EANS-Adhoc: KTM Power Sports AG / Interim Statement Q3 2011

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quarterly report

03.11.2011

KTM heading for record Previous year`s profit already exceeded in the
first three quarters of 2011

Mattighofen, 4.11.2011

Turnover 397.9 million EUR (+12% compared to previous year); sales
59,847 motorcycles (+20% compared to previous year)

Despite a still volatile motorcycle market in Europe and the USA, KTM
managed to increase turnover to 397.9 million EUR (+ 11.6% compared
to previous year) and sales to 59,847 motorcycles (+20.2% compared to
previous year) in the first nine months of 2011 (Q3 2011).

"Due to the success of the Duke 125 and the new Enduro Competition
generation the net profit generated in the first three quarters of
2011 already exceeds the net profit from last year´s 12-months
reference period. KTM´s market share in Europe increased by one third
(32.6%) to 5.7% compared to previous year", explains Stefan Pierer,
Chairman of the Executive Board of KTM Power Sports AG.

EBIT 27.3 million EUR (+20% compared to previous year); net profit
18.8 million EUR (+34% compared to previous year)

In the first nine months of 2011 (Q3 2011) KTM achieved an EBITDA of
52.2 million EUR (+11.8% compared to previous year) and an EBIT of
27.3 million EUR (+19.7 million compared to previous year). The net
profit increased by 33.8% to 18.8 million EUR. This earnings increase
results from improvements in efficiency in all areas and lower
financing cost.

Successful product launch
# 1 in European registration statistics - 125 ccm

After the successful launch of the Duke 125 in spring 2011 - the
first street motorcycle in cooperation with Bajaj - the Duke tops the
European registration statistics in the 125 ccm segment since June
2011 nonstop.

The increase in the Enduro Competition segment, KTM´s most important
product segment, results from the successful market supply with the
new model family since June 2011. In this segment KTM is the global
market leader with over 30,000 motorcycles sold p.a.

Human resources development: 1.762 employees (+10% compared to
previous year)

KTM´s staff increased by approximately 170 employees (+9.8% compared
to previous year) - mainly in the areas of research & development,
distribution and emerging markets - due to the sales increase and the
consequently considerable production increase at the site in
Mattighofen. In the apprentices´ training shop - an important field
for KTM to train its own specialists - 24 new apprentices started in
September; currently almost 80 apprentices are trained there.

Outlook

The cooperation with Bajaj on the development of new street models
with less engine capacity (125 ccm to 350 ccm) for the global
distribution (Europe, USA and emerging markets) proceeds according to
schedule. The Duke 200 is the next model developed from this
cooperation that will be launched worldwide in the coming year and
will set new standards for KTM. Besides activities for the market
entry in Brazil, the market launch of KTM products in Malaysia and
Indonesia is planned. Bajaj will launch the KTM-Duke 200 in India in
January 2012 already.

Despite a still stagnating and partially regressive market
environment in Europe and the USA, KTM expects an increase in
turnover to over 500 million EUR for the current business year. Thus,
a considerable increase of the result compared to 2010 and an
increase of the equity ratio to over 43% will be achieved.

Result 9 months (Q3 2011)

in million EUR Q3 2011 Q3 20102 Change absolute Change %
Turnover 397.9 356.5 +41.4 +11.6%
EBITDA 52.2 46.6 +5.6 +12,0%
EBIT 27.3 22.8 +4.5 +19.7%
Result after taxes 18.8 14.0 +4.8 +34.3%
Result per share 1) (in EUR) 1.8 1.5 +0.3 +20.0%
EBITDA Marge 13.1% 13.1% +0.0 +0.0%
EBIT Marge 6.9% 6.4% +0.5 +7.8%

1) Calculated on the basis of average shares in the reporting period
2) 01 January 2010 - 30 September 2010

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

end of announcement euro adhoc
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issuer: KTM Power Sports AG
Stallhofnerstraße 3
A-5230 Mattighofen
phone: +43(0)7742/6000-0
FAX: +43(0)7742/6000-5216
mail: ir@ktmpowersports.com
WWW: www.ktm.com
sector: Technology
ISIN: AT0000645403
indexes: mid market
stockmarkets: official market: Wien
language: English