

Operating result (EBIT)

13 182

9.6

7 515

5.5

Financing expenses

–953

–0.7

–279

–0.2

Financing income

474

0.3

1 032

0.8

Financing result, net

–479

–0.3

753

0.6

–1 232–163.6

Result before income taxes

12 703

9.3

8 268

6.0

4 435

53.6

Income tax expense–2 812–2.0–2 955–2.2

Result

9 891

7.2

5 313

3.9

4 578

86.2

Earnings per share (in CHF)
Non-diluted earnings per average share outstanding

12.50

6.85

5.65

82.5

Diluted earnings per average share outstanding

12.34

6.85

5.49

80.1

1.3

Consolidated statement of comprehensive incomein thousands CHF

10

Jan. – Jun.
2011

Jan. – Jun.
2010

Result

9 891

5 313

Currency translation differences–7 626–8 357

Other Comprehensive income, net of taxes–7 626–8 357

Total comprehensive income for the period

2 265–3 044

M I D - Y E A R

1.4

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2 0 1 1 :C A S HF L O WS T A T E M E N T
I N T E R R O L L
G R O U P

Consolidated statement of cash flows
Jan. – Jun.
2011

Jan. – Jun.
2010

Result

9 891

5 313

Depreciation, amortisation and impairment

7 328

7 657

in thousands CHF

Loss/(gain) on disposal of tangible and intangible assets–684

Financial result, net

479

–753

Income taxes

2 812

2 955

Changes in working capital–9 059–7 015

Changes in provisions, net

–696

650

–5 376–4 054

Income taxes paid
Personnel expenses on share based payments

724

1 234

Other non-cash (income)/expenses–331–1 697

Cash flow from operating activites

5 766

4 374

Acquisition of property, plant and equipment–5 058–8 887

Acquisition of intangible assets–4 240–4 034

Acquisition of financial assets
Proceeds from disposal of property, plant and equipment
Settlement of loans receivable
Acquisition of business activities, net of cash acquired
Interests received

