EANS-Adhoc: KTM Power Sports AG / Press Release

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annual report

24.03.2011

+++ Result 2009/10 +++

KTM back at the top - all expectations exceeded

• EBIT: 30.0 million EUR1
• Net result after taxes: +14.0 million EUR
• Free cash flow: 50.7 million EUR
• Turnover: 591.4 million EUR
• Sales: 85,543 vehicles

Mattighofen, March 24, 2011

Change of the business year Due to efficiency reasons and in order to
improve comparability with official statistics on market shares,
registration figures etc., the business year was changed in order
to match the calendar year. Thus, the following data is
comparable with prior year periods only to a limited extent.

Improvement of results at all levels Significant improvement of
turnover, sales and profit in comparison to business year 2008/2009,
"which can be attributed to the quick adjustment to the
changing market environment and the focus on Off Road Competition.
Thus market shares could be doubled despite the declining
market". This is how Stefan Pierer, Chairman of the Executive
Board of KTM Power Sports AG explained the result of 2010.
Turnover increased by EUR 591.4 million, sales rose to over
85,000 items mainly in the motocross segment. The EBIT also increased
to EUR 30.0 million, which resulted in a net result of EUR 14.0
million.

Further improvement of financial key figures The equity ratio per
December 31, 2010 amounts to 39.7% (previous year 27.8%). In the
year under review KTM managed to generate a free cash flow in the
amount of EUR 50.7 million. As a result interest margins of the
existing financing structure were also significantly reduced as of
January 1, 2011.

New market shares Emphasizing the outstanding performance of more
than 1,200 dealers worldwide, Stefan Pierer pointed out: "Without
our dealers, this improvement would not have been possible." In
the off road motor bike segment (Motocross and Enduro) more than
54,000 items were sold. "This makes us the world market
leader", Hubert Trunkenpolz, Executive Board member responsible
for sales and distribution proudly announced. With nine
World Championship titles in different racing classes it was the
most successful year in the racing history of KTM and also had a
significant effect on sales. Furthermore, 18,000 items were sold
in the street motorcycle segment.

Outlook As a result of the overall restructure of one of KTM´s
core segments, the Enduro Competition family, a further increase
in turnover and sales can be anticipated for the current
business year. Moreover, with the launch of the motorcycle Duke
125ccm, KTM will refocus on a young target group. This small
motorcycle is KTM´s first result from the co-operation with Bajaj
Auto Ltd. and will be launched Europe wide as well as in the
rapidly growing emerging markets, particularly in India, Brazil and
Malaysia.

RESULT 2009/10 1)

in million EUR

01/09/2009 - 31/12/2010
(16 months)
01/09/2008 - 31/08/2009
(12 months)

Turnover
591.4
454.6

EBITDA
72.8
6.5

EBIT
30.0
-65.1

Result after taxes
14.0
-81.4

Result per share2 (in EUR)
undiluted

1.545
-11.253

EBITDA margin
12.3 %
1.4%

EBIT margin
5.1%
-14.3%

1) Change of the balance sheet date: Extension of the reporting period to 16
months from September 1, 2009 to December 31, 2010. Data is comparable with

prior year periods only to a limited extent.

2) Calculated on the basis of average shares in the reporting period.

FOR FURTHER INFORMATION

KTM Power Sports AG; Viktor Sigl MBA, Investor Relations

Tel: +43 7742 6000 144 E-mail: viktor.sigl@ktm.at

end of announcement euro adhoc
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ots Originaltext: Cross Holding AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

KTM Power Sports AG
Mag. Viktor Sigl MBA
Tel: +43 7742 6000 144
Mail to: viktor.sigl@ktm.at

Branche: Technology
ISIN: AT0000645403
WKN:
Index: mid market
Börsen: Wien / official market