Gorenje business performance in the first three months 2008, successful and in line with the plan

Issuer: Gorenje gospodinjski aparati, d.d. (short name: Gorenje, d.d.), Partizanska 12, SI-3503 Velenje, Slovenia
Announcement of the Supervised Information’s is referring to Article 106 and 126 of Market in Financial Instruments Act (ZTFI).

• Consolidated revenue amounted to EUR 303,700 thousand, implying 3.1% decrease over 1st Otr. 2007 and 23.4 % of the 2008 plan and is not fully comparable with revenue achieved in 2007, due to the fact that the revenue from 1Q 2007 included also the revenue from the dispose of the company Austrian Power Vertriebs GmbH, Austria. With the comparable data’s revenue amounted to EUR 21,178 thousand and they increased by 7.5%.
• EBITDA  rose to EUR 24,904 thousand, up by 4.3 % and reached 25.4% of the annual plan 2008.
• EBIT amounted to EUR 10,745 thousand, and a flat growth of 1% and reached 25.3% of 2008 plan.
• PBT - Profit before tax  amounted to EUR 6,788 thousand, showing 9.7% increase in comparison with the 1st Qtr. 2007 and realised 21.5% of the 2008 plan.
• Net profit rose by 21.5% to EUR 5,353 thousand and reached 20.2% of the annual plan for the year 2008. Within the net profit, the net profit of minority interest is included in the amount of EUR 560 thousand.

• Revenue from sales amounted to EUR 196,220 thousand is for 4.6 % (EUR 9,525 thousand) lower as from the 1st Qtr. 2007, and reaching 22.6% of the 2008 annual plan.
  From the total sales, the sales of the large household appliances amounted to EUR 136,907 thousand or structure of 69.8%; in comparison from the same period of the last year, it is lower by 5.8%.
• EBITDA rose to EUR 15,949 thousand, up by 10.1% and reached 27.2% of the annual plan.
• EBIT in the amount of EUR 6,642 thousand showing 13.6% increase and 29% of the plan 2008.
• PBT amounted to EUR 4,820 thousand, showing a strong 21.7% increase over 1st Qtr. 2007 and reached annual plan for the year 2008 by 28.9%.
• Net profit (EUR 4,370 thousand) showing also a very strong 22% increase in comparison with the last 1st Qtr. 2007 and reached the plan by 29.8%.

• improved sales structure of the products within the Household Appliances Division,
• increased productivity
• effective managing of cost of goods, materials and services (due to these actions the EBITDA Margin (8.2%) increased by almost 1-percentage point in comparison to the planned EBITDA Margin (7.5%),
• strong growth of sales of Gorenje home appliances was in the Eastern Europe,
• specially to point out are Russia and Ukraine, following Czech Republic, Slovakia, Serbia and Slovenia.

Please, see the attached file, regarding Summary of the business report of Gorenje, d.d., and of the Gorenje Group, for the period January – March 2008!

Disclaimer: All announcements in English language are only for information purposes!

Gorenje, d.d.,
The Management Board