Press Release December 16, 2002

Transcription

1 ISRA VISION SYSTEMS AG: Forecast for fiscal year 2001/2002 fully met 2001/2002: 5 th successive year of top earnings Darmstadt, ISRA VISION SYSTEMS AG has confirmed its ambitions for growth with its fifth successive year of top earnings. During the past fiscal year 2001/2002 (September 30), the leading specialist for industrial image processing (machine vision) increased its total output by 39% to 24.7 million (previous year: 17.8 million); sales also grew by 39% to 22.3 million (previous year: 16.1 million). The company was able to ramp up earnings before taxes (EBT) to 3.4 million or 14% of total output up 33% on the previous year. This means that, over the last five years the company has succeeded generating an almost nine-fold increase in EBT and an almost fivefold increase in total output. "We will continue our profitable growth" commented Chairman of the Executive Board Enis Ersü on the company's direction, and added: "we are aiming for strong double digit growth." EBIT was up 50% to 3.2 million, EBITDA was up 58% to 5.5 million or 22% of total output. Last year EBITDA totaled 19% of total output. Amortization/depreciation including the amortization of goodwill from acquisitions was in line with forecast at 2.2 million (previous year: 1.3 million). The above average downturn in the sales and administration costs is also pleasing: 4.4 million or 18% of total output (previous year: 20%). Research and development expenses increased to 3.8 million. Materials and staffing costs (expenses for production and engineering) fell slightly to almost 46% of total output and totaled 11.4 million in the year under review. Gross profits totaled 13.3 million, which means that the gross margin improved again slightly on the previous year to 54%. During fiscal year 2001/2002 the cash flow from operating activities grew to 1.3 million (previous year: 1.0 million). The company's total assets totaled 40.1 million (previous year: 29.2 million), and its equity totaled 31.5 million (previous year: 25.1 million), an eqity ratio of 78%, after subtraction of deferred taxes 81%. Growth is pleasing and fully meets forecasts as is clearly confirmed by the last quarter's earnings: during the fourth quarter of fiscal year 2001/2002 ISRA recorded total output of 7.4 million. In so doing, it was able to further improve its gross margin to 58% and EBT to 17% of the total output. In addition, the company has already acquired key strategic major orders in fiscal year 2002/2003, which started on October 1. This positive tendency also underscores the excellent response to the new "Surface Inspector" and "EASI" (adhesive and sealant inspection) product lines.

2 Segment growth was in line with the strategic forecast. For the first time, the Surface Vision segment recorded the largest portion of total output with 47% (previous year: 27%). Robot Vision grew 28% on the previous year and contributed 38% to total output. The Quality Vision (quality control) segment accounted for 15% (previous year: 32%) of total output. In geographic terms, the growth was driven by Europe and Asia North America did not make any contribution. In terms of customers' industries, the key motors for growth were the automotive and glass sectors the plastics sector and business with OEM manufacturers also played a pleasing role. In the current fiscal year the company is planning to further expand its sales activities, in particular in Asia and southern Europe (Spain). ISRA has been able to expand its position as the leading global supplier for sheet glass inspection by bundling its competences in ISRA GLASS VISION GmbH, based in the Westphalian city of Marl. The integration of Marl-based INNOMESS GmbH, acquired during the first quarter of 2001/2002 was highly successful. At the Karlsruhe location ISRA has restructured its activities and created the Integrated Systems business unit, which focuses on standardized OEM components. ISRA believes that it will also be able to realize attractive margins in this sector. The company is not satisfied with the attention it is receiving from the capital markets. Despite longterm, high-earnings growth, for more than a year the stock market has not been sufficiently differentiating between successful companies and the Neuer Markt's problem cases. "In fact, we are being faced with a Neuer Markt penalty", stated Ersü however he is certain that the future Prime Standard will make intense communication with investors more lasting, and will also "be reflected in share performance". All in all, ISRA is optimistic about its further growth. The company will also be able to continue to systematically develop market potential not least due to its positive cash flow and high equity ratio. In addition, the short-term return on investment linked to ISRA's products and the great potential for optimization and rationalization ensure strong demand, even in the present situation. "We will primarily drive our continued dynamic growth with new ISRA Brainware applications in new areas", commented Enis Ersü confidently on the opportunities for using ISRA technology.