–

–11

224

169

36

89

–931

–

48

59

Cash flow from investing activities–9 921–12 615

Free cash flow

–4 155–8 241

Distribution from reserves from capital contributions–3 966–

Acquisition of own shares–1 060–

Disposal of own shares

5 478

1 137

Proceeds from financial liabilities

7 098

6 644

Repayment of financial liabilities

–608

–472

Interests paid

–296

–438

Cash flow from financing activities

6 646

6 871

Translation adjustment on cash and cash equivalents

–885

114

Change in cash and cash equivalent

1 606–1 256

Cash and cash equivalent at January 1

10 110

8 387

Cash and cash equivalent at June 30

11 7167 131

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1.5

2 0 1 1 :C H A N G E SI N

E Q U I T YConsolidated statement of changes in equity

in thousands CHF
Balance at January 1, 2010

SHARe
CAPITAL

SHARe
PReMIuM

ReSeRve
FOR OwN
SHAReS

TRANSLATIONReSeRve

12 81028 145–32 386–20 422

ResultTranslation adjustments

TOTAl EquITy

144 877

92 069133 024

5 313

5 313

5 313

–8 357–8 357–8 357

Other comprehensive
income, net of taxes

–

–

–

–8 357––8 357–8 357

Comprehensive income

–

–

–

–8 3575 313–3 044–3 044

Reduction in par value

386

386

–3 884

Share based payment transaction

325

909

909

1 234

Changes in own shares,incl. tax effects

–518

1 729

1 729

1 211

–4 270

Balance at June 30, 2010

8 540

27 952–29 362–28 779

150 190

92 049128 541

Balance at December 31, 2010

8 540

27 577–27 959–40 001

159 300

91 340127 457

9 891

9 891

9 891

–7 626–7 626

ResultTranslation adjustments–7 626

Other comprehensive
income, net of taxes

–

–

–

–7 626––7 626–7 626Comprehensive income

–

–

–

–7 626

9 891

2 265

2 265

Distribution from reserves from
capital contributions–3 966

Reclassification

4 504–4 504–

Share based payment transaction

–254

978

978

724

–1 053

5 561

5 561

4 508

26 808–21 42095 640130 988

Changes in own shares,incl. tax effects
Balance at June 30, 2011

12

ReTAINeDeARNINGS TOTAL eARNINGS

8 540–3 966–4 504–47 627

164 687

M I D - Y E A R

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N O T E S
G R O U P

N O T E S T O T h E C O N S O L I D AT E D F I N A N C I A L
I N T E R I M S TAT E M E N T S

2.1

Basis of the consolidated financial statements

Convention of preparation
The condensed, unaudited consolidated interim financial statements as per June 30, 2011 havebeen prepared in accordance with IAS 34 (“interim period”) and are based on the uniform financial
statements of INTeRROLL HOLDING LTD. and its subsidiaries (“the Group”). All statements areprepared based on uniform Group accounting principles. This interim statement reflects an updateof previously published information. Therefore, it should always be read in conjunction with theannual report 2010. The interim report 2011 was approved by the Board of Director on July 27, 2011.
The Interroll Group has introduced the new IFRIC 19 which came into force as per January 1st, 2011.
As well, the amended standards and interpretations (IFRS 1, IFRS 3, IAS 1, IAS 24, IAS 27, IAS 32,
IAS 34, IFRIC 13, IFRIC 14) were adopted. There was no significant impact in the disclosure andreporting of this interim statement from the adoption of the new and amended standards and interpretations.
Advanced payments paid amounting to CHF 1.0 million which relate to the acquisition of material/
stock are disclosed under the balance sheet position “Trade and other accounts receivable”
and no longer under “Inventories”. The previous year’s figures as per 30th June 2010 have beenadjusted accordingly. As per year-end 2010 this reclassification had already been incorporated
into the consolidated statement of financial position.
Foreign currency translation
The following most important exchange rates were used for the translation of financial statements
denominated in foreign currencies:
INCOMe STATeMeNT(AveRAGe RATeS)

Jan. – Jun.
2011

Jan. – Jun.
2010

Changein %BALANCe SHeeT(BALANCe SHeeT DATe RATeS)

30.06.2011

31.12.2010

Change
in %

1 euR

1.268

1.429

–11.3

1.206

1.252

–3.6

1 uSD

0.891

1.088

–18.1

0.833

0.934

–10.9

1 CAD

0.916

1.048

–12.6

0.860

0.939

–8.4

1 GBP

1.451

1.652

–12.1

1.339

1.458

–8.1

1 SGD

0.713

0.780

–8.6

0.677

0.728

–7.0

1 CNY

0.137

0.160

–14.4

0.129

0.142

–9.1

1 PLZ

0.320

0.357

–10.5

0.302

0.316

–4.4

1 THB

0.029

0.033

–12.0

0.027

0.031

–12.9

1 ZAR

0.130

0.144

–10.0

0.123

0.142

–13.5

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2 0 1 1 :N O T E S

New or amended IAS/IFRS standards and interpretations
The IASB has published new and revised standards and interpretations. These come into force later
than 2012 and are not early adopted in this financial statement. The impact of the introduction
resp. amendment of IFRS 9 (financial instruments, as per 1.1.2013) as well as of IAS 12 (deferredtax, as per 1.1.2012) cannot yet be assessed with sufficient certainty. Based on a first assessment,
the Group Management does not expect significant impacts on the consolidated financial statements from the other new (FRS 10, IFRS 11, IFRS 12, IFRS 13) or amended (IFRS 7, IAS 12, IAS 1,
IAS 19, IAS 27, IAS 28) standards and interpretations.
Critical accounting estimates and judgments
The preparation of the consolidated interim financial statements requires management to makeestimates, assumptions and judgments for the determination of income, expenses, assets, liabilities
and for the disclosure of contingent liabilities. Such estimates, which are based on the management’s best knowledge and belief at the reporting date, may deviate from actual circumstances.
In such a case, they will be modified as appropriate in the period in which the circumstances change.

