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STRATEC SE

Quarterly Report May 14, 2014

416_10-q_2014-05-14_bca0ad22-af97-453c-a70c-b91b397ead84.pdf

Quarterly Report

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Interim Report 03.31.2014

ProfilE

STRATEC DEVELOPS AND MANUFACTURES FULLY AUTOMATED ANALYZER SYSTEMS BASED ON ITS OWN PATENTED TECHNOLOGIES FOR ITS PARTNERS IN THE FIELDS OF CLINICAL DIAGNOSTICS AND BIOTECHNOLOGY. STRATEC'S PARTNERS ARE MOSTLY GLOBAL PLAYERS OPERATING IN THE IN-VITRO DIAGNOSTICS INDUSTRY. THESE COMPANIES MARKET STRATEC'S SYSTEMS UNDER THEIR OWN NAMES, IN GENERAL TOGETHER WITH THEIR OWN REAGENTS, AS SYSTEM SOLUTIONS TO LABORATORIES, BLOOD BANKS, AND RESEARCH INSTITUTES AROUND THE WORLD.

CONTENT

HIGHLIGHTS/
KEY GROUP
FIGURES AT A GLANCE
03
LETTER FROM
THE BOARD OF
MANAGEMENT
04
INTERIM GROUP
MANAGEMENT REPO
RT
06
CON
SOLIDATED BALANCE SHEET
h 31, 2014
as
of Marc
11
CON
SOLIDATED STATEMENT OF
COMP
REHENSIVE INCOM
E
h 31, 2014
for
the
Peri
od from January
1 to Marc
13
CON
SOLIDATED CASH
FLOW STATEMENT
for
the
Peri
od from January
1 to Marc
h 31, 2014
14
CON
SOLIDATED STATEMENT OF
CHANGES IN EQUITY
for
the
Peri
od from January
1 to Marc
h 31, 2014
15
NO
TES TO THE GROUP INTERIM REPO
RT
for
the
Peri
od from January
1 to Marc
h 31, 2014
17
ADDITION
AL INFO
RMATION
21

STRATEC Interim Report as of March 31, 2014 02

HIGHLIGHTS

Sales of 1 34.4 million in 3M/2014 (+13.5%; 3M/2013: 1 30.3 million)

EBIT margin of 15.5%2 in 3M/2014 (+90 basis points; 3M/2013: 14.6%)

EBIT of 1 5.3 million 2 in 3M/2014 (+20.7%; 3M/2013: 1 4.4 million)

Consolidated net income of 1 4.4 million 2 in 3M/2014 (+20.8%; 3M/2013: 1 3.6 million)

Earnings per share of 1 0.37 in 3M/2014 (+19.4%; 3M/2013: 1 0.31)

Proposed dividend of 1 0.60 per share (distribution in previous year: 1 0.56)

KEY GROUP FIGURES AT A GLANCE

in v
thousands
01.01.-
03.31.2014
01.01.-
03.31.2013 1
Change
Sales 34,370 30,285 +13.5 %
EBIT 5,326 2 4,411 +20.7 %
EBIT margin (%) 15.5 2 14.6 +90 BPS
Consolidated net income 4,372 2 3,618 +20.8 %
Earnings per share (1) 0.37 2 0.31 +19.4 %
No. of employees (absolute) 546 541 +0.9 %
in v
thousands
03.31.2014 12.31.2013
1
Change
Shareholders' equity 101,105 97,179 +4.0 %
Total assets 127,009 117,788 +7.8 %
Equity ratio (%) 79.6 82.5 -290 BPS

1 The accounting methods used in the consolidated financial statements were amended in line with IAS 8 in the 2013 financial year. Reference is made in this respect to the information in the 2013 Annual Report in Section A of the notes to the consolidated financial statements

2 2014 figure adjusted to exclude a one-off item resulting from the recognition of a liability for the remaining years covered by the residual term of the employment contract with a retired member of the Board of Management. Unadjusted EBIT amounts to 1 4.4 million; the corresponding EBIT margin amounts to 12.7%, consolidated net income to 1 3.7 million and earnings per share to 1 0.31. The effective amount of the liability due may differ at the time of payment.

