Half-Year Interim Report Fiscal Year 2011/2012

Transcription

1 Half-Year Interim Report Fiscal Year 2011/2012 October 1, 2011 to March 31, 2012

2 Contents. STOCK/INVESTOR RELATIONS Share Performance 4 Annual General Meeting and Dividend 5 Investor Relations 5 GROUP INTERIM MANAGEMENT REPORT Business Environment 6 Performance, Financial Position and Assets 6 Segment Reporting 9 Employees 9 Report on Major Related-Party Transactions 10 Report on Opportunities and Risks 10 Report on Expected Developments 10 GROUP INCOME STATEMENT Group Income Statement 11 Group Statement of Comprehensive Income 11 Group Balance Sheet 12 Group Cash Flow Statement 13 Changes in Group Equity 14 Selected Explanatory Notes 15 FURTHER INFORMATION Responsibility Statement 18 Review 18 Financial Calendar 19 Details about the Cover 19

3 2 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income Key Figures. Statement of Income ( millions) 2nd quarter 2nd quarter 2011/ / Change 6 months 6 months 2011/ / Change Net Sales % 1,156 1,208 4% of which Banking % % of which Retail % % Gross profit % % Gross profit as a percentage of net sales 19.5% 24.7% 21.0% 24.8% Research & development expenses % % R&D expenses as a percentage of net sales 4.6% 4.7% 4.1% 4.4% Selling, general and administration expenses % % SG&A expenses as a percentage of net sales 14.1% 13.6% 13.1% 13.2% Operating profit (EBITA) % % EBITA as a percentage of net sales (EBITA margin) 0.9% 6.4% 3.9% 7.3% of which Banking % % as a percentage of net sales Banking 0.3% 7.6% 3.6% 8.6% of which Retail % % as a percentage of net sales Retail 2.9% 4.3% 4.5% 4.7% Amortization/depreciation of property, plant and equipment and licenses and write-down of reworkable service parts % % EBITDA % % EBITDA as a percentage of net sales (EBITDA margin) 4.0% 9.1% 6.6% 9.8% Profit for the period % % Profit for the period as a percentage of net sales 0.4% 4.2% 2.3% 4.8% Cash flow ( millions) Cash flow from operating activities % Key Balance Sheet Figures ( millions) Mar. 31, 2012 Sept. 30, 2011 Change Working Capital as a percentage of net sales (annualized) 7.8% 11.3% Net debt Equity Human Resources Number of Employees ) January 1, 2012 March 31, ) January 1, 2011 March 31, ) October 1, 2011 March 31, ) October 1, 2010 March 31, ) Including other operating income and expenses. 6) Net profit on operating activities before interest, taxes and amortization of goodwill. 7) Including non-controlling interests.

4 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 3 Significant Decline in EBITA Following Sustained Downturn in Banking Business Restructuring Program Initiated. Net sales: down 4% Operating profit (EBITA): down 49% Profit for the period: down 53% Regional sales performance: Germany: down 6% Europe: down 2% Asia/Pacific/Africa: down 12% Americas: down 1% Net sales down 13% in Hardware and up 5% in Software/Services business. Banking segment sees net sales fall by 9%, while Retail segment records 4% growth. Outlook for fiscal year further specified: net sales comparable to previous year s figure; operating profit down markedly year on year to around 100 million, taking into account 40 million in costs attributable to restructuring program. Key Events. In view of its business performance, Wincor Nixdorf has initiated a process of strategic realignment with regard to its activities and has launched an extensive restructuring program. Among other measures, the staff headcount in western Europe in particular is to be downsized by more than five hundred; Germany will account for around half of this figure. The aim of restructuring is to extend and substantially strengthen global competitiveness, as well as targeting business activities at the emerging markets faster and in a more pronounced manner. To this end, Wincor Nixdorf will significantly tighten the management, support, and administrative functions of its international business organization. Within this context, the Company will be looking to establish new, more effective groups comprising several countries in order to increase the critical mass required for the expansion of its solutions business in all regions. At the same time, Wincor Nixdorf is committed to strengthening its customer focus as well as honing its capabilities for the purpose of marketing its portfolio in a solution-driven manner. This is to be achieved by taking a more direct approach when it comes to structuring the responsibilities for the global banking and retail business. In parallel, the Company will relocate to the Asia/Pacific region key capacities required for future growth in the emerging markets. As part of this process, development activities in the region are to be further expanded, while those located in Europe are to be scaled back. In taking this route, the Company will be looking to develop hardware for the emerging markets in particular, as well as establishing an appropriately targeted portfolio of products and services as soon as possible. Additionally, in future a larger proportion of products within the existing portfolio is to be manufactured in China, while at the same time production capacities in Germany are to be adjusted accordingly. The downsizing measures are to be implemented in two stages, with one half of the staff reduction taking place in the current 2011/2012 fiscal year and the other half in the coming 2012/2013 fiscal year. As regards the total headcount of those employed within the Group, there are likely to be contrary effects due to the recruitment of additional personnel in areas of significant growth, such as Software/ Services, but also in growth regions.