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N O T E S
G R O U P

Segment reporting
As per 1st January 2011 the Interroll Group has simplified its operational management structureand has given up its former divisional structure. with the new operational structure, previous segments were suspended and the Group Management was realigned.
The Interroll Group consists now of one single business unit. All total product range is sold in all
markets through the respective local sales organisation. The customer groups being OeMs, system
integrators and endusers are taken care by tailor-made product offerings and differentiated consulting levels. The Interroll manufacturing units focus on the production of specific product ranges.
Assembly units receive semi-finished products from the manufacturing units and assemble awide product range for their local markets. The Interroll Research Center, which is centrally located,develops new application technologies and new products for all product groups. The manufacturing
units continuously develop further the current product ranges they are focused on.
The Group Management and the Interroll management structure are organized by functions (overall management, Products & Technology, Global Sales and Services, marketing, finance and IT). The
financial management of the Group by the Board of Directors is effected on one hand by turnoverof the product groups and geographical markets and on the other hand by the reporting of theconsolidated financial statements. The Group Management additionally assesses the achievementof financial and qualitative targets of all subsidiaries.
Based on the new management structure, financial reporting is carried out in line with IAS 8 in one
reportable segment since 1st January 2011. The previous period was adjusted accordingly.

2.2

Accounting policies and standards

Acquisitions of consolidated subsidiaries resp. business activities
As per 1 January 2011 the business activities of the former licensing partner in Australia (CSA
Conveyors) were acquired by the existing Interroll entity in Australia.Intangible and tangible assets
at fair value amounted to CHF 1.1 million whereof half was paid in November 2010 and the otherhalf in January 2011. Furthermore the last installment of CHF 0.4 million related to the acquisitionof BDL France dated back in year 2006 has been transferred.
In the previous year interim period there was no acquisition of subsidiaries or business activities
respectively. There were also no payments due from previous acquisitions.

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2 0 1 1 :N O T E S

Fair value of net assets acquired
Jan. – Jun. 2011

Jan. – Jun. 2010

Fair value

Fair value

Property, plant and equipment

170–

Intangible assets

875

–

1 045

–

in thousands CHF

Total non-current assets
Inventory

331–

Total current assets

331

–

1 376

–

Total assets
Deferred tax liabilities

262–

Total liabilities

262

–

1 114

–

Total net assets acquired
Goodwill acquired
Total acquisition costs

–

–

1 114

–

Jan. – Jun. 2011

Jan. – Jun. 2010

Settlement of acquisition costsin thousands CHF
Settled by cash and cash equivalents–1 114–

Total acquisition costs–1 114–Jan. – Jun. 2011

Jan. – Jun. 2010

Cash flow from acquisitions of business activities
in thousands CHF
Settled by cash and cash equivalents–1 114–

Paid in previous periods as advanced payments

570–

Settlement of last installment for BDL France

–387

–

Net cash flow from acquisitions ofbusiness activities

–931

–

Other changes in the consolidation range
In the period under review no changes in the consolidation range have taken place.
In the previous year period assets and liabilities of Inroll Ltd., British virgin Islands were transferred
into Interroll (Schweiz) AG as per June 1, 2010. Inroll Ltd. was thereafter liquidated. Furthermore
Interroll Holding A/S was merged with its subsidiary Interroll Joki A/S as per end of May 2010. AlsoInterroll Financial Canada Ltd. in Aurora/Toronto was merged with its subsidiary Interroll Components Canada Ltd., Concord/Toronto as per January 1, 2010. Assets of Interroll DS Asia PacificCo., Thailand were transferred into Interroll (Thailand) Co. Bangkok. Interroll (Malaysia SDN. BHD.
was liquidated in late 2010.

