AT&S Austria Technologie & Systemtechnik AG

Earnings Release • Jul 26, 2007

News Details

Ad-hoc | 26 July 2007 07:54

Results for first quarter 2007/08 to June 30, 2007

AT & S Austria Technologie & Systemtechnik AG / Quarter Results

Release of an Ad hoc announcement, transmitted by DGAP - a company of
EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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AT&S revenues up 9% and EBIT up 33%. Earnings per share (EPS) up 51% to EUR
0.40.

AT&S AG, Vienna, Austria, July 26, 2007

AT&S posted revenues of EUR 114.7m for the first quarter of financial
2007/08, up 9% on the same period last year.

Gross profit advanced to EUR 18.8m, an increase of 19%, and the gross
margin was 16.4%, 1.3 percentage points higher than in the comparable
period last year.

EBIT of EUR 7.8m was up 33% period on period, and the EBIT margin was 6.8%,
an improvement of 1.2 percentage points over the first quarter of financial
2006/07.

AT&S’s pretax profit for the first three months was EUR 9.1m, an advance of
53%. Net income for the period was EUR 9.2m (up 37%). The effective rate of
taxation for the first quarter was some +1.8% (tax credit), resulting in
earnings per share of EUR 0.40 (+51%).

Net debt at June 30, 2007, amounted to EUR 123.7m (EUR 74.2m higher than a
year earlier), with net gearing at 54.5%. The increase in net borrowings of
EUR 13.1m since March 31, 2007, is largely attributable to capital
investment in the further extension of the Shanghai plants.

Outlook

In the telecommunications industry the technology mix is migrating towards
the high tech end, with increasing use of 3-n-3 PCBs. In addition, there is
increasing demand in the automotive segment for HDI printed circuit boards
(high density interconnection), which impacts AT&S’s business performance
favorably. There is still no let-up in the pressure on prices.

On the basis of results for first quarter 2007/08 and the currently high
levels of capacity utilization at AT&S’s factories, Management is highly
confident of achieving its published guidance for financial 2007/08
(revenues of EUR 540–550m, earnings per share of EUR 1.60 to EUR 1.70).

Information and notes on this ad hoc announcement by the Company

Results in accordance with IFRS (in EUR m, EPS in EUR):

Q1 2007/08 compared with Q1 2006/07

                       Q1 07/08     Margin     Q1 06/07     Margin

Total revenues 114.7 104.8
Gross profit 18.8 16.4% 15.9 15.1%
EBITDA 15.9 13.8% 15.4 14.7%
EBIT 7.8 6.8% 5.8 5.6%
Net income for period 9.2 6.7
EPS 0.40 0.26
Net debt 123.7 74.2
Net gearing 54.5% 30.6%

Q1 2007/08 compared with Q4 2006/07

                       Q1 07/08     Margin     Q4 06/07     Margin

Total revenues 114.7 109.6
Gross profit 18.8 16.4% 14.7 13.4%
EBITDA 15.9 13.8% 12.9 11.8%
EBIT 7.8 6.8% 4.4 4.0%
Net income for period 9.21 4.8
EPS 0.40 0.21
Net debt 123.7 110.6
Net gearing 54.5% 50.2%

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Information and Explaination of the Issuer to this News:

Notes to results for first quarter 2007/08

Another strong quarter underlines AT&S’s sustained strong growth

This is the tenth successive quarter in which AT&S has posted higher
revenues than in the quarter before. Product mix and capacity utilization
were both again satisfactory. In particular production of HDI circuit
boards, which are technically demanding, was up on target. Despite the
weakness of the US dollar, revenues grew by 9% in comparison with the same
period last year. Judicious use of hedges and appropriate financing ensured
that the effects of currency movements against the US dollar were canceled
out. In combination with an effective tax rate of +1.8%, this meant that
earnings per share climbed a respectable 51% compared with the first
quarter of financial 2006/07.

With 5,972 employees at June 30, 2007, AT&S’s headcount reached a new
record. Almost all the increase was in the plants in Asia, and
predominantly in China.

In the first quarter, 65% of revenues was generated by the telecoms
segment, with handheld products. Industrial/medical contributed 22%, and
the automotive segment roughly 11%. DCC/Trading and Design accounted for
2.1% of the total; the Group is expecting a significant increase in this
business over the rest of the financial year.

Net capital investment in the first quarter came to EUR 26m, spent
principally on further expansion of our Shanghai facility.

Share buy-back program

AT&S’s thirteenth Annual General Meeting of July 3, 2007, has authorized
the Board of Management to repurchase the Company’s own shares up to a
maximum of 10% of the share capital within 18 months of the passing of the
resolution. The acquisition price may not be less than EUR 1.10 per share
nor more than EUR 110.– per share. At June 30, 2007, AT&S held 2,519,991
shares, or 9.7% of the share capital. The free float is now 51.1%.

The results and the Excel format interim financial statements (not
including notes) for the first quarter of 2007/08 were posted today at 8am
(CET) on the investors section of www.ats.net. The quarterly report will be
available in .pdf format from early August.

For more information please contact Hans Lang, IRO,
Tel. +43 (1) 68300 9215, e-mail: h.lang@ats.net.

DGAP 26.07.2007

Language: English
Issuer: AT & S Austria Technologie & Systemtechnik AG
Fabriksgasse 13
8700 Leoben Österreich
Phone: +43 (1) 3842200-0
Fax: +43 (1) 3842200-216
E-mail: info@ats.net
Internet: www.ats.net
ISIN: AT0000969985
WKN: 922230
Indices: TecDAX
Listed: Amtlicher Markt in Wien

End of News DGAP News-Service

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