5 4 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income Stock/Investor Relations. In the second quarter of fiscal 2011/2012, Wincor Nixdorf s stock largely maintained the relative weakness that had marked the first quarter compared to the market as a whole. Initially, it edged up during the second quarter, thus trending in line with the general recovery in equities. At the end of the quarter, however, it fell back significantly compared to the overall market. As of March 30, 2012, the stock was up 10.9%, falling well short of the average gain in the overall market (up 30.9%). Performance of Wincor Nixdorf shares as from October 1, 2011 to March 31, 2012, compared to MDAX (Performance Index), MSCI World % 130.9% 130% % 120% 110.9% 110% % 30 October November December January February March Wincor Nixdorf MDAX (Performance-Index) MSCI World 90%

6 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 5 Share Price Data (Xetra). Opening price, October 3, High in the reporting period Low in the reporting period Closing price, March 30, Market capitalization, March 30, ) Calculated on the basis of shares outstanding. 1,098m. Annual General Meeting and Dividend. Shareholders attending the Annual General Meeting of Wincor Nixdorf AG in Paderborn (Germany) on January 23, 2012, represented 65.2% of the voting rights. All resolutions on the agenda were passed with large majorities in favor of the management proposals. A dividend of 1.70 per share was agreed for fiscal 2010/ This was unchanged from the previous year. The dividend was distributed to the Company s shareholders on January 24, During the quarter under review, the Board of Directors and Investor Relations team presented the Company at a number of investor conferences in Germany, the United Kingdom, and Ireland and held meetings with several institutional investors. On January 23, 2012, an analysts conference call was arranged for the announcement of Wincor Nixdorf s firstquarter results for fiscal 2011/2012. In the late evening of April 16, 2012, the Company published its preliminary results for the first half of fiscal 2011/2012 in the form of an ad-hoc announcement, in addition to further specifying its forecast for the fiscal year and outlining its comprehensive restructuring program. On April 17, 2012, a conference call was organized for analysts. Investor Relations. At the end of the period under review, the Company was officially covered by 21 financial analysts, who issued comments and recommendations. These analysts are (in alphabetical order): Bank of America Merrill Lynch, Bankhaus Lampe, Berenberg Bank, Cheuvreux, Commerzbank, Deutsche Bank, DZ Bank, equinet Bank, Fairesearch, Goldman Sachs, HSBC Trinkaus & Burkhardt, Kepler Capital Markets, LBBW, Main- First, Metzler Equity Research, M.M.Warburg, Nord/LB, Silvia Quandt Research, UBS, Wedbush Morgan Securities, WestLB. Based on the announcements issued pursuant to Section 21 of the Securities Trading Act (Wertpapierhandelsgesetz WpHG), at the end of the reporting period the following entities held an interest in Wincor Nixdorf in excess of the disclosure threshold: DWS Investment GmbH (more than 5%) Aberdeen Asset Management PLC (more than 3%) AMUNDI S.A. (more than 3%) Polaris Capital Management, LLC (more than 3%)

