JENSEN-GROUP N.V. — Earnings Release 2011

Mar 14, 2012

Press Release

A year with significant strategic investments

As we mentioned at the occasion of the third quarter update, we made significant investments in capacity in China, in new markets and in products. However, the uncertain economic climate held back the growth in sales.

Highlights 2011

• Revenue of 2011 amounts to 216,2 million euro, a 4,8% decrease compared to last year.
• Operating profit (EBIT) amounts to 8,4 million euro, which is 45,3% lower than last year.
• Cash flow (EBITDA) amounts to 13,5 million euro, a 44,3% decrease compared to last year.
• Net profit from the continuing operations amounts to 4,8 million euro (Earnings per Share of 0,60 euro), a decrease of 43,8% compared to last year.
• Net financial debt increased from 13,2 million euro to 14,5 million euro.
• The Board proposes to the shareholders, in line with the practice of previous years, a dividend of 0,25 euro per share.

Summary overview

Income Statement 31/12/2011 - 31/12/2010
Consolidated, audited key figures
(Mln euro)		Dec 31, 2011 Dec 31, 2010	Change
	12M	12M
Revenue	216,2	227,0	-4,8%
EBIT	8,4	15,4	-45,3%
Cash flow from operations (EBITDA) 1	13,5	24,3	-44,3%
Financial result	- 0,9	- 2,7	-64,9%
Profit before taxes	7,5	12,8	-41,2%
Taxes	- 2,7	- 4,2	-35,8%
Net income continuing operations	4,8	8,6	-43,8%
Result from discontinued operations	0,1 -	0,1 -	11,5%
Net income (Group share in the profit)	4,7	8,5	-44,3%
Net cash flow 2	9,9	17,5	-43,2%
Balance sheet as of 31/12/2011- 31/12/2010 Consolidated, audited key figures
(Mln euro)		Dec 31, 2011 Dec 31, 2010	Change
	12M	12M
Equity	60,0	57,5	4,5%
Net financial debt	14,5	13,2	10,1%
Assets held for sale	0,4	0,4	3,2%
Total assets	151,9	157,9	-3,8%
Consolidated, audited key figures per share
(euro)		Dec 31, 2011 Dec 31, 2010	Change
	12M	12M
Cash flow from operations (EBITDA) 1	1,69	3,04	-44,4%
Profit before taxes	0,94	1,59	-40,9%
Profit after taxes continuing operations (EPS)	0,60	1,07	-43,9%
Net cash flow 2	1,24	2,19	-43,4%
Equity	7,50	7,18	4,5%
Number of shares (end of period)	8.002.968	8.002.968
Number of shares (average)	8.002.968	8.002.968
1

EBITDA = earnings before interest, taxes, depreciation and amortization; This is operating profit plus depreciation and amounts written off on stocks, trade debtors, impairment losses and provisions for liabilities and charges

²The net cash flow is the net income (Group share in the profit) excluding depreciation, amounts written off on stocks, trade debtors, impairment losses and provisions for liabilities and charges.

Operating activities

• Revenue
• o Revenue decreased due to the lower activities;
• o Most revenues generated in Europe.
• EBIT
• o Consolidated EBIT decreased from 15,4 million euro to 8,4 million euro (-45,3%).
• o The lower EBIT results among others from:
• the lower activity level
• investments in strategic initiatives like "Go East" and projects around automation
• cost overruns on customer projects
• the decision to transfer the production of Switzerland to Denmark.

Other activities

• Total net finance cost amounts to 0,9 million euro. This primarily relates to interest charges (0,7 million euro).
• The net tax charges amount to 2,7 million euro.
• Compared to December 2010, the net financial debt increased by 1,3 million euro to a level of 14,5 million euro.

Outlook

The order backlog is 47% higher than at December 31, 2010. During the year, the order backlog increased in various markets due to large customer projects won. We believe the order backlog increase is a consequence of our investments.

Major risk factors have not materially changed from last year: the economic uncertainty affecting the investment climate and consequently order intake, rapid changes in demand, high exchange rate volatility and fluctuating raw material, energy and transport prices.

Dividend

The Board of Directors will propose during the shareholders' meeting of May 15, 2012 a dividend of 0,25 euro per share.

Subject to approval during the Annual Shareholders' meeting, the share will trade excoupon as of May 23 and dividend will be payable as from May 29, 2012 at the counters of KBC bank upon presentation of coupon n°6.

Shareholders' calendar

March 30, 2012: Publication annual report on the corporate website May 14, 2012 (evening): Publication of the interim declaration, covering the period from January 1, 2012.

May 15, 2012: 3.00 pm. Shareholders' meeting at JENSEN-GROUP Headquarters, Ghent August 27 2012(evening): Half year results 2012 (Analysts' meeting August 28 )

Audit

The statutory auditor has confirmed that the audit of the consolidated accounts, which is substantially complete, has to date not revealed any material misstatement in the draft consolidated accounts, and that the accounting data reported in the press release is consistent, in all material respects, with the draft accounts from which it has been derived.

Profile

The JENSEN-GROUP assists heavy-duty laundries worldwide to provide quality textile services economically. We have become the preferred supplier in the laundry industry by leveraging our broad laundry expertise to design and supply sustainable single machines, systems and integrated solutions. We are continuously growing by extending our offer and by developing environmental friendly and innovative products and services that address specific customer needs. Our success results from combining our global skills with our local presence. The JENSEN-GROUP has operations in 14 countries and has distribution in more than 40 countries. Worldwide, the JENSEN-GROUP employs about 1.150 employees.

This press release is also available on the corporate website www.jensen-group.com. (End of press release) Note to the editors: for more information, please contact: Jensen-Group: Jesper Munch Jensen, Chief Executive Officer Markus Schalch, Chief Financial Officer Scarlet Janssens, Investor Relations Manager Tel. +32.9.333.83.30 E-mail : investor@jensen-group.com.