InTiCa Systems AG

Quarterly Report • Aug 21, 2012

Interim Report H1 2012

Weak market conditions in the communications and industrial sectors dampened business in H1 2012

Technologies for growth markets!

H1 2012 in figures

The Group	Q2 2011 EUR ´000	Q2 2012 EUR ´000	H1 2011 EUR ´000	H1 2012 EUR ´000	Change vs. H1 2011
Sales	11,689	9,134	22,577	18,006	-20.3%
Net margin (net result for the period)	2.1%	0.3%	1.7%	0.5%	-
EBITDA	1,792	1,155	3,152	2,474	-21.5%
EBIT	595	55	833	311	-62.7%
EBT	449	-64	555	61	-89.0%
Net result for the period	249	30	384	93	-75.8%
Earnings per share (diluted/basic in EUR)	0.06	0.01	0.09	0.02	-75.9%
Total cash flow	-849	152	-1,765	1,219	-
Net cash flow for operating activities	-118	1,003	-937	1,468	-
Capital expenditure	620	715	1,245	1,389	11.6%

	Jun 30, 2011 EUR ´000	Dec 31, 2011 EUR ´000	Jun 30, 2012 EUR ´000	Change vs. Dec 31, 2011
Total assets	43,159	37,433	35,047	-6.4%
Equity	20,203	19,489	19,631	0.7%
Equity ratio	47%	52%	56%	-
Number of employees (on the reporting date)	431	420	417	-0.7%

The Stock	H1 2011	2011	H1 2012
Closing price (in EUR)	4.74	3.54	3.07
Period high (in EUR)	5.45	5.45	3.75
Period low (in EUR)	4.01	3.30	2.65
Market capitalisation at end of period (in EUR million)	20.3	15.2	13.2
Number of shares	4,287,000	4,287,000	4,287,000

The stock prices are closing prices on XETRA.

InTiCa Systems in the First Six Months of 2012	4
Foreword by the Board of Directors	4
Interim Management Report of the Group	6
InTiCa Systems Stock	6
Earnings, Asset and Financial Position	9
Risks and Opportunities	10
Events After the End of the Reporting Period	11
Outlook	11
Consolidated Interim Financial Statements	13
Consolidated Balance Sheet	14
Consolidated Statement of Comprehensive Income	16
Consolidated Cash Flow Statement	17
Consolidated Statement of Changes in Equity	18
Notes to the Consolidated Interim
Financial Statements	19
Segment Report	20
Other Information	21
Responsibility Statement	22

Financial Calendar 24

Dear shareholders, employees and business associates,

The second quarter of 2012 saw a continuation of the negative market trend which had started to impact the Communication Technology and Industrial Electronics segments (especially photovoltaics) in the first quarter of this year. General market conditions remained poor, overshadowed by the debt crisis in the euro zone, high uncertainty on the financial markets and the increasing deterioration of economic prospects. As a result, in the first half of this year we were unable to repeat the good sales and earnings figures reported in the first half of last year. Although the Automotive Technology segment continued to develop well, with sales growth of over 20%, Group sales were down roughly 20% overall due to the drop in sales in the Communication Technology and Industrial Electronics segments. The EBIT margin declined from 3.7% to 1.7%. Even so, we achieved a positive half-year result of EUR 0.1 million.

The Industrial Electronics segment is still heavily impacted by the difficulties in the European solar industry. Action to reduce the high level of overcapacity and a sharp reduction in state subsidies for our customers led to a clear drop in demand for our solutions. However, extending our product range to include components for welding and rail technology and for industrial equipment and household appliances should reduce this segment's dependence on specific sectors.

Automotive Technology is now the biggest sales and earnings generator at InTiCa Systems. One key success factor is the fact that we can supply entire assemblies, not just individual products. This requires far higher technical know-how and considerably more vertical integration. In this way we have become a supplier to the leading systems suppliers. Our products are now used in vehicles produced by 19 different car-makers. Economically, the German automotive sector at any rate is still proving relatively robust, so we do not anticipate a dramatic downturn here this year. Nevertheless, the sector is not immune to ongoing currency crises.

