EANS-News: Kapsch TrafficCom – Results for the first half of2018/19.

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distribution. The issuer is responsible for the content of this announcement.

Mid Year Results

Vienna – Highlights.

Second quarter 2018/19 sequentially much better, but weaker year-on-yearnDeferments in certain projects had an impact on revenues and EBITnBy the end of the fiscal year, decisions on the awarding of further major projects are expectednOutlook confirmed: Revenues and EBIT at previous year’s leveln”After disappointing first three months we managed to achieve a significant
improvement in the second quarter of the current fiscal year. That we are
heading in the right direction is also demonstrated by the various new orders
that we have announced in the last few weeks. And we are working hard to report
further major successes by the end of the fiscal year,” says Georg Kapsch, CEO
of Kapsch TrafficCom.

Unless
otherwise
stated, Q2 2017/18 Q2 2018/19 +/- H1 2017/18 H1 2018/19 +/-
all values
in EUR
million
Revenues 175.6 177.6 +1.2% 339.8 335.8 -1.2%
EBIT 13.5 10.7 -21.1% 25.3 17.8 -29.5%
EBIT 7.7% 6.0% -1.7%p 7.4% 5.3% -2.1%p
margin
Profit for 7.5 5.9 -21.0% 14.1 8.4 -40.4%
the period
Earnings
per share 0.58 0.49 -15.7% 1.10 0.70 -36.8%
(EUR)


Vienna, November 21, 2018 – In the first half of the current fiscal year, Kapsch
TrafficCom’s revenues reached EUR 335.8 million, an amount slightly (-1.2%)
below the previous year’s level. The EBIT amounted to EUR 17.8 million (-29.5%)
and the EBIT margin decreased from 7.4% to 5.3%.

Like the first quarter as a whole, the beginning of the second quarter was still
influenced by deferments within existing implementation projects (ETC segment).
After a traditionally calm August, a good September helped us achieve quarterly
revenues 12.3% above the figure for the first three months of the fiscal year
and at the level of the comparable quarter of the previous year. The result from
operating activities (EBIT) rose sequentially by 50.3%, but was EUR 2.9 million
lower than in the second quarter 2017/18.

The financial result in the first half of 2018/19 remained stable compared with
the same period of the previous year. Tax expenses fell to EUR 3.6 million
(previous year: EUR 4.7 million) due to the lower pre-tax earnings. In the first
half of 2018/19, the profit for the period amounted to EUR 8.4 million (previous
year: EUR 14.1 million), which leads to earnings per share of EUR 0.70 (previous
year: EUR 1.10).

The free cash flow of EUR -16.9 million (previous year: EUR -1.0 million)
reflected the weaker operating results and the more than double increase in
working capital. As a consequence of this and due to the dividend distribution
of EUR 19.5 million, net debt rose to EUR 31.7 million (March 31, 2018: net cash
of EUR 16.2 million). This corresponds to a gearing ratio of 14.4%. The equity
ratio remained strong at 35.9% (March 31, 2018: 37.0%). The balance sheet total
amounted to EUR 614.6 million (March 31, 2018: EUR 621.1 million).

Zwtl.: Segment results.

In the first half of 2018/19, 78.1% of the revenues were attributed to the ETC
segment and 21.9% to the IMS segment.

ETC (ElectronicToll
Collection).
Unless
otherwise
stated, Q2 2017/18 Q2 2018/19 +/- H1 2017/18 H1 2018/19 +/-
all values
in EUR
million.
Revenues 137.4 142.6 +3.8% 260.7 262.1 +0.5%
EBIT 17.4 17.8 +2.2% 32.1 24.8 -22.7%
EBIT 12.7% 12.5% -0.2%p 12.3% 9.5% -2.8%p
margin


In the second quarter 2018/19, Kapsch TrafficCom succeeded in increasing ETC-
revenues by 19.2% compared with the first three months to EUR 142.6 million. The
EBIT margin reached 12.5% and was at previous year’s level.

In the first half of the year, ETC revenues rose by 0.5% to EUR 262.1 million.
Kapsch TrafficCom managed to offset an 9.0% decline in revenues in the EMEA
region by a rise in revenues in the Americas (+17.7%) and APAC (+44.0%).
Primarily as a consequence of the relatively weak results of the first quarter,
the ETC-EBIT of EUR 24.8 million was 22.7% lower than in the previous year.

In the first half of 2018/19, Kapsch TrafficCom sold 6.77 million on-board units
(previous year: 5.85 million).

IMS (Intelligent
Mobility Solutions).
Unless
otherwise
stated, Q2 2017/18 Q2 2018/19 +/- H1 2017/18 H1 2018/19 +/-
all values
in EUR
million.
Revenues 38.2 35.0 -8.2% 79.1 73.7 -6.8%
EBIT -3.9 -7.1 -83.0% -6.8 -7.0 -2.8%
EBIT -10.2% -20.4% -10.2%p -8.6% -9.5% -0.9%p
margin


In the second quarter 2018/19, IMS-revenues fell to EUR 35.0 million (-9.3%
compared to the first three months). After a slightly positive EBIT in the first
quarter (EUR 0.1 million), the company had to accept an operating loss of EUR
7.1 million in this segment in the second quarter.

The segment’s revenues for the first half of 2018/19 amounted to EUR 73.7
million (-6.8%). Decreases in revenues were recorded in all regions. While
operations revenues increased by 0.4% the implementation revenues fell by 14.9%.
IMS-EBIT in the first half of 2018/19 amounted to EUR -7.0 million (previous
year: EUR -6.8 million). The investment in Intelligent Mobility Solutions Ltd.
in Zambia, which is fully consolidated from September 2018, had a negative
impact on EBIT, primarily due to currency losses. In addition, operating losses
in the business area Smart Urban Mobility as well as adjustments to profit
margins on several existing projects contributed to the result.

Zwtl.: Outlook.

Despite already winning numerous and in some cases substantial projects in the
current financial year, Kapsch TrafficCom continues to work intensively on
exciting opportunities.

The management expects to reach revenues and EBIT for the current fiscal year to
reach the previous year’s level. Naturally, any currency and special effects are
not taken into account. The departure of the United Kingdom from the EU (Brexit)
in spring 2019 should not have a significant impact on Kapsch TrafficCom’s
results. The company’s local revenues there are in the single-digit million
range.

Today, from 7:35 (CET), you can find the report on the first half of 2018/19 as
well as further materials regarding the results at: http://kapsch.net/ktc/ir
[http://kapsch.net/ktc/ir].

end of announcement euro adhoc

issuer: Kapsch TrafficCom AG
Am Europlatz 2
A-1120 Wien
phone: +43 1 50811 1122
FAX: +43 1 50811 99 1122
mail: ir.kapschtraffic@kapsch.net
WWW: www.kapschtraffic.com
ISIN: AT000KAPSCH9
indexes:
stockmarkets: Wien
language: English

Digital press kit: http://www.ots.at/pressemappe/411/aom

Press contact:
Alf Netek
Chief Marketing Officer & Press Officer
Kapsch Aktiengesellschaft
Am Europlatz 2
1120 Vienna
Austria
T +43 50 811 1700
alf.netek@kapsch.net
Alexandra Vieh
Head of Marketing and PR, Global
Kapsch TrafficCom AG
Am Europlatz 2
1120 Vienna
Austria
T +43 50 811 1728
alexandra.vieh@kapsch.net
Investor Contact:
Hans Lang
Investor Relations Officer
Kapsch TrafficCom AG
Am Europlatz 2
1120 Vienna
Austria
T +43 50 811 1122
ir.kapschtraffic@kapsch.net

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