7 6 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income Wincor Nixdorf AG Group Interim Management Report for the Period from October 1, 2011 to March 31, BUSINESS ENVIRONMENT. Global Economy. In the first months of 2012, the global economy as a whole continued to be dominated by uncertainty, thus confirming the forecast of the IMF. In its Global Economic Outlook of January 2012, the IMF had projected a stalling global recovery and intensified downside risks, primarily as a result of the sovereign debt crisis in the eurozone. Developments in the Retail Banking and Retail Industries. The retail banking business is still under pressure, especially in Europe. This was underscored in April 2012 by the Boston Consulting Group Retail Banking Performance Index for the last quarter of According to the index, the main factor weighing on the sector, particularly among European banks, is the high level of risk provisioning in response to the debt crisis. At the same time, profitability has continued to decline rapidly, albeit with regional differences. The retail industry continued to reap the rewards of sustained growth within the emerging countries. This also applied to Europe, for instance, where the Institut für Handelsforschung (IFH) pointed to a stronger growth impetus in the eastern part of the European Union. PERFORMANCE, FINANCIAL POSITION AND ASSETS. Performance. Net Sales. The Wincor Nixdorf Group saw its net sales contract by 4% to 1,156 million in the first half of fiscal 2011/2012 (6 months 2010/2011 [referred to hereafter as previous year ]: 1,208 million). In the second quarter, consolidated net sales amounted to 548 million (previous year: 574 million), which corresponds to a year-onyear decline of 5%. Expressed in U.S. dollars, net sales were also down by a notional 5% in the period under review. Regional Performance. In Germany, net sales fell by 6% to 300 million in the first half of the current fiscal year (previous year: 318 million), thus again accounting for 26% of the Group s total net sales. In the second quarter of the fiscal year, net sales generated in Germany totaled 145 million (previous year: 151 million), down 4% on the figure posted in the same period a year ago. At 559 million (previous year: 569 million), Europe (excluding Germany) saw a year-on-year decline in net sales of 2% in the first six months of the current fiscal year. This region contributed the largest part of total net sales for the Group at 48% (previous year: 47%). In the second quarter of the fiscal year net sales in Europe (excluding Germany) declined by 4% to 264 million (previous year: 276 million). Asia/Pacific/Africa saw net sales contract by 12% to 176 million in the first six months of the current fiscal year (previous year: 199 million). This region thus accounted for 15% (previous year: 17%) of total net sales for the Group. In the second quarter of the fiscal year, net sales in the Asia/Pacific/Africa region fell by 6% to 85 million (previous year: 90 million).

8 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 7 In U.S. dollars, the Americas recorded a 3% decline in net sales in the first half of the fiscal year. Translated into euros, this corresponded to a downturn in net sales by 1% to 121 million (previous year: 122 million). Thus, the proportion of Group net sales generated in the Americas was 11% ( previous year: 10%). In the second quarter of the fiscal year, the Americas saw net sales contract by 5% to 54 million (previous year: 57 million). Performance by Business Stream. In the first half of the fiscal year, net sales attributable to the Hardware business fell by 13% year on year to 543 million (previous year: 625 million). By contrast, net sales from Software/ Services increased by 5% to 613 million (previous year: 583 million). The share of total net sales attributable to the Hardware business stood at 47% (previous year: 52%). Correspondingly, the proportion of total net sales from Software/Services rose to 53% (previous year: 48%). Costs. The gross margin on net sales in the first half of the fiscal year declined by 3.8 percentage points, down from 24.8% in the previous year to 21.0% in the first six months of fiscal 2011/2012. Reconciliation of Result from Business Operations (EBITDA). m 6 months 2011/ months 2010/2011 Profit for the period Income taxes Financial result 6 3 EBITA Amortization/Depreciation of property rights, licenses and property, plant and equipment Write-down of reworkable service parts 4 4 EBITDA Profit. In the first half of the fiscal year, operating profit (EBITA) stood at 45 million and was thus down 49% on the previous year s figure for this period (previous year: 88 million). The EBITA margin fell by 3.4 percentage points to 3.9% (previous year: 7.3%). Profit for the first six months of the fiscal year declined to 27 million, down 53% on the previous year s figure for the first half (previous year: 58 million). Research and development costs were reduced by 6 million to 47 million (previous year: 53 million), down 11% on the figure posted for the first six months of the previous fiscal year. The R&D ratio was 4.1% (previous year: 4.4%). Selling, general and administration expenses, including other operating income and expenses, fell by 8 million to 151 million during the reporting period (previous year: 159 million). As a percentage of total net sales, the selling, general and administration expense ratio stood at 13.1% (previous year: 13.2%).