In view of the increasingly weak economic outlook, we are not able to uphold our previous guidance of a slight drop in sales but a stable earnings trend this year. To err on the safe side, at present we have to assume that in fiscal 2012 we will see a noticeable decline in sales and earnings. Despite this, we still expect a significant improvement in the Group's liquidity in the single-digit millions.

Focusing on our main strategic goals, achieving technological and quality leadership, constantly optimizing our own value creation, steadily expanding our customer base and product portfolio and entering new international markets are the right strategies. In the present demanding competitive conditions, we need to raise our market share still further so that we can continue to grow profitably in the medium to long term. InTiCa Systems will be continuing its successful shift from a supplier of components and subsystems to a solution provider.

Passau, August 2012

Yours,

Chairman of the Member of the

Walter Brückl Günther Kneidinger Board of Directors Board of Directors

Interim Management Report of the Group

for the period from January 1 to June 30, 2012

General economic conditions

The German economy is suffering more from the debt crisis in the euro zone than had originally been expected. According to forecasts by the German Institute for Economic Research (DIW), the economy will only grow by 1 percent in 2012. DIW expects the main growth driver to be domestic demand. Demand from other euro-zone countries for German products is expected to remain relatively weak. The euro zone is in a pronounced recession as a result of the debt crises in many countries and the ongoing uncertainty on the financial markets. The DIW also expects demand from other industrialized countries to remain fairly subdued and is only predicting an economic upturn in emerging markets such as China and Brazil, in response to more expansionary monetary and fiscal policies. Other economic indicators such as the Indicator of Economic Sentiment compiled by the Centre for European Economic Research (ZEW) and the ifo business climate index, which attracts a good deal of attention, are also pointing to a downward trend, which indicates pressure on Germany's economic development.

InTiCa Systems' share price performance1)

Shares in InTiCa Systems started 2012 at EUR 3.60. The share price came under pressure in the first three months of the year as a result of the exit of a major shareholder with a shareholding of more than 5%. It hit a low of EUR 2.65 in mid-March. It subsequently rallied and has been trading in a range of between EUR 2.80 and EUR 3.20 in exceptionally volatile market conditions. In Xetra trading, the share price closed at EUR 2.73 on August 06.

In the first six months of this year we provided timely information for our shareholders and the general public on current business trends, specific events and the company's prospects. At the Annual General Meeting, which was held in Passau, Germany, on July 6, 2012, shareholders were able to find out about the company's performance in 2011 and its present situation. The presentation and speech given at this year's Annual General Meeting and the results of the votes on the resolutions can be accessed on the company's homepage at Investor Relations/Annual General Meeting (available in German only).

InTiCa Systems AG receives order to develop and produce key components for a new generation of hybrid engines

InTiCa Systems AG has received an order from a well-known systems supplier to develop and manufacture key components for hybrid vehicles. The specific requirements made on these components, which will be used for battery management, require a concept based on highly sophisticated technology. To safeguard the planned start of production in early 2013, production of the necessary tools started in parallel with completion of the development phase. The contract is expected to run for seven years and sales will be in the lower double-digit millions range. Use of the components in further model ranges and for other brands is currently under discussion.

InTiCa Systems AG: Change in the Supervisory Board

Mr. Detlef Hölzel stepped down from the Supervisory Board of InTiCa Systems AG at his own request for personal reasons as of June 30, 2012. Mr. Hölzel had been a member of the Supervisory Board since August 5, 2010. The Board of Directors and Supervisory Board would like to thank him for his very good and constructive collaboration and strong commitment and wish him all the best for the future. He has been succeeded in this function by Mr. Udo Zimmer, previously substitute member of the Supervisory Board.

Key data on the stock

ISIN	DE0005874846
WKN	587 484
Stock exchange symbol	IS7
Symbol Reuters / Bloomberg	IS7G.DE / IS7:GR
Trading segment	Regulated Market
Transparency level	Prime Standard
Listed	XETRA® , Frankfurt, Hamburg, Berlin, Munich, Stuttgart, Düsseldorf
Prime sector	Technology
Indices	CDAX, DAXsector All Technology, DAXsector Technology, DAXsubsector All Communications Technology, DAXsubsector Communications Technology, Prime All Share, Technology All Share
Designated sponsor	BankM - biw AG ICF Kursmakler AG
Research coverage	Performaxx Research GmbH
Number of shares	4,287,000
Capital stock	EUR 4,287,000
Stock category	No-par common bearer shares

