exceet Group SE: Financial Results 2015 (Annual Report) Second-Half Recovery after Mid-Year Dip

Mittwoch, 02.03.2016 20:21

DGAP-Media / 02.03.2016 / 20:21
 
 Financial Results 2015 (Annual Report)
 
 Second-Half Recovery after Mid-Year Dip
 
   - Q4 net sales of EUR 48.9 million (+10.9% against Q3 2015 and +8.1%
     against Q4 2014) contributed to generate total group sales for the full
     year of EUR 181.6 million(-2.0% against 2014)
 
   - All business segments contributed to the accelerated sales growth in
     the final quarter
 
   - EBITDA in Q4 (EUR 4.5 million) achieved the highest quarterly level
     (+13.6% against Q3 2015 and +13.2% against Q4 2014) marking a quarterly
     EBITDA-margin of 9.2%
 
   - For the full financial year, EBITDA reached EUR 12.7 million (-33.6%
     against 2014)
 
   - Despite persisting challenging investment conditions, the management is
     optimistic to keep up the recent trend of operational improvements
 
 Luxembourg, 02 March 2016 - 06.30 p.m. - The reporting year was
 characterized by different results in the two halves. Sales in the second
 half exceeded the first half figure by 5.1%, but EBITDA nearly doubled in
 the second semester. The group earned two thirds of its total operational
 result between July and December thus showing an upward trend.
 
 On the other hand, still cautious order draw-downs can be observed which
 together with a project related lower share of traded electronic components
 led to slightly lower overall sales in 2015 (-2.0% to EUR 181.6 million
 from EUR 185.3 million).
 
 Overall group profitability deteriorated versus the prior year with an
 EBITDA-Margin of EUR 12.7 million or 7.0% (2014: EUR 19.0 million or
 10.3%). However earnings showed an encouraging swing after the summer dip.
 On 31 December 2015 exceet's order backlog amounted to EUR 85.5 million
 (versus EUR 87.3 million on 31 December 2014). This results in a slightly
 improved book-to-bill ratio of 1.0 (2014: 0.9).
 
 Electronic Components, Modules & Systems (ECMS) enlarged the expertise and
 production capacities in different technical disciplines and hereby
 strengthened its positioning, especially in markets with high quality
 requirements. Due to modern and efficient machines, the processing time for
 the assembly of components was in some cases reduced by more than 80%. The
 short cycle times allow the production of higher volumes at competitive
 prices. Additionally ECMS successfully finalized a project with one of the
 leading manufacturers of ropeways and delivered the
 central-processing-units (CPUs) for an urban-mobility project. Based on its
 existing customer contacts, the new projects and the comprehensive product
 and service portfolio, ECMS is very well positioned for a successful 2016.
 The ability of ECMS to realize integrated solutions, e.g. wearable's, at a
 high quality level and the competence to bring innovative and pioneering
 technologies to market has been highly appreciated by customers.
 
 ID Management & Systems (IDMS) was primarily focused in its marketing
 efforts on the banking and loyalty markets. IDMS benefitted from its
 subsidiaries in Germany, Austria and the Czech Republic, which assured
 regional market presence but also the focus on specialized centers of
 excellence, allowing IDMS to perfectly execute its one-stop-strategy. As a
 further USP within the banking card market, IDMS is the only remaining card
 manufacturer that combines certified production and personalization in
 Germany. With this setup, the segment is successfully positioned in the
 security driven markets against competitors with near shore production
 approaches. Due to its long-term experience in the field of contactless
 cards, IDMS was able to establish itself as one of the major suppliers of
 dual interface cards. These cards are increasingly used for contact and
 contactless card payments.
 
 exceet Secure Solutions (ESS) won a large eHealth project in 2015 due to
 the competence, which the segment gained in different telematics projects
 in the past. The project will be finalized in 2016. This order is a further
 reference and positions ESS for other IT Security projects for any kind of
 industries. Additionally ESS won substantial Internet-of-Things (IoT)
 projects with well-known, international companies and realized first
 showcases. The typical IoT project is characterized by a comprehensive
 consulting approach. For these individual solutions, ESS leverages on the
 combination of products and services belonging to the exceet Group
 portfolio; e.g. standard or customer specific hardware for the
 communication and software for individual control systems. This is
 complemented by an individual IT Security offering. Consequently, these
 individual IoT concepts enable the customer to realize a holistic IoT
 project with a one-stop service. Based on these first showcases and in
 combination with the comprehensive IT security know-how, ESS is well
 positioned to benefit from the high potential in the IoT and IT Security
 businesses.
 
