Corporate | 2 November 2006 17:30

WashTec AG: Washtec AG announces steady rise in revenues and earnings:

WashTec AG / Key word(s): Quarter Results

02.11.2006 / 17:30

Washtec AG announces steady rise in revenues and earnings:

– Revenues up from EUR 161.0m to EUR 190.2m (up 18.1%) – EBT at EUR 13.2m (2005: EUR 10.8m; up 22.2%) – Success at the Automechanika trade fair: ‘Innovation Award’

Augsburg, Germany, November 02, 2006 – The Washtec Group (ISIN DE0007507501), the leading provider of innovative solutions for car wash systems worldwide, boosted both its revenues and earnings in the first nine months of 2006.
Revenues increased by 18.1% in the first nine months of the fiscal year to EUR 190.2m. In the same period, EBT rose 22.2% to EUR 13.2m. EBITDA improved by EUR 1.7m compared with the first nine months of 2005 to EUR 21.1m. These figures include an expense of EUR 4.4m (prior year: EUR 1.8m) for phantom stocks.

The success celebrated at the Automechanika trade fair in Frankfurt, Germany, in September and the showcasing of more than 17 innovations underpins the WashTec Group’s position as a leading provider of innovative solutions for car wash systems. New products included a completely redesigned rollover car wash system, the ‘NEW Softwash’ for the basic segment, a newly designed commercial vehicle wash system ‘Maxiwash Vario’ and a new conveyor tunnel wash system ‘Softline Express’ based on hydraulic components. WashTec was awarded with the Automechanika Innovation Award for its newly developed ‘3D car scanning system’, which enables vehicle contours to be scanned from a three-dimensional perspective for the first time. ‘Visitors from more than 50 countries underline the growing importance of WashTec’s international focus’, said Thorsten Krüger, spokesman of the board of WashTec AG.
Revenues in Europe continued to develop well. The revenue situation at Mark VII, USA, which was acquired at the beginning of the fiscal year, continued to stabilize.

The projects to boost efficiency are progressing as scheduled. The construction of a new production hall in Augsburg for commercial vehicle wash systems, conveyor tunnel wash systems and self-service jet wash systems has been largely completed, with operations due to commence in the fourth quarter. A long-term framework agreement was concluded with TNT Global Logistics in July in connection with the Europe-wide spare parts logistics project currently underway. The relocation of spare part delivery logistics to the new provider is running according to plan. In August, the WashTec Group negotiated a new financing arrangement with the banking syndicate of WashTec AG, which is led by HVB, giving WashTec the scope needed to invest under improved conditions. As of September 30, liabilities to banks came to EUR 63.6m. The increase against December 31, 2005 (up EUR 51.1m) is mainly attributable to the acquisition of Mark VII, USA.

WashTec AG Management Board Chairman of the Supervisory Board Argonstrasse 7 Thorsten Krüger (spokesman) Alexander von Engelhardt 86153 Augsburg, Germany Jürgen Lauer
Tel. +49-821/55 84-0 HRB 81
Fax +49-821/55 84-1135 Local court of Augsburg The equity ratio stood at 28.2% as of September 30, 2006. As of this date, the WashTec Group employed 1,437 people. In the nine months of 2006, investments totaled EUR 22,3m (prior-year period: EUR 5.8m).

Outlook

The management board expects the Company’s organic growth (excluding Mark VII and SSI) as of year-end to be at the level of the prior year (prior year: 6.6%).
Projects such as the production restructuring plan or the logistics project will lead to further increases in efficiency. The strategy and budget for the coming fiscal years will be approved in the last quarter of the fiscal year. The Company plans to increase its international focus further and will center on expanding business in southern Europe, establishing markets in Eastern Europe and stepping up sales activities in the USA. In this connection, we will continue to actively sound out individual markets in order to ensure an optimal marketing approach. Small-scale acquisitions may be made. As the most dynamic company in the industry, revenues and earnings are set to rise further in coming years.

Euro m       Q1-3 2006       Q1-3 2005
Revenues         190,2           161,0
EBITDA            21,1            19,4
EBT               13,2            10,8

The complete Q3 report may be downloaded from our website at www.washtec.de.

Contact: WashTec AG Telephone +49 (0) 821-5584-0 Karoline Kalb E-mail: kkalb@washtec.de

Contact:
Karoline Kalb, Investor Relations

WashTec AG
Argonstraße 7
86153 Augsburg

Tel.: +49 (0)821 – 55 84 – 0
Fax: +49 (0)821 – 55 84 – 1135
Mobile: +49 175 – 4302025

Contact:
Karoline Kalb, Investor Relations

WashTec AG
Argonstraße 7
86153 Augsburg

Tel.: +49 (0)821 – 55 84 – 0
Fax: +49 (0)821 – 55 84 – 1135
Mobile: +49 175 – 4302025

End of Corporate News

02.11.2006 Dissemination of a Corporate News, transmitted by DGAP – a company of EQS Group AG.
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Language:	English
Company:	WashTec AG
	Argonstraße 7
	86153 Augsburg
	Germany
Phone:	+49 (0)821 55 84-0
Fax:	+49 (0)821 55 84-1135
E-mail:	washtec@washtec.de
Internet:	www.washtec.de
ISIN:	DE0007507501
WKN:	750750
Listed:	Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, München, Stuttgart

End of News DGAP News-Service

7909  02.11.2006