Shareholder structure

On August 15, 2012 the major shareholders were:	Shareholding
Thorsten Wagner	more than 20%
Dr. Dr. Axel Diekmann	more than 10%
KST Beteiligungs AG	more than 5%
bcm Invest GmbH	more than 5%
Dr. Paul und Maria Grohs	more than 3%
Karl Kindl	more than 3%
InTiCa Systems AG	1,5%
Management	less than 1%

Directors' Dealings in H1

Date	Reporting person	Board Member	Buy/Sale	Amount	Price in EUR	Volume in EUR	Exchange
none

Earnings, asset and financial position

Group sales slipped by about 20% year-on-year to EUR 18.0 million in H1 2012. Despite a clear improvement in the material expense ratio relative to total output (from 67% to 59%), EBITDA was lower than in the previous year at EUR 2.5 million as a result of a slightly slower reduction in overheads. EBIT was around EUR 0.3 million and thus also lower than a year earlier (H1 2011: EUR 0.8 million). The EBIT margin dropped from 3.7% to 1.7%. While the Automotive Technology segment reported further sales growth of 25%, Industrial Electronics and Communication Technology reported year-on-year declines of 34% and 55% respectively due to the difficult market situation in these two segments.

The equity ratio increased to 56% (December 31, 2011: 52%). Moreover, current liabilities to banks were reduced from EUR 2.3 million to EUR 1.2 million in the reporting period. The operating cash flow was clearly positive at EUR 1.5 million and the positive liquidity situation was further boosted by the scheduled repayment of a bonded loan totalling EUR 1.5 million.

Earnings position

In the first six months of 2012 Group sales dropped to EUR 18.0 million, down 20% from the year-back level of EUR 22.6 million. The Automotive Technology segment reported continued strong growth, with sales up 25% at EUR 9.0 million (H1 2011: EUR 7.2 million), whereas the Communication Technology and Industrial Electronics segments suffered a downturn. Sales revenues in the Communication Technology segment fell 55% to EUR 2.5 million (H1 2011: EUR 5.7 million). In the Industrial Electronics segment, sales were down 34% at EUR 6.4 million (H1 2011: EUR 9.7 million).

The ratio of material costs to total output improved from 67% in H1 2011 to 59% in H1 2012. However, lower sales accompanied by an only slightly lower headcount lifted the personnel expense ratio to 20% (H1 2011: 14%). Costs for temporary agency staff declined from EUR 0.45 million to EUR 0.3 million due to the reduction in the employment of such staff at the production site. These costs are recognized in "Other expenses". Depreciation and amortization of property, plant and equipment and intangible assets amounted to EUR 2.2 million in H1 2012 (H1 2011: EUR 2.3 million). Other expenses were reduced from EUR 2.3 million in H1 2011 to EUR 2.0 million in H1 2012.

Spending on research and developed totalled EUR 1.1 million in the reporting period, which was slightly below the previous year's level of EUR 1.3 million. Development work focused principally on the Automotive Technology and Industrial Electronics segments.

Analogously to the drop in business volume, EBITDA slipped from EUR 3.2 million to EUR 2.5 million in the first six months of 2012.

Group EBIT dropped from EUR 0.8 million in H1 2011 to EUR 0.3 million in H1 2012. The EBIT margin declined from 3.7% in H1 2011 to 1.7%. Earnings are still positive thanks to the Automotive Technology segment, which reported EBIT of EUR 0.6 million in H1 2012 (H1 2011: EUR 0.5 million). The Communication Technology segment posted negative EBIT of minus EUR 0.3 million (H1 2011: minus EUR 0.1 million). EBIT was also negative in the Industrial Electronics segment at minus EUR 0.03 million (H1 2011: positive at EUR 0.4 million).

The financial result was minus EUR 0.25 million at the end of the first six months (H1 2011: minus EUR 0.28 million). Taking into account tax income of EUR 32 thousand (H1 2011: tax expense of EUR 171 thousand), Group net income was EUR 0.1 million in the first half of 2012 (H1 2011: EUR 0.4 million). Earnings per share were EUR 0.02 (H1 2011: EUR 0.09).