LETTER FROM THE BOARD OF MANAGEMENT

Dear Shareholders,

For STRATEC, the start to the new financial year marked the beginning of a phase in which we have set ourselves the goal of returning to the dynamic growth that characterized our company for more than a decade. Undeterred by several obstacles outside our control, we have pressed ahead with the Group's structural development and have optimized our organizational structure and alignment, without amending our business model. We see this as a natural ongoing process that is expected to continue during the forthcoming growth phase and which should further extend STRATEC's position as an innovation leader in our industry.

At the end of the first three months of 2014 we were slightly ahead of the annual average sales growth of 8% to 12% communicated in our company forecast through to 2017. Specifically, sales increased by 13.5% to 1 34.4 million in the first quarter. The adjusted EBIT margin improved from 14.6% in the previous year to 15.5%. Both developments were driven by healthy growth with established systems that were mainly launched between 2011 and 2012, as well as by economy of scale and a positive development in the gross margins on high-volume systems. Sales from systems our partners have recently launched onto the market increasingly contributed to this growth. This trend can be expected to gain further momentum as the year progresses.

For the current year, STRATEC is focused on achieving further major development milestones, further upcoming market launches, and finalizing negotiations for new development and production contracts. Also, the expansion in our production and development capacities is set to play a key role once again. In connection with this, we will be building a proprietary development complex in Romania, currently our fastest-growing location. We thus have another year full of potential opportunities ahead, one in which we aim to generate further growth and continue to prepare and optimize the company for the future.

For the 2013 financial year we have proposed a dividend of 1 0.60 for approval by the Annual General Meeting. This represents the tenth successive increase in the dividend. Our overriding goal nevertheless remains that of increasing STRATEC's value by way of sustainable growth and fulfilling the interests of all our employees, partners and shareholders.

Thank you for your support and trust in us.

Birkenfeld, May 2014

The Board of Management of STRATEC Biomedical AG

Marcus Wolfinger Dr. Robert Siegle Dr. Claus Vielsack

INTERIM GROUP MANAGEMENT REPORT

REPORT ON THE EARNINGS, FINANCIAL AND NET ASSET POSITION

Sales grew by 13.5% to 1 34.4 million in the first three months of the 2014 financial year (previous year: 1 30.3 million). The gross profit (gross profit on sales) increased to 1 11.2 million (32.7% of sales), up 1 0.8  million on the previous year's figure (34.5% of sales). This was due to significant growth in the volume of analyzer systems delivered and to efficiency enhancements resulting from measures initiated in 2012.

Gross development expenses rose by 1 0.9 million to 1 5.7 million, of which 1 4.3 million were capitalized. Sales-related expenses reduced from 1 2.2 million to 1 1.7 million. Administration expenses increased by 1 1.2 million to 1 3.5 million. This was chiefly due to the recognition of a liability for the remaining years covered by the residual term of the employment contract with a retired member of the Board of Management.

Due to a higher volume of earnings-neutral development sales, depreciation and amortization rose from 1 1.4 million to 1 2.2 million. At 1 4.4 million, EBIT was at the same level as in the previous year, and that despite the recognition of the liability for changes in the Board of Management and despite the development in the US dollar and resultant adverse impact on EBIT. The EBIT margin thus amounted to 12.7% (adjusted: 15.5%; previous year: 14.6%). As in the previous year, net financial expenses amounted to 1 -0.1 million. The tax result amounted to 1 0.6 million. STRATEC can therefore report consolidated net income of 1 3.7 million for the period under report (previous year: 1 3.6 million). Earnings per share amounted to 1 0.31 (previous year: 1 0.31).

Inventories grew from 1 18.1 million to 1 19.4 million, reflecting strong demand for analyzer systems and a well-stocked development pipeline. Due to higher income tax receivables, receivables and other assets increased by 1 1.2 million.

The equity ratio amounted to 79.6%. The Group has reduced its non-current financial liabilities to 1 5.8 million. The increase in trade payables was driven by higher procurement volumes for raw materials and supplies. Other current liabilities also include the liability for the remaining years covered by the residual term of the employment contract with a retired member of the Board of Management.

The cash flow from operating activities rose significantly from 1 7.5 million in the previous year to 1 9.6 million. At 1 2.0 million, investments were at the same level as in the previous year. Cash and cash equivalents thus increased from 1 20.7 million to 1 27.7 million.