9 8 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income Financial Position. Cash flow. m 6 months 2011/ months 2010/2011 Cash flow from operating activities Cash flow from investment activities Cash flow from financing activities Change in liquidity Cash and cash equivalents at the end of the period Free Cash flow ) Include cash and cash equivalents as well as current bank borrowings. In the first half of fiscal 2011/2012, cash flow from operating activities totaled 109 million, a year-on-year decline of 22% (previous year: 140 million). EBITDA, which is a major contributor to cash flow from operating activities, fell by 36% to 76 million (previous year: 118 million). Income taxes paid led to a reduction in cash by 19 million (previous year: 24 million), which was less than in the previous year. As was the case last year, the reduction in working capital resulted in cash inflows, which amounted to 82 million in the period under review (previous year: 78 million). Together, the change in other assets and other liabilities as well as the change in accruals produced a cash outflow of 25 million (previous year: cash outflow of 29 million). At 26 million, net cash used in investing activities was lower than in the same period a year ago (previous year: 30 million). The main focus of investing activities was on other fixed assets and office equipment as well as reworkable service parts. Net cash used in financing activities totaled 100 million in the period under review (previous year: 27 million). In this context, the net outflow was influenced largely by the dividend payment of 51 million (previous year: 53 million), which was resolved by the AGM in January of the current fiscal year. In the first half, the net amount of financial liabilities extinguished by the Group was 46 million. In the previous year, by contrast, the Group had taken out loans equivalent to a net amount of 26 million. In December, Wincor Nixdorf had successfully syndicated a line of credit of 400 million for a term of five years with two one-year options for extension. At 81 million (previous year: 110 million), free cash flow (cash flow from operating activities less capital expenditure on intangible assets, property, plant and equipment, and reworkable service parts) was 29 million lower than in the same period a year ago. The cash flow movements outlined above led to a reduction in net debt to 168 million as at March 31, 2012 (Sept. 30, 2011: 199 million). Assets. Assets March 31, 2012 m September 30, 2011 Non-current assets Current assets Total assets 1,355 1,307 Equity and Liabilities Equity (incl. non-controlling interests) Non-current liabilities Current liabilities Total equity and liabilities 1,355 1,307 Compared to September 30, 2011, total assets were up 48 million, or 3.7%, to 1,355 million. On the asset side, current assets rose by 48 million to 786 million (Sept. 30, 2011: 738 million), primarily as a result of an increase in inventories by 38 million to 304 million (Sept. 30, 2011: 266 million) as well as a rise in cash and cash equivalents by 38 million to 60 million (Sept. 30, 2011: 22 million). Contrary to this development, trade receivables were scaled back by 37 million to 350 million (Sept. 30, 2011: 387 million).

10 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 9 In total, equity declined by 21 million to 309 million (Sept. 30, 2011: 330 million). While the dividend payment to equity holders amounted to 51 million (previous year: 53 million), profit for the period stood at 27 million (previous year: 58 million). In December 2011, a new agreement for a revolving credit facility with a volume of 400 million and a term of five years was concluded. Additionally, the revolving credit agreement includes two options for extension each covering a period of one year. The 350 million revolving facility originally maturing in August 2012, which was classified as current as of September 30, 2011, was extinguished in December 2011 prior to maturity. As a result of these refinancing measures, funds utilized as part of the financing arrangements have been reclassified from current to non-current. Non-current liabilities amount to 235 million (Sept. 30, 2011: 104 million). They include financial liabilities of 131 million (Sept. 30, 2011: 2 million). Current liabilities totaled 811 million as of March 31, 2012 (Sept. 30, 2011: 873 million). This figure includes trade payables totaling 328 million (Sept. 30, 2011: 288 million) as well as financial liabilities amounting to 74 million (Sept. 30, 2011: 197 million). SEGMENT REPORTING. Segment Performance. Net sales in the Banking segment were down 9% year on year at 732 million in the first half of fiscal 2011/2012 (previous year: 802 million). In the second quarter net sales fell by 7% year on year. EBITA for the Banking segment stood at 26 million after the first six months of the fiscal year (previous year: 69 million), down 62% on the same period a year ago. Key Performance Indicators: Banking Segment. m 6 months 2011/ months 2010/2011 Change Net sales % EBITA % EBITA margin (%) Net sales generated in the Retail segment edged up by 4% to 424 million in the first six months of fiscal 2011/2012 (previous year: 406 million). Net sales for the second quarter remained unchanged year on year. At 19 million, EBITA within the Retail segment also matched the previous year s figure for the first six months. Key Performance Indicators: Retail Segment. m 6 months 2011/ months 2010/2011 Change Net sales % EBITA % EBITA margin (%) EMPLOYEES. Between September 30, 2011, and March 31, 2012, the headcount for the Group rose by 93 to 9,264 (Sept. 30, 2011: 9,171). This was attributable primarily to staff recruitment within the area of international Services.

