Viscom AG / Quarter Results

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Viscom AG with Restrained Start in the New Year

- First quarter 2007 revenues of € 10.7 million
- Order backlog of € 8.7 million – a plus of 35.9 %
- Intense research and development work – numerous new projects
- Global expansion – worldwide development of the quality brand, 'Viscom'
Hanover, 10 May 2007 – The business of the Viscom AG, European market leader for automatic optical inspection systems in the electronics industry, is subject to a very strong seasonality. In the first quarter 2007, however, an effect that exceeds the usual seasonal fluctuation is seen. 'The challenges now posed to us, at the same time offer the opportunity for our future development,' emphasizes Dr. Martin Heuser, executive board member and co-founder of the Viscom AG.
Behind the current revenue development is, primarily, the purchasing restraint of certain customers due to the imminent deliverability of new inspection systems. 'Many customers are increasingly confronted with the requirement to also inspect hidden components. These customers have withheld purchase orders to possibly invest in the new X7056 as soon as this system is available,' explains Volker Pape, executive board member and co-founder of the Viscom AG. Viscom attained revenues of € 10.7 million in the first quarter 2007. In comparison to the previous year's first quarter, this corresponds to a drop of 18.0 %. 'The € 2.3 million order backlog increase does moderate this decrease, still revenues are clearly behind our expectations,' observes Ulrich Mohr, financial officer and board member for the Viscom AG.

The Viscom AG is engaged in a sustained growth market. In order to take advantage of all the opportunities presented by this market, during the last months the Group has invested intensively in technology, staff, and the global infrastructure of the company. A persistent spur for the Viscom Group is, to justify the claim of leadership in technology and innovation. With the project X7056, the new sensor head VM Module, the 3D paste inspection system as well as the new operation and programming interface EasyPro 3D, the research and development department is extremely active at present. This crucial investment activity is precisely what is indicated by the current results of the Viscom AG: As conditioned by weaker than anticipated revenues as well as a raised purchase ratio, the high fixed costs for staff and other operating expenses, EBIT for the first quarter 2007 stands at € -0.11 million.

Significant energy was invested over the last year in the selection and orientation of new employees. In the first quarter 2007, 22 new employees again strengthened the Viscom Team, to bring the worldwide total employed by the Viscom Group to 368 persons. With this, the strategic staff buildup as foundation for further expansion of the Group has been, for the time being, largely concluded.

With 69.2 %, the segment Europe contributed the greatest portion of company revenue. As a result of the purchasing restraint, the previous year's high demands will not be met during the current time frame in Europe: during the first quarter Viscom achieved revenue of € 7.4 million. The raised ratio of revenue gained in foreign countries clearly displays the company's rising internationality. Temporary revenue fluctuations within individual regions can consequently be more easily compensated for. In the Asian market, the challenge lies in acquiring an increased awareness and recognition value for the brand Viscom. Here, construction of the applications centers makes a major contribution. In the first quarter 2007, revenue in Asia has already risen 7.9 % to € 1.8 million. A positive development, which nonetheless reflects the potential inherent in this market only marginally. In the region America, business with mid-sized companies is increasingly favorable, yet cannot compensate for the temporary decline in business with key accounts. Also here, the overriding goal is to strengthen brand recognition and so, confidence in the Viscom Group.
The development perspectives of the Viscom Group are promising. The company continually strengthens its worldwide presence and so the global development of the quality brand 'Viscom.' With this global deployment as well as the development of innovative inspection technology, Viscom is poised in the starting blocks, to benefit from the opportunities they offer. 'Thus we are optimistic of achieving our full-year guidance, revenue of from € 57 to € 60 million and an EBIT margin of 15 % to 17 %,' underscores Ulrich Mohr.

Insofar as this notice contains prognoses or expectations or concerns statements regarding the future, these statements may be marked by risk and uncertainty. Thus we cannot guarantee that the expectations will prove themselves correct. Actual events and developments may deviate significantly from the expectations and assumptions expressed herein. Among the factors which may cause deviation are changes in the general economic situation, the competitive situation, exchange rates, interest rates and changes in national and international laws, among others. Thus the company can assume no responsibility to realize the statements conveyed within this notice.

 

Key Figures of the Viscom AG

Company Information

Q1 2007


 Key figures of the Viscom AG

Segment Information

Q1 2007




Contact:
Viscom AG
Investor Relations
Katharina Blanke
Carl-Buderus-Str. 9-15
30455 Hannover
Tel.: +49-511-94996-861
Fax:  +49-511-94996-501
katharina.blanke@viscom.de


DGAP 10.05.2007 

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Language:     English
Issuer:       Viscom AG
              Carl-Buderus-Strasse 9-15
              30455 Hannover Deutschland
Phone:        +49 (0) 511 94 996 861
Fax:          +49 (0) 511 94 996 501
E-mail:       katharina.blanke@viscom.de
www:          www.viscom.de
ISIN:         DE0007846867
WKN:          784686
Indices:      
Listed: Amtlicher Markt in Frankfurt (Prime Standard), Hannover; Freiverkehr in Berlin-Bremen, Düsseldorf, München, Stuttgart  
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