EANS-Adhoc: init innovation in traffic systems AG / Higher result despite increased risks - long-term growth opportunities intact

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ad-hoc disclosure pursuant to section 15 of the WpHG transmitted by euro
adhoc with the aim of a Europe-wide distribution. The issuer is solely
responsible for the content of this announcement.
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9-month report

31.10.2011

Karlsruhe, 31st October 2011. While general economic risks increased
noticeably in Q3 2011, init innovation in traffic systems AG achieved
good results again and thinks long-term growth opportunities remain
intact. Despite short-term setbacks due to delays with individual
projects as well as postponed acceptance dates, the quarterly
revenues of the system supplier of transport telematics of EUR 23.7m
nearly reached the previous year's figure (EUR 24.8m). However, the
earnings before interest and taxes (EBIT) of EUR 5.1m surpassed the
figure for the previous year (EUR 4.8m).

Based on the first nine months of the financial year 2011, the
revenue figures of EUR 55.2m (30/09/2010: EUR 57.4m) achieved were at
the lower end of the forecast range. On the other hand, init is on
target when it comes to EBIT at EUR 11.4m (30/09/2010: EUR 11.1m).

Net profit even reached a new record high as per the end of September
at EUR 8.3m (30/09/2010: EUR 7.2m). This is equivalent to earnings
per share of EUR 0.83 (30/09/2010: EUR 0.72).

Cash flow was extremely positive. init achieved a cash flow of EUR
16.8m from operating activities in the nine month period, which is
double of the previous year's figure (EUR 8.4m).

At the moment it is not possible to give a reliable estimate of the
extent to which cost-cutting and consolidation measures in the public
sector may impact on the business position of init innovation in
traffic systems AG in the future. We currently estimate that the
measures which were deferred in Q3 will be largely implemented in the
fourth quarter, traditionally the time when the most customer billing
takes place and init therefore generates its highest revenues.

After the first nine months of the financial year incoming orders at
EUR 55.5m are around 62.3 per cent up on the previous year's figure
(EUR 34.2m). The current order backlog is around EUR 124m and exceeds
the previous year's figure (EUR 119m) by around 4.2 per cent.

Based on the high order backlog of approximately one-and-a-half times
the forecast annual revenues and the large number of public tenders
which init is currently involved in, we still see good growth
opportunities for our company beyond 2011.

The detailed interim report of init innovation in traffic systems AG
for the nine month period ended on September 30, 2011 will be
published on November 10, 2011.

For further information please contact:

Alexander Güntert
init innovation in traffic systems AG
Kaeppelestraße 6
76131 Karlsruhe
Tel.: 0721/6100-102
Fax: 0721/6100-399
ir@initag.de

Sebastian Brunner
communication+consulting
Tel.: 0175/5604673
fsbrunner@aol.com

Further inquiry note:
Alexander Güntert
Tel.: +49 (0)721 6100-316
E-Mail: ir@initag.de

end of announcement euro adhoc
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issuer: init innovation in traffic systems AG
Käppelestraße 6
D-76131 Karlsruhe
phone: +49(0)721 6100-0
FAX: +49(0)721 6100-399
mail: info@initag.de
WWW: http://www.initag.de
sector: Semiconductors & active components
ISIN: DE0005759807
indexes: CDAX, Prime All Share, Technology All Share
stockmarkets: regulated dealing/prime standard: Frankfurt, free trade: Berlin,
Hamburg, Stuttgart, Düsseldorf, Hannover, München
language: English