DGAP-Adhoc: ISRA VISION AG: ISRA continues forecasted growth course; revenues of 100 million euro within reach for 2013/2014

ISRA VISION AG / Key word(s): Quarter Results

30.08.2013 08:14

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ISRA VISION AG: 3rd Quarter 2012/2013 - Revenues grow by 8% and EBT by 10%

ISRA continues forecasted growth course; revenues of 100 million euro
within reach for 2013/2014

- Revenue growth for 9 months plus 8% to 62.2 million euros (Q3 YTD
11/12: 57.6 mill. euros)

- EBT growth for 9 months plus 10% to 11.2 million euros (Q3 YTD 11/12:
10.1 mill. euros)

- Gross margin at stable level of 60% to total output (Q3 YTD 11/12: 60%)

- Continued high margins with respect to total output:

- EBITDA margin at 26% (Q3 YTD 11/12: 26%)

- EBIT margin at 17% (Q3 YTD 11/12: 17%)

- EBT margin at 16% (Q3 YTD 11/12: 16%)

- Order backlog currently at approx. 50 million euros (Q3 11/12: approx.
55 mill. euros)

- Earnings per share (EPS) increased by 11 percent to 1.76 euros (Q3 YTD
11/12: 1.58 euros)

- Scheduled integration of GP Solar and new impulses from photovoltaic
industry

- Profitable growth forecast for 2012/2013 with high single-digit revenue
increase confirmed

- Positive outlook for financial year 2013/2014 - business dynamics on
the rise

ISRA VISION AG (ISIN: DE 0005488100), one of the world's leading companies
of industrial image processing (Machine Vision), global market leader for
surface inspection systems, and one of the leading 3D machine vision
providers, continues the successful growth course of the first six months
of 2012/2013 in the third quarter. Revenues rise in the first nine months
of the current financial year (October 1 to September 30) compared to the
same period of the previous year by 8 percent to 62.2 million euros (Q3 YTD
11/12: 57.6 mill. euros). In comparison to the third quarter of 2011/2012
(Q3 Q/Q), revenues increased by 9 percent.

The positive results of the first six months with respect to profitability
also continue in the third quarter, whereby all profit margins are at a
high level. With respect to total output, the EBT margin (Earnings Before
Taxes) was at 16 percent (Q3 YTD 11/12: 16%), in terms of revenues at 18
percent (Q3 YTD 11/12: 18%). EBT rose to 11.2 million euros, which
corresponds to an increase of 10 percent compared to the first nine months
of 2011/2012 (Q3 YTD 11/12: 10.1 mill. euros). On a three-month basis, EBT
improved by 14 percent compared to the corresponding quarter of the
previous financial year (Q3 Q/Q). The EBIT margin (Earnings Before Interest
and Taxes) based on total output reached 17 percent (Q3 YTD 11/12: 17%),
based on revenues 19 percent (Q3 YTD 11/12: 19%). After depreciation and
amortization in the amount of 5.9 million euros in the first nine months
(Q3 YTD 11/12: 5.8 mill. euros), EBIT increased to 11.7 million euros (Q3
YTD 11/12: 10.7 mill. euros). The EBITDA margin (Earnings Before Interest,
Taxes, Depreciation and Amortization) resulted in 26 percent to total
output (Q3 YTD 11/12: 26%), EBITDA rose to 17.7 million euros (Q3 YTD
11/12: 16.6 mill. euros).

The gross margin (total output minus cost of materials and labor of
production and engineering) with 60 percent based on total output confirms
the medium-term target level (Q3 YTD 11/12: 60%). After three quarters, the
operative cash flow was at 10.8 million euros (June 30, 2012: 10.5 mill.
euros). The net cash flow amounted to 0.9 million euros (March 31, 2013:
-0.8 mill. euros), whereby financial liabilities in the amount of 3.4
million euros were repaid as scheduled, as well as 1.4 million euros spent
for acquisitions. In addition, the company features solid capital resources
with an equity ratio that increased to 57 percent (September 30, 2012:
56%). Earnings per share after taxes improved by 11 percent to 1.76 euros
(Q3 YTD 11/12: 1.58 euros).