As a result of currency translation gains of EUR 49 thousand (H1 2011: EUR 149 thousand) from the translation of foreign business operations, comprehensive income was EUR 0.1 million in the first half of 2012 (H1 2011: EUR 0.5 million).

Non-current assets

Depreciation and amortization were offset by lower investment in property, plant and equipment and intangible assets in the first half of 2012. Non-current assets therefore declined to EUR 21.6 million as of June 30, 2012 (December 31, 2011: EUR 22.3 million).

Current assets

Current assets decreased from EUR 15.1 million to EUR 13.4 million in the reporting period. Inventories were reduced from EUR 7.5 million to EUR 6.2 million and trade receivables increased from EUR 4.7 million to EUR 5.8 million. Cash and cash equivalents increased slightly to EUR 1.2 million in the reporting period (December 31, 2011: EUR 1.1 million).

Liabilities

Current liabilities were reduced from EUR 6.5 million as of December 31, 2011 to EUR 4.4 million at end-June 2012. Current liabilities to banks declined from EUR 2.3 million to EUR 1.2 million and trade payables were scaled back from EUR 2.8 million to EUR 2.1 million. As a result of scheduled repayment instalments on long-term loans, non-current liabilities to banks dropped from EUR 9.4 million to EUR 9.0 million in the reporting period. Overall, non-current liabilities therefore declined from EUR 11.4 million to EUR 11.0 million.

Equity

Equity increased slightly in the first half of 2012, from EUR 19.5 million as of December 31, 2011 to EUR 19.6 million as of June 30, 2012. This was due to the increase in the profit reserve from EUR 0.4 million to EUR 0.5 million as a result of the positive interim result. Total equity and liabilities declined from EUR 37.4 million to EUR 35.0 million in the reporting period due to the decline in liabilities, so the equity ratio improved from 52% to 56%.

Liquidity and cash flow statement

The net cash flow from operating activities was EUR 1.5 million in the first six months of 2012 (H1 2011: cash outflow of EUR 0.9 million). The significant year-on-year improvement was attributable to lower inventories and the slower increase in trade receivables in the reporting period. Excluding interest payments, the cash inflow from operating activities was EUR 1.7 million (H1 2011: outflow of EUR 0.6 million).

Thanks to the scheduled repayment of a bonded loan totalling EUR 1.5 million, the net cash flow from investing activities was EUR 0.1 million, a considerable improvement from the outflow of EUR 1.2 million in the comparable period of the previous year. Capital expenditures on property, plant and equipment amounted to some EUR 0.7 million in H1 2012 (H1 2011: EUR 0.4 million), while investment in intangible assets resulted in an outflow of around EUR 0.7 million (H1 2011: EUR 0.8 million).

The net cash outflow for financing activities was EUR 0.4 million in the first six months (H1 2011: inflow of EUR 0.4 million). In the reporting period, cash outflows related solely to scheduled loan repayment instalments totalling EUR 0.36 million and leasing expenses of EUR 0.04 million.

Cash and cash equivalents (less overdraft facilities used) increased considerably year-on-year to EUR 0.7 million (H1 2011: minus EUR 2.9 million). Moreover, InTiCa Systems has assured credit facilities which can be drawn at any time totalling EUR 4.0 million.

Employees

The number of employees declined slightly in the first six months of 2012, from 420 as of December 31, 2011 to 417 as of June 30, 2012 (both figures include temporary agency staff). On average, the Group had 414 employees in the reporting period (H1 2011: 446).

Risks and opportunities

The management report in the annual report for 2011 provides full details of risk factors that could affect the business performance of InTiCa Systems in section 10 "Risk management and risk report" while business potential is

discussed in section 12 "Opportunities". There was no material change in the risk/opportunity profile of InTiCa Systems AG in the reporting period.

Events after the end of the reporting period

The Annual General Meeting on July 6, 2012 adopted a resolution creating authorized capital and an amendment to sec. 3 of the articles of association (authorized capital). The authorized capital of May 24, 2007 (authorized capital 2007/I) has expired. The Board of Directors is authorized by a resolution of the Annual General Meeting of July 6, 2012 to increase the capital stock with the Supervisory Board's consent, up to July 5, 2017, by a total of up to EUR 2,143,500.00 in return for cash or contributions in kind under exclusion of shareholders' subscription rights (authorized capital 2012/1).

