Carlo Gavazzi: stable operating performance

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Steinhausen, November 18, 2008 - In the first semester of the current
financial year ended  September 30, 2008,  the Zug-based  electronics
group  maintained  a  satisfactory  economic  performance.  Operating
revenue inched  down from  CHF 111.3  million to  CHF 109.5  million,
while EBIT decreased from  CHF 10.3 million to  CHF 9.6 million.  Net
income declined from CHF  7.6 million to CHF  7.3 million. Both  EBIT
and net income were negatively affected by non-recurring expenses  of
CHF 1.0 million for consultancy services and, net of these, a  slight
improvement over the same period  of the previous year was  recorded.
While the gross profit  margin remained stable  at 47.8% of  revenue,
operating  expenses  decreased  to  37.9%  of  revenue  (38.4%).   At
September 30, 2008, equity was  CHF 109.0 million (CHF 107.9  million
at March  31, 2008)  and  the net  financial  position of  the  group
amounted to CHF 22.5 million (CHF 21.1 million at March 31, 2008).
 
The second  half  of the  financial  year is  difficult  to  predict.
Because of  the global  financial  turmoil and  the ensuing  fall  in
economic activity,  the group  expects  a decline  in demand  and  is
likely to present lower figures  than in the previous year.  However,
because of its strong cash  position, the turnaround accomplished  in
Computing Solutions  and the  independence of  Automation  Components
from  the  automotive  industry   and  large  industrial   investment
decisions, the  Carlo  Gavazzi  Group  believes  itself  to  be  more
resilient than  most  competitors  to the  negative  effects  of  the
present economic downturn.
 
As  communicated  earlier,  Dino   Masili,  CEO  of  the   Automation
Components Business Unit, has left the group. With immediate  effect,
Alessandro Berlingieri, member  of the  board of  directors of  Carlo
Gavazzi Holding AG, will  assume the position as  acting CEO of  this
business unit.
 
Please click on the link below to access the full 2008 Interim Report
of the Carlo Gavazzi Group.
http://www.carlogavazzi.com/en/investors/interim-report.html
 
About Carlo Gavazzi:
Carlo Gavazzi is  a publicly quoted  international electronics  group
(SWX: GAV) with activities in the design and marketing of  electronic
control components for factory and building automation as well as  in
electronic packaging and embedded computing.
Please visit our website: www.carlogavazzi.com
 
For further information please contact:
Felix Stöcklin
Head of Corporate Communications
Carlo Gavazzi Holding AG
Phone     +41 41 747 45 29
E-Mail     felix.stoecklin@carlogavazzi.ch
 
The press release can be downloaded from the following link:
 
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Carlo Gavazzi Holding AG
Sumpfstrasse 32 Steinhausen 
 
WKN: 869279; 
ISIN: CH0011003594; Index: SPI, SPIEX, SSCI;
Listed: Main Market in SWX Swiss Exchange;