EANS-Adhoc: init innovation in traffic systems AG / init increases annual net profit by 50 per cent to EUR 15.1m - sales and earnings targets for 2011 exceeded

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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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06.03.2012

Karlsruhe, 06 March 2012. Following a strong last quarter in 2011,
init innovation in traffic systems AG notably exceeded its sales and
earnings targets set for the year. Based on the preliminary figures
now available, revenues of the global operator and system specialist
in telematics, planning and electronic fare collection systems in
public transport, rose by around 9.7 per cent to EUR 88.7m (2010: EUR
80.9m). A further new record was set in earnings, as the group's
annual net profit improved by 50 per cent to EUR 15.1m (2010: EUR
10m). This provides earnings per share of EUR 1.51 (2010: EUR 1.00).

A crucial factor for the success of init reporting its seventh record
year in a row despite growing risks for the economy in 2011 was in
particular the positive development in the fourth quarter. With
revenues of EUR 33.5m (Q4 2010: EUR 23.5m), the group generated
quarterly earnings (EBT) of EUR 9.2m from October to the end of
December alone. Excellent progress in major projects initiated in
North America and considerable follow-up orders in Europe added
significantly to this figure.

The distinctly disproportionate increase in revenues, however, was
also due to special factors. Pushed by higher sales and the
retransfer of the risk provision for Dubai made possible after
appropriate receipts of payment, gross profit on revenues improved by
EUR 1.4m to EUR 36.3m (2010: EUR 27.3m). This corresponds to an
increase of 33 per cent (2010: 18.7 per cent).

The new record in earnings before interest and taxes (EBIT) of EUR
20.4m (2010: EUR 15.1m) also reflects a special item added as a
result of the full takeover of id-systeme GmbH of around EUR 1.5m.
Based on IFRS, the value of the 44 per cent of shares already held
was subsequently increased to the purchase price after gradual
acquisition of the remaining 56 per cent of shares.

The success of init innovation in traffic systems AG also reveals
itself in an increased operating cash flow. At EUR 20.1m in 2011, it
exceeded the prior-year result by 38.4 per cent (2010: EUR 14.6m).
Liquid funds, including short-term securities available for sale,
rose further as a result to reach EUR 23.5m (2010: EUR 18.4m) as at
the end of December 2011.

The significant order volume of around EUR 117m at the end of the
year (2010: EUR 130m) provides init with a good base for continued
growth. New orders booked in 2011 amounted to EUR 81.4m (2010: EUR
70.5m). A great number of orders were pushed into 2012, so that a
further intake of orders is expected.

Based on this, the Managing Board of init innovation in traffic
systems AG sees good prospects for a disproportionately positive
business trend in 2012 compared with the overall economy, and a
continuation of its dynamic growth seen over the last few years. The
full annual report of init for 2011 will be published on 29 March
2012 at the press and analyst conference on the company's financial
statements in Frankfurt.

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: free trade: Hannover, Berlin, München, Hamburg, Düsseldorf,
Stuttgart, regulated dealing/prime standard: Frankfurt
language: English