On August 3, 2012 InTiCa Systems AG issued an ad-hoc release announcing that its previous forecast of a slight drop in sales but a stable earnings trend could no longer be achieved as a result of the continued deterioration in the global economic situation in recent weeks and persistently tough competition.

Outlook

As stated in the ad-hoc release of August 3, 2012, in view of the continuing difficult situation in the European solar industry, delays in product launches and ramp-ups in the automotive industry and the increasing overall uncertainty caused by the expected deterioration of the economic situation, especially in the euro zone, the Board of Directors now anticipates a noticeable decline in sales and earnings performance. Despite this, it still expects a significant improvement in the Group's liquidity situation in the low single-digit millions.

Orders on hand were around EUR 30 million on June 30, 2012.

The Board of Directors is of the opinion that InTiCa Systems remains well-positioned in terms of both costs and products despite the general economic uncertainty in 2012. The present deterioration in the business situation in the solar sector will be offset to some extent by orders on hand in the Automotive Technology segment. The additional products for new applications that have been brought to market maturity in all three segments in recent months, combined with the increase in vertical integration and systems competence, offer sufficient potential for volume sales.

Further information on the expectations for the individual segments is set out in section 14 "Outlook" in the management report published in the annual report for 2011.

Consolidated interim financial statements in accordance with IFRS

The unaudited consolidated interim financial statements for InTiCa Systems AG and its subsidiary as of June 30, 2012 have been drawn up in accordance with the International Financial Reporting Standards (IFRS), as applicable for use in the European Union, and the supplementary commercial law regulations set out in sec. 315a paragraph 1 of the German Commercial Code (HGB). No audit review has been conducted of the consolidated interim financial statements.

Forward-looking Statements and Predictions

This press release contains statements and forecasts referring to the future development of InTiCa Systems AG which are based on current assumptions and estimates by the management that are made using information currently available to them. If the underlying assumptions do not materialize, the actual figures may differ substantially from such estimates. Future developments and results are in fact dependent on a large number of factors; they contain different risks and imponderables and are based on assumptions that may not be accurate. We neither intend not assume any obligation to update forward-looking statements on an ongoing basis as these are based exclusively on the circumstances prevailing on the date of publication.

Consolidated Interim Financial Statements

for the period from January 1 to June 30, 2012

Consolidated Balance Sheet

of InTiCa Systems AG in accordance with IFRS/IAS as of June 30, 2012

Assets	Jun 30, 2012 EUR ´000	Dec 31, 2011 EUR ´000
Non-current assets
Intangible assets	4,859	4,841
Property, plant and equipment	15,441	16,131
Deferred taxes	1,343	1,372
Total non-current assets	21,643	22,344
Current assets
Inventories	6,217	7,545
Trade receivables	5,761	4,657
Tax assets	22	17
Other financial assets	30	1,542
Other current receivables	178	200
Cash and cash equivalents	1,196	1,128
Total current assets	13,404	15,089
Total assets	35,047	37,433

Equity and liabilities	Jun 30, 2012 EUR ´000	Dec 31, 2011 EUR ´000
Equity
Capital stock	4,287	4,287
Treasury stock	-64	-64
General capital reserve	15,389	15,389
Profit reserve	542	449
Currency translation reserve	-523	-572
Total equity	19,631	19,489
Non-current liabilities
Interest-bearing non-current liabilities	9,029	9,387
Other non-current liabilities	221	264
Deferred taxes	1,727	1,788
Total non-current liabilities	10,977	11,439
Current liabilities
Other current provisions	592	850
Interest-bearing current financial liabilities	1,178	2,329
Trade payables	2,068	2,791
Liabilities under finance leases	83	78
Other financial liabilities	223	179
Other current liabilities	295	278
Total current liabilities	4,439	6,505
Total equity and liabilities	35,047	37,433
Equity ratio	56%	52%

Consolidated Statement of Comprehensive Income

of InTiCa Systems AG in accordance with IFRS/IAS for the period from January 1 to June 30, 2012