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2.3

R E P O R T
2 0 1 1 :I N T E R R O L L

N O T E S
G R O U P

Segment information

Net sales by geographical markets
Turnover by product groups according to geographical markets is presented as follow:
Jan. – Jun.
2011

in %

Jan. – Jun.
2010

in %

Other europe, Middle east, Africa

61 50044.8

68 503

50.1

Germany

26 745

19.5

22 913

16.7

Switzerland

2 361

1.7

2 591

1.8

Total Europe, Middle East, Africa

90 606

66.0

94 00768.7

uSA

23 44017.2

23 270

17.0

Other Americas

10 221

7.4

6 162

4.5

Total Americas

33 661

24.6

29 432

21.5

Asia incl. Australia

12 941

9.4

13 3609.8

in thousands CHF

Total Asia and Pacific

12 941

9.4

13 3609.8

Total Group137 208

100.0

136 799

100.0

Material turnover with specific customers
Turnover is realized with more than 10 000 customers. There is no customer achieving a turnover ofmore than five per cent of Group sales.
Turnover by product group
Turnover realised in the first half year by product group is presented as follow:

in thousands CHF

2011

in %

2010

in %

2009

in %

Drives50 30236.6

46 25733.8

41 93836.2

Rollers

42 06230.7

40 86429.9

38 03232.8

Conveyors & Sorters

21 77015.9

23 79417.4

16 49714.2

Pallet- & Carton Flow

23 07416.8

25 88418.9

19 515

16.8

Total Group137 208

100.0

136 799

100.0

115 982

100.0

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R E P O R T
I N T E R R O L L
G R O U P

2.4

2 0 1 1 :N O T E S

Notes to the consolidated statement of financial
position

Consolidated statement of financial position
Total assets increased compared to the year end 2010 by CHF 8.0 million. The rise relates toincreased working capital resulting from higher turnover. Also the finalization of the competence
center extension in wermelskirchen/Germany and the continuous investments into the new eRP
system (SAP) further contributed to the total asset increase in local currency.
Investments/capital expanditures
Investments are mainly related to the extension of the factory in wermelskirchen, the implementation of the new eRP-System (SAP) and the acquisition of assets from the former licensee partnerin Australia.
In line with IAS 36, goodwill and other intangible assets are subject to an annual impairment test.
These tests are normally performed in the second half of the year. Currently, no evidence exists for
impairment.
Net financial liabilities (net debt)
The net debts as per end of the reporting period increased by CHF 3.4 million compared to theyear end 2010. The funds were used to finance the business activities. The funds are raised on
short term loans.
The total credit lines available as per end of the reporting period amount to CHF 86.2 million, of
which CHF 58.2 million remain unused. From these credit lines CHF 40 million are committed until
March 2012 under condition that debt covenants are complied with.
The debt covenants that have not been changed since year end 2010 have always been compliedwith during the interim period as well as during the previous year period.
Equityequity increased by CHF 3.5 million to CHF 131.0 million compared to the previous year end.
The result has largly been offset by negative translationimpacts. The distribution of reserves from
capital contributions of net CHF 4.0 million took place on May 20th, 2011 and has been debited
accordingly to the equity. The equity ratio as per end of the interim period corresponds to 59.7 %(year end 2010: 60.3 %).