11 10 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income REPORT ON MAJOR RELATED-PARTY TRANSACTIONS. There were no significant transactions with related parties during the period under review. REPORT ON OPPORTUNITIES AND RISKS. The potentially adverse effects of the sovereign debt crisis on the investment behavior of many European banks, as outlined in the Report on Expected Developments as part of the Group management report for fiscal 2010/2011, actually materialized in the period under review. At the point of publishing the interim report for the first half of fiscal 2011/2012 there was no evidence to suggest a significant improvement to this situation taking place. The other opportunities and risks described in the 2010/2011 Group management report with regard to the expected development of the Group up to the end of the reporting period continue to apply without any material changes. Additionally, there is the possibility of risks arising in connection with the execution of the restructuring program that has already been initiated. REPORT ON EXPECTED DEVELOPMENTS. After the first three months of the current year, the IMF took some of the edge of its pessimistic outlook for global economic performance in 2012, but without actually pointing to any fundamental improvement. In April 2012, the IMF projected slightly higher growth for the world economy, revised upwards by 0.2 percentage points to 3.5 percent. Fundamentally, all economic regions are expected to contribute with slightly improved growth rates. The euro area is likely to see to a mild contraction in economic output of 0.3 percent. Despite the more favorable outlook, the IMF is adamant that the economic situation as a whole remains vulnerable; the risk of a renewed crisis continues to loom large, which may impact on both the industrialized and the emerging countries. As regards its business performance in the remaining months, Wincor Nixdorf anticipates that net sales for the fiscal year 2011/2012 as a whole will develop at a level comparable to that recorded in the previous year. With the effects of the sovereign debt crisis in particular still very much in evidence throughout the euro area, many banks are likely to remain tentative when it comes to capital expenditure; this would have repercussions first and foremost for Wincor Nixdorf s activities in the Banking segment. Additionally, emerging-markets business within the Banking segment in particular will fall short of the Company s original expectations due to the fact that the solutions portfolio has yet to be fully tailored to local requirements. In view of the concomitant pressure exerted on margins in the Banking segment, Wincor Nixdorf s current assessment is that it will be unable to match its prioryear earnings performance with regard to operating profit (EBITA) generated in fiscal year 2011/2012 as a whole. With this in mind, Wincor Nixdorf has revised downwards its outlook for operating profit (EBITA) in fiscal 2011/2012. According to the Company s latest projections, operating profit is expected to reach around 100 million, significantly less than in the previous fiscal year ( 162 million). This figure takes into account costs of 40 million attributable to the restructuring program already launched by Wincor Nixdorf.

12 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 11 Wincor Nixdorf Aktiengesellschaft, Paderborn Group Income Statement for the Period from October 1, 2011 to March 31, nd quarter 2nd quarter 6 months 6 months 2011/ / / / Net sales 548, ,745 1,156,087 1,208,169 Cost of sales 441, , , ,390 Gross profit 106, , , ,779 Research and development expenses 24,498 27,214 46,742 53,189 Selling, general and administration expenses 77,472 77, , ,319 Other operating result Result from equity accounted investments Net profit on operating activities 5,002 37,285 45,119 88,402 Finance income Finance costs 2,803 2,093 7,151 4,159 Profit before income taxes 2,561 35,637 38,676 85,152 Income taxes ,354 11,691 27,221 Profit for the period 1,811 24,283 26,985 57,931 k Profit attributable to non-controlling interests Profit attributable to equity holders of Wincor Nixdorf AG 1,783 24,174 26,930 57,707 Shares for calculation of basic earnings per share (in thousands) 29,776 31,314 29,776 31,291 Shares for calculation of diluted earnings per share (in thousands) 29,776 31,413 29,776 31,391 Basic earnings per share ( ) Diluted earnings per share ( ) Profit attributable to equity holders of Wincor Nixdorf AG 1,783 24,174 26,930 57,707 Shares for calculation of basic profit attributable to equity holders of Wincor Nixdorf AG (managerial, in thousands) 29,776 31,514 29,776 31,514 Profit attributable to equity holders of Wincor Nixdorf AG per share (in ) Group Statement of Comprehensive Income for the Period from October 1, 2011 to March 31, nd quarter 2nd quarter 6 months 6 months 2011/ / / / Profit for the period 1,811 24,283 26,985 57,931 k Cash flow hedges 2,138 6, ,086 Exchange rate changes -1,533-6,486 3,335-2,167 Other comprehensive income (net of tax) ,618 5,919 Total comprehensive income 2,416 23,909 29,603 63,850 Total comprehensive income attributable to: Non-controlling interests Equity holders of Wincor Nixdorf AG 2,388 23,800 29,555 63,626 1) January 1, 2012 March 31, ) January 1, 2011 March 31, ) October 1, 2011 March 31, ) October 1, 2010 March 31, 2011.

