Ad-hoc | 14 April 2004 19:44

Report of the CeoTronics Group on the first nine months ended February 29, 2004

Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Report of the CeoTronics Group on the first nine months ended February 29, 2004 Revenues up 1.5% / EBITDA improves by EUR424 thousand / EBIT jumps EUR546 thousand / positive earnings / cash flow increases by EUR459 thousand / order backlog up 113.5% / own expectations exceeded again CeoTronics AG Audio – Video – Data – Communication, listed in the Prime Standard (ISIN: DE0005407407), recorded year-on-year growth in consolidated revenues of 1.5%, from EUR9,213 thousand to EUR9,354 thousand, in the first nine months of fiscal year 2003/2004. It achieved this despite the disappointing economic developments in CeoTronics’ priority markets and the financial situation of public-sector customers. EBITDA (Earnings Before Interest, Taxes, Depreciation and goodwill Amortization/impairment) rose by EUR424 thousand, from EUR62 thousand in the first nine months of the previous year to EUR486 thousand. EBIT improved by EUR546 thousand year-on-year, from EUR-392 thousand to EUR154 thousand. The Group generated net income after tax of EUR5 thousand, after a net loss of EUR577 thousand in the previous year; this represents an increase of EUR582 thousand. In the period under review, gross cash flow increased by EUR459 thousand year-on-year, from EUR-122 thousand to EUR337 thousand. Earnings per share rose by EUR0.27 to EUR0.00, as against a loss per share of EUR0.27 in the prior-year period. Consolidated equity amounted to EUR9,558 thousand as of February 29, 2004, while the equity ratio was 67.9% (previous year: 72.2%). As of February 29, 2004, the order backlog was up 113.5% year-on- year. The number of employees fell by 4 as against the prior-year period, from 130 to 126. A comparison of earnings in the third quarters of 2003/2004 and 2002/2003 shows that consolidated revenues grew 17.7%, from EUR2,904 thousand to EUR3,419 thousand, while EBITDA increased by EUR376 thousand, from EUR-106 thousand to EUR270 thousand. EBIT improved by EUR422 thousand year-on-year, from EUR-254 thousand to EUR168 thousand. The Group generated net income after tax of EUR101 thousand, after a net loss of EUR320 thousand in the previous year; this represents an increase of EUR421 thousand. Between December 1 and February 28/29, gross cash flow improved by EUR374 thousand year-on-year, from EUR-171 thousand to EUR203 thousand. Quarterly earnings per share rose by EUR0.20 to EUR0.05, as against a loss per share of EUR0.15 in the previous year. In line with the principles of prudent business practice, the accrual for Group risks recognized in the balance sheet of the parent company was increased by EUR50 thousand, from EUR275 thousand to EUR325 thousand, to safeguard against potentially negative developments at CeoTronics USA. After the first nine months of the year, CeoTronics AG generated net income after tax of EUR37 thousand. Its order backlog improved by 175.2%. end of ad-hoc-announcement (c)DGAP 14.04.2004 Issuer’s information/explanatory remarks concerning this ad-hoc-announcement: Earnings improved substantially year-on-year despite one-time factors, such as the costs of workforce restructuring. The consolidated EBITDA, EBIT, net income, and cash flow figures for the first nine months, as well as the order backlog, have again exceeded our expectations. “In light of the macroeconomic environment and budgetary constraints at public-sector customers, we are generally satisfied with the results of operations and still believe that the forecast revenues and earnings will be achieved in the next quarter due to our high order backlog as of April 8, 2004 (up 129.6 % year-on-year), the high level of offer volumes, and our sales strength in the EU accession countries,” commented Thomas H. Günther, Chairman of the Board of Management. Additional information: CeoTronics AG Audio Video Data Communication Investor Relations, Adam-Opel-Strasse 6, 63322 Rödermark, Germany Tel: +49(0)6074/8751-722, Fax: +49(0)6074/8751-720 E-mail: vorstand@ceotronics.com, Internet: http://www.ceotronics.com ——————————————————————————– WKN: 540740; ISIN: DE0005407407; Index: Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin- Bremen, Düsseldorf, Hamburg, Hannover, München und Stuttgart 141944 Apr 04