 Outlook for 2016
 
 The general business environment will most probably remain challenging in
 2016, especially with respect to overall investment expenditures on which
 the three business units rely and which in turn are dependent on stability
 of the economic and political situation. However, the foundations for
 stronger growth of the group are laid. They consist of exceet's highly
 regarded portfolio of technological skills in the field of intelligent
 electronics and related products and services for the end markets Health,
 Industry and Security. A trigger for stronger growth could be a convincing
 pick-up of overall investment in IoT projects. According to IDC, one third
 of executives worldwide regard suppliers of electronic hardware to turn out
 the strongest beneficiaries in this case.
 For the current year 2016 the management is cautiously expecting sales
 growth in the mid-single digit area given the promising project pipeline.
 Assuming a continuation of the last two quarters trend, a more than
 proportional increase of the EBITDA-margin is expected. The trend to
 smaller customized projects that can be currently observed will reduce the
 volatility, but at the same time it requires more efforts to handle a
 rising number of projects.
 
 From a current perspective, the management of exceet is expecting the
 outstanding B-Shares (Founding Shares) and C-Shares (Earn-Out Shares) to
 end up at their accounting par value of
 Euro 0.0152 at the expiration date 26 July 2016. In this case, the company
 will redeem the B- and C-Shares at this value within the following 6 months
 the latest till 26 January 2017. The Warrants outstanding are expected to
 expire out of the money on 26 July 2016.
 
 To focus the activities of exceet on the electronic activities, the Board
 of Directors of exceet SE decided to start the process to sell the business
 segment of IDMS. As a consequence, the IDMS segment will be classified as
 discontinued operation starting March 2016.
 
 With respect to Greenock S.à r.l., a major shareholder of exceet Group SE,
 who had informed the company already in Q1 2014 that they are assessing
 their strategic options related to their shareholding in exceet Group SE,
 including a possible disposal of such shareholding to a third party, still
 no final decision has been taken regarding the form and timing of a
 potential transaction pursuant to the updated information provided by
 Greenock S.à r.l.
 
 Annex: Performance and Structural Data full year 2015
 Complete Annual Report 2015 and actual Investor Relation Presentation
 available at www.exceet.lu
 
 Please contact for further information:
 
 Wolf-Günter Freese, CFO - Email: Investor.relations@exceet.lu 
 exceet Group SE
 115 avenue Gaston Diderich
 L-1420 Luxembourg
 Phone +352 26 29 91 22
 
 ISIN LU0472835155 (Public Shares), Regulated Market, Prime Standard,
 Frankfurt/Main
 ISIN LU0472839819 (Public Warrants), Regulated Market, General Standard,
 Frankfurt/Main
 
 exceet will announce first quarter results 2016 on 02 May 2016 (after
 closing of the market)
 About exceet  
 exceet is an international technology group, which is specialized in the
 development and production of intelligent, complex and secure electronics.
 End of Media Release
---------------------------------------------------------------------------
Issuer: exceet Group SE Key word(s): Enterprise 02.03.2016 Dissemination of a Press Release, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------------
Language: English Company: exceet Group SE 115, avenue Gaston Diderich L-1420 Luxemburg Grand Duchy of Luxembourg Phone: +352 2629 9122 Fax: +352 2629 9150 E-mail: info@exceet.ch Internet: www.exceet.ch ISIN: LU0472835155, LU0472839819 WKN: A0YF5P, A1BFHT Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Munich End of News DGAP Media
---------------------------------------------------------------------------
442193 02.03.2016