	Q2 2012 EUR ´000	Q2 2011 EUR ´000	H1 2012 EUR ´000	H1 2011 EUR ´000	Change H1 2012 vs. 2011
Sales	9,134	11,689	18,006	22,577	-20.3%
Other operating income	104	324	260	568	-54.2%
Changes in finished goods and work in process	-466	884	-631	1,482	-
Other own costs capitalized	311	325	610	730	-16.4%
Material expense	5,212	8,582	10,648	16,696	-36.2%
Personnel expense	1,614	1,610	3,133	3,202	-2.2%
Depreciation and amortization	1,100	1,197	2,163	2,319	-6.7%
Other expenses	1,102	1,238	1,990	2,307	-13.7%
Operating profit (EBIT)	55	595	311	833	-62.7%
Cost of financing	121	156	258	299	-13.7%
Other financial income	2	10	8	21	-61.9%
Profit before taxes	-64	449	61	555	-89.0%
Income taxes	-94	200	-32	171	-
Net result for the period	30	249	93	384	-75.8%
Other comprehensive income
Exchange differences from translating foreign business operations	-444	-48	49	149	-67.1%
Deferred taxes from translating foreign business operations	0	0	0	0
Other comprehensive income, after taxes	-444	-48	49	149	-67.1%
Total comprehensive income for the period	-414	201	142	533	-73.4%
Earnings per share (diluted/basic in EUR)	0.01	0.06	0.02	0.09	-75.9%
EBITDA	1,155	1,792	2,474	3,152	-21.5%

Consolidated Cash Flow Statement

of InTiCa Systems AG in accordance with IFRS/IAS for the period from January 1 to June 30, 2012

	H1 2012 EUR ´000	H1 2011 EUR ´000
Cash flow from operating activities
Net result for the period	93	384
Income tax expenditures / receipts	-32	171
Cash outflow for borrowing costs	258	299
Income from financial investments	-8	-21
Depreciation and amortization of non-current assets	2,163	2,319
Other non-cash transactions	-53	-269
Increase/decrease in assets not attributable to financing or investing activities
Inventories Trade receivables Other assets	1,329 -1,105 5	-2,507 -1,643 -226
Increase/decrease in liabilities not attributable to financing or investing activities
Other current provisions Trade payables Other liabilities	-258 -722 60	136 779 27
Cash flow from operating activities	1,730	-551
Cash outflow for income taxes	-5	-13
Cash outflow for interest payments	-257	-373
Net cash flow from operating activities	1,468	-937
Cash flow from investing activities
Cash inflow from interest payments	37	37
Cash outflow for intangible assets	-691	-820
Cash outflow for property, plant and equipment	-698	-425
Cash inflow from non-current receivables	1,500	0
Net cash flow from investing activities	148	-1,208
Cash flow from financing activities
Expenses for the sale of treasury stock	0	-11
Cash inflow from the sale of treasury stock	0	738
Cash outflow for loan repayment installments	-358	-347
Cash outflow for liabilities under finance leases	-39	0
Net cash flow from financing activities	-397	380
Total cash flow	1,219	-1,765
Cash and cash equivalents at start of period	-500	-1,093
Impact of changes in exchange rates on cash and cash equivalents held in foreign currencies	0	0
Cash and cash equivalents at end of period	719	-2,858

Consolidated Statement of Changes in Equity

of InTiCa Systems AG in accordance with IFRS/IAS for the period from January 1 to June 30, 2012

	Capital stock EUR ´000	Treasury stock EUR ´000	Paid-in capital EUR ´000	Retained earnings EUR ´000	Currency trans lation reserve EUR ´000	Total equity EUR ´000
As of January 1, 2011	4,287	-210	14,427	0	440	18,944
Net result for H1 2011	0	0	382	2	0	384
Other comprehensive income, after taxes H1 2011	0	0	0	0	149	149
Total comprehensive income for H1 2011	0	0	382	2	149	533
Sale of shares	0	146	591	0	0	737
Expenses for the sale of shares	0	0	-11	0	0	-11
As of June 30, 2011	4,287	-64	15,389	2	589	20,203
As of January 1, 2012	4,287	-64	15,389	449	-572	19,489
Net result for H1 2012	0	0	0	93	0	93
Other comprehensive income, after taxes H1 2012	0	0	0	0	49	49
Total comprehensive income for H1 2012	0	0	0	93	49	142
As of June 30, 2012	4,287	-64	15,389	542	-523	19,631

