EANS-News: Kapsch TrafficCom AG / Results for the first three quarters of 2019/20. - ATTACHMENT

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Financial Figures/Balance Sheet

Vienna - Highlights.

* Revenues increased to EUR 545.5 million (+2%).
* EBIT dropped to EUR 7.7 million (previous year: EUR 33.6 million).
* One-off effects of EUR 10.6 million weigh on the EBIT.

"The results have not met my expectations or what we have aimed for. We are
currently experiencing a certain amount of upheaval as we move into a new phase
of expansion. The business model is being extended in a way to address both
existing and new customer groups with innovative solutions. The necessary
investments have a direct influence on our profit and loss statement as we do
not capitalize much.

We will continue working purposefully. As soon as we have succeeded in
rebuilding a solid staffing level in North America and recovered the usual high
productivity we are accustomed to, as well as overcome the challenges in Africa,
we will be able to enjoy profitable growth again," says Georg Kapsch, CEO of
Kapsch TrafficCom.

Unless otherwise
stated, all values Q1-Q3 2018/19 Q1-Q3 2019/20 +/-
in EUR million
Revenues 533.1 545.5 2.3%
EBIT 33.6 7.7 -77.2%
EBIT margin 6.3% 1.4% -4.9%
Profit for the 21.9 0.2 -99.3%
period
Earnings per share 1.77 0.14 -91.9%
(EUR)

Vienna, February 18, 2020 - Kapsch TrafficCom was able to increase the revenues
of the first three quarters 2019/20 to EUR 545.5 million (+2.3%). Growth in the
Americas region (North, Central and South America) was particularly noteworthy
(+23.2%). The operating result (EBIT) reached EUR 7.7 million (-77.2%),
corresponding to an EBIT margin of 1.4% (previous year: 6.3%). EUR 10.6 million
of one-off effects weighed on the EBIT: EUR 5.9 million related to the German
infrastructure charge topic, EUR 2.3 million to the ending of operations of the
nation-wide toll system in Czech Republic, and EUR 2.4 to end Streetline's
business activities (smart on-street parking solutions).

The lower profitability has to do with the growth of the North American
business, among others. It has turned out to be more difficult than expected to
recruit a sufficient number of new employees. In the first nine months of the
year, we adopted a new recruiting strategy and were able to increase the number
of employees in the USA (excluding the smart parking subsidiary Streetline) by
around 110 to a total of 753. It should not be forgotten that the many new
employees must often be trained by experienced colleagues. This means that
productivity will fall and costs increase before it is possible to achieve the
full potential of the expanded team. This must be partly compensated by
outsourcing. It is therefore understandable that profitability of the Group will
suffer temporarily. This situation will likely continue until well into
financial year 2020/21. The number of employees should then reach a stable level
and continue to grow at a "healthy" rate.

In Zambia, regulatory issues persist.To limit the risk, Kapsch TrafficCom
reduced its activities to a minimum a while ago

Kapsch TrafficCom is not aware of any company that has been able to demonstrate
a sustainable and profitable business model in the area of smart on-street
parking and curb management. This also applies to the Group company Streetline.
Therefore, the management has decided to end the business activities of this
company.

The financial result of EUR -5.2 million was EUR 2.9 million below the previous
year's figure. The latter included a positive one-off effect in the amount of
EUR 5.1 million from the sale of the stake in ParkJockey.

The profit for the period amounted to EUR 0.2 million (previous year: EUR 21.9
million), which corresponds to earnings per share of EUR 0.14 (previous year:
EUR 1.77).

At EUR -19.8 million, free cash flow was much better than in the comparative
period of the previous year (EUR -27.7 million). Net debt increased to EUR 190.2
million (March 31, 2019: net debt of EUR 73.5 million). Without the initial
application of IFRS 16, it would have been EUR 125.2 million. The equity ratio
was still satisfactory at 31.2% (March 31, 2019: 38.2%).

The departure of the United Kingdom from the EU (Brexit), which has now actually
taken place, should have no significant impact on results for Kapsch TrafficCom,
as the local revenues there are in the single-digit million range.

Segment results.
In the first three quarters of 2019/20, 77.0% of revenue was generated by the
ETC segment and 23.0% by the IMS segment. 56.2% of revenue was generated in the
Europe, Middle East, and Africa (EMEA) region, 39.4% in the Americas region
(North, Central, and South America), and 4.4% in the Asia-Pacific (APAC) region.