13 12 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income Wincor Nixdorf Aktiengesellschaft, Paderborn Group Balance Sheet as of March 31, Assets k Non-current assets March 31, 2012 September 30, 2011 Intangible assets 350, ,366 Property, plant and equipment 149, ,818 Investments accounted for using the equity method 6,133 5,440 Investments 1,150 1,197 Reworkable service parts 25,715 24,885 Trade receivables 4,213 2,572 Other assets 3,608 3,265 Deferred tax assets 28, ,247 27, ,658 Current assets Inventories 304, ,810 Trade receivables 349, ,080 Receivables from related companies 5,805 8,091 Current income tax assets 9,317 6,829 Other assets 56,798 47,771 Investments Cash and cash equivalents 60, ,132 22, ,752 Total assets 1,355,379 1,307,410 Equity and Liabilities k Equity March 31, 2012 September 30, 2011 Subscribed capital of Wincor Nixdorf AG 33,085 33,085 Retained earnings 417, ,666 Treasury shares 175, ,823 Other components of equity 29,906 27,105 Equity attributable to equity holders of Wincor Nixdorf AG 304, ,033 Non-controlling interests 4, ,996 5, ,897 Non-current liabilities Accruals for pensions and similar commitments 23,639 24,405 Other accruals 45,925 46,553 Financial liabilities 131,442 2,107 Trade payables Other liabilities 4,404 3,459 Deferred tax liabilities 29, ,695 27, ,730 Current liabilities Other accruals 126, ,544 Financial liabilities 74, ,957 Advances received 20,795 19,354 Trade payables 328, ,441 Liabilities to related companies 26,941 28,140 Current income tax liabilities 19,407 24,675 Other liabilities 216, , , ,783 Total equity and liabilities 1,355,379 1,307,410

14 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 13 Wincor Nixdorf Aktiengesellschaft, Paderborn Group Cash Flow Statement for the Period from October 1, 2011 to March 31, k 6 months 6 months 2011/ / EBITA 45,119 88,402 Amortization/depreciation of property rights, licenses and property, plant and equipment 27,210 25,753 Write-down of reworkable service parts 3,838 3,890 EBITDA 76, ,045 Interest paid 8,337 4,463 Interest received Income taxes paid 19,328 24,017 Result on disposal of intangible assets and property, plant and equipment Change in accruals 1,501 18,482 Other non-cash items 2,556 1,614 Change in working capital 82,187 78,146 Change in other assets and other liabilities 26,695 10,923 Cash flow from operating activities 108, ,401 Payments received from the disposal of property, plant and equipment 1, Payments received from the disposal of investments 3 96 Payments made for investment in intangible assets 935 5,417 Payments made for investment in property, plant and equipment 22,224 19,820 Payments made for investments 0 9 Payments made for investment in reworkable service parts 4,678 5,094 Cash flow from investment activities 25,844 29,841 Payments made to equity holders 50,620 53,149 Payments received from loan draw-downs 308,690 25,738 Payments made for repayment of financial loans 354, Payments made to non-controlling interests and other distributions 1, Payments made for the repurchase of treasury shares 0 5,144 Payments received for sale of treasury shares 0 1,250 Other financing activities 1,478 4,874 Cash flow from financing activities 99,549 27,034 Change in liquidity 16,803 83,526 Change in cash and cash equivalents from exchange rate movements Cash and cash equivalents at beginning of period 3 6,213 17,683 Cash and cash equivalents at end of period 3 10,465 65,815 1) October 1, 2011 March 31, ) October 1, 2010 March 31, ) Include cash and cash equivalents and current bank borrowings.

15 14 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income Wincor Nixdorf Aktiengesellschaft, Paderborn Changes in Group Equity. Subscribed capital Equity attributable to equity holders of Wincor Nixdorf AG Retained earnings Treasury shares Add. paid-in capital Other components of equity Exchange rate changes Cash flow hedges Total Noncontrolling interests As of October 1, , , ,243 42,488 9,027 2, ,347 6, ,450 Total comprehensive income 0 56, ,086 63, ,850 Share options 0 6,959 14,608 2, , ,415 Repurchase of treasury shares 0 0 5, , ,144 Takeover of shares and other changes Distributions 0 53, , ,612 As of March 31, , ,179 91,779 40,254 9,982 5, ,965 5, ,953 k Equity As of October 1, , , ,823 41,555 10,922 3, ,033 5, ,897 Total comprehensive income 0 28, , , ,603 Share options , , ,302 Takeover of shares and other changes Distributions 0 50, , ,956 As of March 31, , , ,823 42,857 8,706 4, ,200 4, ,996