Consolidated Interim Financial Statements Notes to the

for the period from January 1 to June 30, 2012

Accounting based on the International Financial Reporting Standards (IFRS)

The consolidated interim financial statements of InTiCa Systems AG as of June 30, 2012, prepared in accordance with International Accounting Standard (IAS) 34 "Interim Financial Reporting", use the same accounting policies and valuation methods as the consolidated financial statements for fiscal 2011, which were drawn up in accordance with International Financial Reporting Standards valid as of the reporting date, as applicable for use in the European Union, and the relevant Interpretations. The consolidated interim financial statements have been prepared for the six month period ending on June 30, 2012. Comparative data refer to the consolidated financial statements as of December 31, 2011 or the consolidated interim financial statements as of June 30, 2011. The consolidated interim financial statements do not contain all information that would be required for a full set of annual financial statements. A detailed overview of the accounting and valuation principles applied can be found in the notes to the consolidated financial statements in the annual report for 2011.

This is available at Investor Relations/Publications on the company's website at http://www.intica-systems.de.

The currency used to prepare the consolidated interim financial statements is the euro (EUR). Amounts are stated in thousands of euros (EUR '000), except where otherwise indicated.

Scope of consolidation

The scope of consolidation of InTiCa Systems AG has contracted compared with fiscal 2011. Alongside the parent company in Passau, Germany, only InTiCa Systems s.r.o. of Prachatice, Czech Republic, is included in the consolidated interim financial statements. The parent company has a stake of 100% in this subsidiary. InTiCa Systems Ges.mbH of Neufelden, Austria, which was included in the consolidated financial statements for 2011, has been deleted from the commercial register and is therefore no longer included in the consolidated interim financial statements. The interim financial statements of the consolidated companies are prepared as of the reporting date for the consolidated interim financial statements.

Currency translation

When preparing the financial statements for each individual Group company, business transactions in currencies other than the functional currency of that company (foreign currencies) are translated at the exchange rates applicable on the transaction date.

When preparing the consolidated interim financial statements, the assets and liabilities of the Group's foreign business operation are translated into euros (EUR) at the exchange

Segment report as of June 30, 2012 Segment sales and segment earnings

Segment	Communication Technology		Automotive Technology		Industrial Electronics		Total
In EUR ´000	H1 2012	H1 2011	H1 2012	H1 2011	H1 2012	H1 2011	H1 2012	H1 2011
Sales	2,548	5,681	9,023	7,177	6,435	9,719	18,006	22,577
EBIT	-267	-92	607	498	-28	427	311	833

Key financial figures	H1 2012 EUR ´000 or %	H1 2011 EUR ´000 or %	Change 2012 vs. 2011
EBITDA	2,474	3,152	-21.5%
Net margin	0.5%	1.7%
Pre-tax margin	0.3%	2.5%
Material cost ratio	59.2%	67.4%
Personnel cost ratio	19.9%	14.2%
EBIT margin	1.7%	3.7%
Gross profit margin	37.4%	32.6%

rate applicable on the reporting date. Income and expenses are translated using the weighted average exchange rate for the fiscal year. The following exchange rates were used for the consolidated financial statements:

	Closing rates
Jun 30, 2012	Dec 31, 2011	Jun 30, 2011
EUR 1	EUR 1	EUR 1
CZK 25.640	CZK 25.800	CZK 24.345
USD 1.258	USD 1.293	USD 1.447
	Average rates
Jun 30, 2012	Dec 31, 2011	Jun 30, 2011
EUR 1	EUR 1	EUR 1
CZK 25.163	CZK 24.585	CZK 24.347
USD 1.297	USD 1.392	USD 1.403

Consolidated Income statement / statement of comprehensive income

Despite continued strong growth in the Automotive Technology segment, Group sales dropped by about 20.3% year-on-year from EUR 22,577 thousand to EUR 18,006 thousand in the first six months of 2012 owing to the drop in sales in the other two segments. As a consequence, EBITDA declined from EUR 3,152 thousand to EUR 2,474 thousand. Total comprehensive income deteriorated from EUR 533 thousand to EUR 142 thousand at end-June 2012.