ETC (Electronic Toll Collection).

Unless otherwise
stated, all values Q1-Q3 2018/19 Q1-Q3 2019/20 +/-
in EUR million
Revenues 406.9 420.1 3.2%
EBIT 40.3 18.5 -54.0%
EBIT margin 9.9% 4.4% -5.5%

Revenues in the "Electronic Toll Collection" (ETC) segment saw an increase of
3.2% to EUR 420.1 million. The driver was growth in the Americas region
(+31.9%). In the EMEA region, revenues fell by 3.7%. Growth in the areas of
implementation and components were not able to compensate for the decline in the
area of operations. In the APAC region, revenues came down from EUR 35.0 million
to EUR 18.6 million.

ETC EBIT was EUR 18.5 million (-54.0%). The EBIT margin reached 4.4% (previous
year: 9.9%).

IMS (Intelligent Mobility Solutions).

Unless otherwise
stated, all values Q1-Q3 2018/19 Q1-Q3 2019/20 +/-
in EUR million
Revenues 126.1 125.3 -0.6%
EBIT -6.7 -10.9 -61.6%
EBIT margin -5.3% -8.7% -3.3%

In the first three quarters of 2019/20, segment revenues reached EUR 125.3
million (-0.6%). Revenues grew by 3.1% in the Americas and fell by 8.2% in the
EMEA. In the APAC region, Kapsch TrafficCom increased IMS revenues strongly,
starting from a low level.

The IMS EBIT was EUR -10.9 million and thus below the value of the previous year
(EUR -6.7 million).

The highlights report of the first three quarters 2019/20 will be available at
http://kapsch.net/ktc/ir [http://kapsch.net/ktc/ir] from today at 7:35 am (CET).

Kapsch TrafficCom is a provider of intelligent transportation systems in the
fields of tolling, traffic management, smart urban mobility, traffic safety and
security, and connected vehicles. As a one-stop solutions provider, Kapsch
TrafficCom offers end-to-end solutions covering the entire value creation chain
of its customers, from components and design to the implementation and operation
of systems. The mobility solutions supplied by Kapsch TrafficCom help make road
traffic safer and more reliable, efficient, and comfortable in urban areas and
on highways while helping to reduce pollution.
Kapsch TrafficCom is an internationally renowned provider of intelligent
transportation systems thanks to the many projects it has brought to successful
fruition in more than 50 countries around the globe. As part of the Kapsch
Group, Kapsch TrafficCom with headquarters in Vienna, has subsidiaries and
branches in more than 30 countries. It has been listed in the Prime Market of
the Vienna Stock Exchange since 2007 (ticker symbol: KTCG). Kapsch TrafficCom's
about 5,000 employees generated revenues of EUR 738 million in financial year
2018/19.

Further inquiry note:
Press Contact:
Carolin Treichl
Executive Vice President Marketing & Communications
Kapsch Aktiengesellschaft
Am Europlatz 2,1120 Vienna, Austria
P +43 50 811 1710
carolin.treichl@kapsch.net

Markus Karner
Public Relations
Kapsch Aktiengesellschaft
Am Europlatz 2, 1120 Vienna, Austria
P +43 50 811 1705
markus.karner@kapsch.net

Investor Contact:
Hans Lang
Investor Relations Officer
Kapsch TrafficCom AG
Am Europlatz 2, 1120 Vienna, Austria
P +43 50 811 1122
ir.kapschtraffic@kapsch.net

end of announcement euro adhoc
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Attachments with Announcement:
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http://resources.euroadhoc.com/documents/2235/5/10407404/1/KTC_Press_Release_Q1-
Q3_2019_20.pdf

issuer: Kapsch TrafficCom AG
Am Europlatz 2
A-1120 Wien
phone: +43 50811 1122
FAX: +43 50811 99 1122
mail: ir.kapschtraffic@kapsch.net
WWW: www.kapschtraffic.com
ISIN: AT000KAPSCH9
indexes:
stockmarkets: Wien
language: English

Additional content: https://www.presseportal.de/pm/67102/4522997
OTS: Kapsch TrafficCom AG

Original-Content von: Kapsch TrafficCom AG, übermittelt durch news aktuell