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2.5

R E P O R T
2 0 1 1 :I N T E R R O L L

N O T E S
G R O U P

Notes to the consolidated income statement

Net sales
Net sales in reporting currency have increased by 0.3 % to CHF 137.2 million compared to theprevious year’s period. excluding negative foreign currency effects the increase represents agrowth of 14.3 %. The negative translation effects mainly result from euRO and uS Dollar. Turnoverfrom the acquired former business activities of the former license partner in Australia was
CHF 1.2 million.
Personnel expenses
No expenses incurred for the option plan in the period under review. In the previous year’s
period an amount of CHF 0.7 million was included which related to the extension of the exerciseand blocking period of the management share option.
Earnings before interest and taxes (EBIT)
The operating profit eBIT increased from CHF 7.5 million in the previous year period to CHF 13.2
million in the current interim period which results in a margin of 9.6 % (previous year period: 5.5 %).
volume effects and a strict cost control contributed to the positive result improvement despite ofhigh price increases for raw materials such as steel, copper and polymers. Sales prices could only
be partly adjusted and with a time-delay.
Financial result and Income tax expense
The net financial expense of CHF 0.5 million resulted from foreign exchange losses which mainly
relate to intercompany loans. The net interest expense of CHF 0.3 million is in view of the moderate
net debts low. The Interroll Group is due its decentralised structure generally not much exposed
to currency fluctuations. In the previous year period a net financial income of CHF 0.8 million waspresented.
Income tax expense is recognized based upon the best estimates of the weighted average annual
income tax rate for the full financial year. The tax rate presented in the interim report generally contains tax recoveries/-adjustment charges from previous years. It is also influenced by distinguishedassessment of future realizable losses carried forward. In the period under review no material tax
income/charges resulting from previous years were incurred.
Result
The profit presented for the reporting period amounts to CHF 9.9 million (previous year: CHF 5.3
million). The result from acquisition is immaterial in both, the reporting and the previous year.

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R E P O R T
I N T E R R O L L
G R O U P

2.6

2 0 1 1 :N O T E S

Notes to the consolidated statement of cash
flows

Cash flow from operating activities
The cash flow from operating activities amounts to CHF 5.8 million (previous year’s period:
CHF 4.4 million). Increased sales resulted on one hand in higher trade receivables. On the other
hand more material to stock was acquired before supplier prices were increased which contributed to a temporarily higher working capital.
Cash flow from investing activities
For investments into buildings, machinery, acquisitions and the new eRP system CHF 9.3 million(previous year’s period: CHF 12.9 million) were spent (see “notes to the consolidated statement offinancial position”).
Cash flow from financing activities
The payment from reserves from capital contribution for the net amount of CHF 4.0 million wasprocessed in May 2011 and is therefore included in the cash flow statement.

2.7

Notes to the consolidated statement of changes
in equity

Capital contributions
The decision of the ordinary general shareholder meeting from May 13th, 2011 to distribute CHF 5
per share from reserves from capital contributions was executed on May 20th, 2011.
Furthermore and in line with the decision of the general shareholder meeting from May 13th, 2011,
share premium was credited CHF 4.5 million with respective debit in retained earnings.
Option plan
In the period under review 2 464 management share options were excercised. In the previous
year period the option was not yet exercisable. No additional options were attributed.
Assignment of equity instruments
equity compensation to members of the management in the amount of CHF 0.7 million (previous
year: CHF 0.5 million) was expensed.

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3R E P O R T
2 0 1 1 :I N T E R R O L L

N O T E S
G R O U P

F U R T h E R D I S C L O S U R E S A N D I N F O R M AT I O NEvents after the balance sheet date, seasonality
The Group did not identify any events after the closing date of the interim statement that would
have a material effect on the presentation of its financial position as at June 30, 2011.There are noother facts which require disclosure according to IAS 34.
The industry in which the Group operates does not have significant seasonal variations which
would result in a materially different result in the second half year compared to the reporting
period. However, current difficult economical environment can have an impact on the short term
profitability.
Contingent liabilities
There were no contingent liabilities in the period under review.
Financial Calendar
January 25, 2012

Sales and order income results for the annual year 2011

March 23, 2012

Press conference for the business year 2011

May 11, 2012

General assembly for the business year 201121

Interroll Holding LTD.
via Gorelle 36592 Sant’Antonino, Schweiz
Phone+41 91 850 25 25

Fax+41 91 850 25 05

www.interroll.com
www.interroll.com/ir (Investor Relations)Contact
Paul Zumbühl
CeO
Phone

+41 91 850 25 25

investor.relations@interroll.com

Impressum
Concept and coordination:
Interroll Holding LTD., Investor Relations
Layout/DTP:
victor Hotz AG, Corporate Publishing & Print, SteinhausenThis annual report is also available in German.
The German version is binding.