16 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 15 Selected Explanatory Notes. PRINCIPLES OF CONSOLIDATION, ACCOUNTING AND VALUATION. The condensed Group interim financial statements of Wincor Nixdorf Aktiengesellschaft (in the following Wincor Nixdorf AG ) have been prepared in accordance with the International Financial Reporting Standards (IFRS) as adopted by the European Union. The consolidation, accounting and valuation principles applied to the condensed Group interim financial statements are generally based on the same consolidation, accounting and valuation principles used in the Group financial statements for fiscal 2010/2011. The applied principles of accounting and valuation are described in detail in the Notes to the Group financial statements as of September 30, From fiscal 2011/2012 the following standards and amendments are applicable for the first time: IAS 24 revised Related Party Disclosures and amendments to IFRS 8 Operating Segments (to be applied for periods beginning on or after January 1, 2011) Amendments to IFRIC 14 Prepayments of a Minimum Funding Requirement (to be applied for periods beginning on or after January 1, 2011) Amendments to IFRS 7 Financial Instruments: Disclosures Transfers of Financial Assets (to be applied for periods beginning on or after July 1, 2011) The first-time application of standards and amendments had no material effect on the condensed Group interim financial statements of Wincor Nixdorf AG as of March 31, CONSOLIDATION GROUP. The Group financial statements as of March 31, 2012, include those companies in which Wincor Nixdorf AG directly or indirectly has a majority of the voting rights (subsidiaries), or from which it is able to derive the greater part of the economic benefit and bears the greater part of the risk by virtue of its power to govern corporate financial and operating policies. Inclusion of such companies accounts in the Group financial statements begins at the moment of exercising control over the company, and ceases at expiration of control. GROUP EQUITY. The Group equity and individual elements thereof are shown in detail in the Changes in Group Equity table. Treasury Shares. As of March 31, 2012, the total number of treasury shares held by the Company was 3,308,498. This equals 9.99% of the subscribed capital. The acquisition costs, including ancillary costs of acquisition to the amount of 113k, amounting to 175,823k were deducted in full from equity. Share-based Payment Program. The changes in the composition of share options are as follows: 6 months 2011/ months 2010/2011 Number Average exercise price Number Average exercise price As of October 1 1,164, ,042, Exercised during the period 0 478, Expired during the period 6, , As of March 31 1,158, , Exercisable as of March The share-based payment programs are described in detail in the Notes to the Group financial statements as of September 30, 2011.

17 16 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income Dividend Distribution. On January 23, 2012, the Annual General Meeting of Shareholders of Wincor Nixdorf AG passed a resolution in favor of the proposed dividend payment of 1.70 per share for fiscal 2010/2011. The total dividend payment amounted to 50,620, OTHER INFORMATION. Revised Business Outlook and Restructuring Measures. In mid-april of this year, Wincor Nixdorf provided more specific projections for the fiscal year 2011/2012. The Company expects net sales to remain at the level of the previous year ( 2,328 million), but with a steep year-on-year decline in operating profit from 162 million to around 100 million. This figure includes anticipated costs of around 40 million attributable to a restructuring program that has already been initiated. It involves a range of measures that include a reduction in the size of the workforce by more than five hundred staff members. Most of these redundancies will affect western Europe, with Germany accounting for approximately half of the total figure. SEGMENT REPORT. For the purposes of presenting segment information, the activities of the Wincor Nixdorf Group are divided into operating segments in accordance with the rules contained in IFRS 8 (Operating Segments). Internal reporting within the Group is conducted on the basis of the customer profiles Banking and Retail as well as on the regional basis; the areas Banking and Retail were defined as operating segments in accordance with IFRS As chief operating decision maker (CODM) within the meaning of IFRS 8, our Board of Directors assesses the performance of these two operating segments on the basis of corporate reporting and makes decisions about resources to be allocated. The performance of the operating segments is assessed in particular by referring to net sales to external customers as well as EBITA. The aim of the restructuring program is to increase and strengthen the Company s competitive position globally and to refocus its business activities more specifically and more rapidly on the emerging markets. To this end, the Company is striving above all to create a leaner management, support, and administrative structure at an international level. At the same time, the development and production resources needed to expand in these markets will be relocated to the Asia/Pacific region. Financing. On December 13, 2011, the joint borrowers Wincor Nixdorf AG and Wincor Nixdorf International GmbH concluded a revolving credit facility of 400,000k. The facility has a term of five years, including two options for extension each covering a period of one year, and can be drawn in euros or partly in U.S. dollars. The revolving facility originally maturing on August 2, 2012, and covering a loan volume of 350,000k was extinguished on December 30, 2011, prior to maturity.