Consolidated balance sheet and cash flow statement

The capital stock of InTiCa Systems AG is EUR 4,287,000 and is divided into 4,287,000 no-par bearer shares, with a theoretical pro rata share of the capital stock of EUR 1.00 per share. InTiCa Systems' equity ratio of around 56% (H1 2011: 52%) shows that it is still soundly financed.

The net cash flow from operating activities improved considerably to EUR 1,468 thousand in the first half of 2012 (H1 2011: cash outflow of EUR 937 thousand). The total cash flow in the reporting period was EUR 1,219 thousand (H1 2011: cash outflow of EUR 1,765 thousand). Cash and cash equivalents improved from minus EUR 500 thousand as of December 31, 2011 to EUR 719 thousand as of June 30, 2012. Inventories were reduced from EUR 7,545 thousand to EUR 6,217 thousand in the first half. Trade receivables rose by EUR 1,104 thousand to EUR 5,761 thousand. As a result of repayment of the EUR 1,500 thousand bonded loan and subsequent use of the funds to repay current account credits, other current financial assets declined by EUR 1,512 thousand and current liabilities to banks were reduced by EUR 1,151 thousand.

Authorized capital

The Board of Directors is authorized by a resolution of the Annual General Meeting of July 6, 2012 to increase the capital stock with the Supervisory Board's consent, up to July 5, 2017, by a total of up to EUR 2,143,500.00 in return for cash or contributions in kind under exclusion of shareholders' subscription rights (authorized capital 2012/1).

Events after the reporting date

Material events after the reporting date (June 30, 2012) are outlined in the section on events after the reporting period in the management report.

German Corporate Governanace Code and declaration of conformance

In compliance with sec. 161 of the German Stock Corporation Act (AktG), the Board of Directors and Supervisory Board have made their current declaration of conformance with the German Corporate Governance Code available permanently to shareholders on the company's website at http://www.intica-systems.de, Investor Relations/ Corporate Governance.

Other information

The Board of Directors and Supervisory Board do not have any stock options or other stock subscription rights within the meaning of sec. 160 paragraph 1 nos. 2 and 5 of the German Stock Corporation Act (AktG).

As of June 30, 2012 InTiCa Systems AG held 64,430 treasury shares. Treasury shares were not eligible for the dividend and had no voting rights at the company's Annual General Meeting in Passau, Germany, on July 6, 2012.

All shares have the same voting rights and dividend claims. The only exceptions are shares held by the company (treasury shares), which do not confer any rights on the company. There are no shares in the company with special rights according rights of control.

The rights and obligations of the shareholders are set out in detail in the German Stock Corporation Act (AktG), in particular in sec. 12, sec. 53a et seq., sec. 118 et seq. and sec. 186. Restrictions on the voting rights of shares could result from statutory provisions (sec. 71b and sec.136 AktG). The Board of Directors is not aware of any other restrictions on the exercise of voting rights or the transfer of shares.

No material transactions were conducted with related parties in the reporting period.

There are no agreements that confer specific rights on contractual partners in the event of a change in the company's shareholder or ownership structure.

There are no compensation agreements with either members of the Board of Directors or employees relating to a takeover bid.

Responsibility Statement

(in accordance with sec. 37v paragraph 2 no. 3 WpHG)

We hereby declare that, to the best of our knowledge and in accordance with the applicable reporting principles, the consolidated interim financial statements as of June 30, 2012 give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group and that the management report for the Group includes a fair review of the development and performance of the business from January 1 to June 30, 2012 and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group.

Passau, August 20, 2012

The Board of Directors

Chairman of the Member of the Board of Directors Board of Directors

Walter Brückl Günther Kneidinger

Financial Calendar 2012

August 21, 2012 Publication of Interim Report for H1 2012

November 20, 2012 Publication of Interim Report for the first nine months 2012

Headquarter:

InTiCa Systems AG Spitalhofstraße 94 94032 Passau Germany

Phone +49 (0) 851 96692-0 Fax +49 (0) 851 96692-15

www.intica-systems.de