With respect to the regional business development, ISRA profits from its
strong worldwide presence. As a result, the company increased its revenues
in the first nine months, particularly in Asia - most notably in China -
but also in North and South America. In Europe, the economic situation and
the investment delays associated with it - especially in South and East
Europe - led to a more restrained business. The further business
development in the global markets is expected to be inconsistent. Order
entries in Asia and America continue to show increases for the fourth
quarter, while a slower growth is being anticipated for the business in
Europe.

In the reporting quarter, ISRA expanded in both segments - Surface Vision
and Industrial Automation. The business in the Industrial Automation
segment developed very strongly also in the third quarter of the 2012/2013
financial year. Revenues reached 14.2 million euros (Q3 YTD 11/12: 10.7
mill. euros) - a growth of 32 percent. EBIT rose by 32 percent to 2.6
million euros (Q3 YTD 11/12: 2.0 mill. euros), the EBIT margin was at 16
percent based on total output (Q3 YTD 11/12: 16%). The high growth is
particularly driven by the automotive industry. The two large-scale orders
from important German premium manufacturers already contribute to the
revenues. The continuous dynamic in this segment indicates a strong
development for the final quarter 2012/2013, as well as the next financial
year.

In the Surface Vision segment, revenues rose in the first three quarters to
48.0 million euros (Q3 YTD 11/12: 46.8 mill. euros), while EBIT improved to
9.1 million euros (Q3 YTD 11/12: 8.7 mill. euros). Referenced to total
output, the EBIT margin was at 17 percent (Q3 YTD 11/12: 17%). A good
contribution to revenues is made by the units Plastic, Paper, and Print.
The business with the glass industry profits from positive impulses in the
second half year of 2012/2013 - strategic orders are expected shortly. As
planned, the revenues in the Specialty Paper segment are at a lower level.
In order to compensate for the investment delays in the metal industry -
primarily in the Steel segment - global sales activities are strengthened
with further product innovations. First signs of a starting recovery for
the photovoltaic industry are recorded by ISRA in Asia, particularly in
China, Taiwan and Korea. The increasing inquiries for inspection solutions
of upstream industries - such as the module glass production - serve as an
early indicator.

Besides the organic, the external growth through acquisitions of suitable
companies is also an important component of the long-term company strategy.
The integration of GP Solar GmbH acquired in May, by which ISRA
strategically strengthened its position in the photovoltaic market, is
already far advanced and progresses as planned. The product portfolio was
merged and jointly presented at international exhibitions. Synergies could
be realized in numerous areas, especially with 'design for cost' strategies
in R&D. Overall, ISRA does not expect significant impact on earnings from
the acquisition, since the costs are adjusted according to the expected
revenues. Management is currently analyzing further interesting acquisition
targets and, in case of a positive analysis result, intends to close an
additional project in 2013/2014.

The business development for the last quarter of 2012/2013 as well as the
next financial year is determined particularly by the economic situation in
the global markets. The different dynamics in the individual business areas
are met with targeted marketing and sales measures as well as the
introduction of additional innovations, which will support the revenue
goals as well as the growth strategy of the current financial year and
beyond. Based on the current order backlog of approx. 50 million euros
(previous year: approx. 55 mill. euros) and the increasing order entries in
the second half of the current financial year, ISRA anticipates revenue
growth for 2012/2013 in the high single-digit range and at least stable
margins. Due to the currently improving market environment, the company
expects additional growth effects also for the business development in
2013/2014. Following the long-term strategy, ISRA actively prepares itself
- amongst others with the reinforcement of the management team - for the
new revenue dimension of significantly more than 100 million euros as well
as double-digit growth rates.

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Language: English
Company: ISRA VISION AG
Industriestr. 14
64297 Darmstadt
Germany
Phone: +49 (0)6151 9 48-0
Fax: +49 (0)6151 9 48-140
E-mail: investor@isravision.com
Internet: www.isravision.com
ISIN: DE0005488100
WKN: 548810
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, München, Stuttgart

End of Announcement DGAP News-Service

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