3 Consolidated Profit and Loss Statement *) from October 1, 2001 to September 30, 2002 in T Oct. 1, 2001 to June 30, 2002 Oct. 1, 2000 to Sep. 30, 2001 Revenues % % Capitalized items % % Total Output % % Production and Engineering Material % % Personnel % % Total Production % % Gross Profit % % Costs Research and Development % % Distribution and Marketing % % Administration % % Distribution and Administration % % Depreciation % % Total Costs % % Other income 317 1% 262 1% EBITDA % % EBIT % % Financing 175 1% 405 2% EBT % % Taxes % % Net profit for the period % % Per-share result in 0,65 0,49 Number of shares *) according to IAS, unaudited

4 Consolidated Balance Sheet *) As of September 30, 2002 in T Assets Sep. 30, 2002 Sep. 30, 2001 Current Assets Short-term assets Cash and cash equivalents Trade receivables Inventories Prepaid expenses Other Assets Total short-term assets Long-term assets Goodwill Other intangible assets Tangible Assets Deferred Taxes Total long-term assets Total assets Equity and Liabilities Sep. 30, 2002 Sep. 30, 2001 Current liabilities Trade payables Payables to credit institutions Accruals Tax accruals 0 0 Deferred Income 6 6 Other liabilities Total current liabilities Non current liabilities 0 Deferred Taxes Total non current liabilities Equity Common Stock Capital reserves Other retained earnings Profit brought forward Net profit for the period Total equity Total liabilities *) according to IAS, unaudited

5 Consolidated Cash-Flow Statement *) For the period from October 1, 2001 to September 30, 2002 in T Oct. 1, to Sep. 30, 2002 Net profit for the period Taxes paid 0 Change in accrual for deferred Taxes Change in accrual Depreciation Change in inventories Change in receivables from customers, other assets and prepaid expenses Changes in payables to suppliers, other liabilities and deferred income Other changes -175 Cash-flow from business activity Investment in tangible assets -736 Investment in intangible assets Investments in acquisitions Cash-flow from investment activity Capital contributions of the shareholders 0 Reaquired own shares 0 Change in financial dept 0 Interest paid and received 175 Cash-flow from financing activity 175 Interest paid and received 0 Change in fund assets Net Cash-flow Changes in fund assets due to changes in exchange ratess -86 Fund assets as per Sep. 30, Fund assets as per Sep. 30, *) according to IAS, unaudited

6 Company profile: The company develops and markets ISRA-BrainWARE, innovative software for intelligent machine vision systems. Its customers include today DaimlerChrysler, KUKA, ABB, BMW, Volkswagen, General Motors, Ford, Schott, MAN Roland, Reifenhäuser, Winkler+Dünnebier, DuPont und Winmöller+Hölscher. In the 2000/01 financial year (ending September 30) ISRA generated an EBT of 3,4 million (2000/2001: 2.6 million) and a total output of 24.7 million (2000/2001: 17.8 million). Today ISRA has a global alignment and employs over 160 staff. ISRA originated in 1997 as a spin off from vision and robot experts at the Technische Universität Darmstadt from a predecessor company. The ISRA-technology enables the 3-dimensional "electronic eye", i.e.digital image processing in the control of automated production processes. The focus is on rational automation solutions for robot control in highly complex tasks (Robot Vision), surface inspection of complex surfaces such as paints and webs (Surface Vision) and quality control in assembly (Quality Vision). According to expert estimates, only 20% of possible applications are currently actually being used. The growing intelligence and increasing miniaturisation of Machine Vision systems makes it possible for a wider range of applications, not confined to industrial production, e.g. in medicine and logistics. For further information please contact: ISRA VISION SYSTEMS AG Tel.: +49 (0) Industriestraße 14 Fax: +49 (0) D Darmstadt info@isravision.com Internet: Investor Relations: Frank Behnam fbehnam@isravision.com Tel.: +49 (0) Claudia Hinterthür chinterthuer@isravision.com Tel.: +49 (0)