Status

Focus on cash flow
As we entered 2009 the sails were reefed at Scion DTU. Building projects were abandoned, the investment level for new acquisitions was lowered and other projects were either suspended or terminated. For a business like Scion DTU, whose most fundamental financial activities include buildings and facilities, it is essential to ensure a solid cash flow readiness in times of decline, because buildings and facilities cannot be reduced if the companies in the science park downgrade or close.

Tough conditions for development companies
The focus on cash flow has proven necessary as 2009 presented many challenges to the companies at Scion DTU. This resulted in 19 companies having to downsize their lease, and 29 companies had to terminate or move their activities. Thus, Scion DTU's business reflects the tough conditions under which science-based companies currently suffer. Most affected is the type of company still in the development phase and thus depending on venture capital to finance the phase. This is particularly true for biotech companies with extensive periods of developing. Scion DTU houses a relatively large amount of these companies. At the same time, biotech companies are characterised as being tenants of some of the most capital-intensive facilities at Scion DTU.

By the end of 2009, 177 companies and organisations reside in Scion DTU's buildings in Hørsholm and Lyngby.

Companies moving in	32
Companies moving out	32
Companies total	177

Increased international approach
In the midst of this development, it is positive to note that Scion DTU's focus on internationalisation has caused 11 foreign companies to move into the science park in 2009.

The total number of foreign companies thus amounts to 22. The sales promotion of Scion DTU will continue to focus on increasing this share, and the work will be intensified in collaboration with DTU, as the professional core competences of DTU make a substantial selling point.

Søhuset Conference Centre
Søhuset constitutes Scion DTU's business in conferences and meetings, and the last six months of 2009 showed a rapid slowing down in the business. Consequently, Scion DTU was affected at a level equal to the conference industry in general.

Positive bottom line
Despite the halt in Danish economy, and the tough conditions for development companies in particular, Scion DTU achieved a minor progress in its turnover of 6 %, which brought the total turnover to DKK 169,7 million. Due to the investment decrease, among other things, it was possible to make a small profit of DKK 8 million.