18 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 17 Segment Report by Division. k Net sales to external customers 340,916 (367,073) Operating profit (EBITA) 1,091 (28,602) Result from equity accounted investments 15 (0) Investment in property rights, licenses and property, plant and equipment 2nd quarter 2011/ months 2011/2012 Banking Retail Group Banking Retail Group 11,249 (12,435) Investment in reworkable service parts 3,253 (2,211) Amortization/depreciation of property rights, licenses and property, plant and equipment 11,815 (11,385) Write-down of reworkable service parts 2,056 (1,814) Research & development expenses 16,399 (19,170) 207,317 (206,672) 6,093 (8,683) 0 (0) 2,849 (1,835) 763 (392) 2,331 (1,657) 482 (324) 8,099 (8,044) 548,233 (573,745) 5,002 (37,285) 15 (0) 14,098 (14,270) 4,016 (2,603) 14,146 (13,042) 2,538 (2,138) 24,498 (27,214) Comparative figures for 2nd quarter 2010/2011 and for 6 months 2010/2011 are shown in brackets for each item. 732,287 (802,212) 26,162 (69,220) 548 (0) 18,486 (21,987) 3,789 (4,279) 22,908 (22,550) 3,109 (3,268) 30,956 (35,958) 423,800 (405,957) 18,957 (19,182) 0 (0) 4,472 (3,012) 889 (815) 4,302 (3,203) 729 (622) 15,786 (17,231) 1,156,087 (1,208,169) 45,119 (88,402) 548 (0) 22,958 (24,999) 4,678 (5,094) 27,210 (25,753) 3,838 (3,890) 46,742 (53,189) The respective segment assets did not change considerably compared to September 30, Reconciliation of Segment Profit to Profit for the Period. The Segment profit equates to the net profit on operating activities of the Group Income Statement. Net Sales by Regions. k 2nd quarter 6 months 2011/ / / /2011 Europe 409, , , ,906 in % of total net sales included in Europe: Germany 144, , , ,808 in % of total net sales Asia/Pacific/Africa 84,818 89, , ,648 in % of total net sales America 54,234 56, , ,615 in % of total net sales Total 548, ,745 1,156,087 1,208,169

19 18 Key Figures Key Events Stock/Investor Relations Group Interim Management Report Group Income Statement Statement of Comprehensive Income Further Information. RESPONSIBILITY STATEMENT. To the best of our knowledge, and in accordance with the applicable reporting principles for interim financial reporting, the interim consolidated financial statements give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group, and the interim management report of the Group includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group for the remaining months of the financial year. REVIEW. This interim report has not been audited in accordance with Sec. 317 of the German Commercial Code (HGB) and has not been reviewed by auditors. Paderborn, April 2012 Wincor Nixdorf Aktiengesellschaft Board of Directors Heidloff Dr. Wunram

20 Group Balance Sheet Group Cash Flow Statement Changes in Equity Selected Explanatory Notes Further Information 19 FINANCIAL CALENDAR FISCAL 2011/2012* July 26, 2012: Nine-Month Interim Report 2011/2012 November 12, 2012: Preliminary Results Fiscal 2011/2012 * All dates are preliminary and may be subject to change. For further details about other Investor Relations events, please visit the website of Wincor Nixdorf AG at Investor Relations. COVER. For more and more companies operating in the retail industry, national boundaries are a thing of the past. Domestic suppliers evolve into multinationals and ultimately into global players. In parallel with this gradual expansion, Wincor Nixdorf has been extending and upgrading its IT solutions portfolio, with the express purpose of supplying its customers with hardware, software, and services from a single source and in a consistently high quality worldwide. In recognition of these trends, we have returned to the theme of Worlds Converging for our interim report for the first half of the fiscal year. Wincor Nixdorf is looking to optimize the IT processes of retail banks and retail companies beyond national borders and to automate cash-based operations across industries. This document contains forward-looking statements that are based on current estimates and assumptions made by the Board of Directors of Wincor Nixdorf AG to the best of its knowledge. Such forward-looking statements are subject to risks and uncertainties, the non-occurrence or occurrence of which could cause the actual results, including the financial condition and profitability of Wincor Nixdorf, to differ materially from or be more negative than those expressed or implied by such forward- looking statements. This also applies to the forwardlooking estimates and forecasts derived from third-party studies. Consequently, neither the Company nor its management can give any assurance regarding the future accuracy of the opinions set forth in this document or the actual occurrence of the predicted developments.

21 Wincor Nixdorf AG Corporate Communications Heinz-Nixdorf-Ring 1 D Paderborn Germany Phone +49 (0) Fax +49 (0) info@wincor-nixdorf.com Corporate Communications. Phone +49 (0) Fax +49 (0) andreas.bruck@wincor-nixdorf.com Investor Relations. Phone +49 (0) Fax +49 (0) investor-relations@wincor-nixdorf.com Order No. R40682-J-Z Printed in Germany