CHANGES IN THE BUSINESS ENVIRONMENT AND IMPLICATIONS FOR STRATEC

In its forecast published in April 2014, the International Monetary Fund (IMF) predicted a further rise in the rate of global economic growth. Moreover, the risk of a renewed global economic crisis is receding further. From the IMF's perspective, the global economic recovery is increasingly stable and, led by major economies, can be expected to gain further ground.

Compared with its previous forecast in January, the IMF has scaled down its global economic growth expectations by 0.1% for both 2014 and 2015. Growth of 3.6% is now expected for 2014, followed by growth of 3.9% in 2015. According to the IMF, global economic growth in 2013 amounted to 3.0%. Key growth drivers here were the USA and emerging economies in Asia and southern Africa.

For the euro area, the IMF has forecast growth of 1.2% in 2014 and of 1.5% in 2015. Weaker member states in particular continue to suffer from high unemployment, low investment and an inadequate credit supply. One of the greatest risks is low inflation in the larger economies. Persistently low inflation rates are seen to be holding back macroeconomic developments. To counter this, the IMF believes the European Central Bank should further ease its monetary policy.

The IMF remains concerned about potential capital problems in emerging and developing economies. Emerging economies have to take measures to avoid investors withdrawing capital. The IMF proposes that these countries should allow their exchange rates to react flexibly, while also tightening up monetary policies, cutting budget deficits, and implementing new structural reforms. Alongside existing problems, the IMF has also detected new risks to the global economy. On the one hand, these include new geopolitical crises, such as the Ukraine conflict. On the other hand, increasing inequality of income distribution has become a dominant topic.

Irrespective of the aforementioned developments, global demographic developments represent one of the most serious challenges facing the world. The dynamic growth in the world's population, together with an unprecedented increase in the elderly share of the population and the sharp rise in the number of people with access to medical care, represent key factors which will shape the 21st century. This situation is accompanied by scientific and technological progress, which is opening up ever new possibilities in the fields of medicine, research, diagnostics and life science.

These developments will lead not only to an increase in the numbers of clinical diagnostics tests to be performed, but will also result in new, unique business opportunities for which STRATEC is optimally positioned with its automation solutions and on which it will continue to focus its strategy and operations.

In view of the factors outlined above, global economic risks only have a very limited impact on STRATEC's business performance and business model. Moreover, long-term supply agreements with our customers minimize the potential implications for STRATEC.

REPORT ON FORECASTS AND OTHER STATEMENTS CONCERNING THE COMPANY'S EXPECTED DEVELOPMENT

In the current year, STRATEC is focusing on achieving further major development milestones, further upcoming market launches, and finalizing negotiations for new development and production contracts. Furthermore, the expansion in the company's production and development capacities is set to play a key role in 2014. One example here is planned construction work at the Romanian location.

For 2014, STRATEC continues to expect substantial sales growth compared with the 2013 financial year accompanied by a slight increase in the EBIT margin. The medium-term financial forecast for the years through to 2017 provides for average annual sales growth of 8% to 12% based on the volume of sales generated in the 2013 financial year.

Due to the immense debt accumulated by some countries and economic regions and the resultant potential implications (debt crisis), the level of budgeting reliability remains low for all industries, and for the global economy as a whole. This situation continues to harbor risks for STRATEC's customers and suppliers, as a result of which STRATEC also faces economic risks. The ongoing difficult economic climate also means that STRATEC continues to face increased market risk.

Apart from this, since the assessment of the company's situation provided on April 15, 2014 upon the compilation of the Annual Report for the 2013 financial year, no new information has arisen which could lead to any change in our assessment of the company's expected development.

OPPORTUNITY AND RISK REPORT

We analyze and evaluate the risks facing the company and its business environment within the framework of our risk management system, which has been established as an early warning risk identification system. Furthermore, this system also includes a compliance system to ensure compliance with the relevant legal and industry-specific requirements.

STRATEC's business activities basically focus on sustainability and responsible behavior. In future, the company will document this in a sustainability report.

Apart from the factors outlined in the "Report on forecasts and other statements concerning the company's expected development", we do not see any changes compared with the risks and opportunities identified in the Group Management Report for the 2013 financial year dated April 15, 2014. Details of our risk management system and our company's specific opportunity and risk profile can be found in the "Opportunity and Risk Report" section of our 2013 Group Management Report. Information about our use of financial instruments can be found in Section F of the 2013 Group Management Report.

CONSOLIDATED BALANCE SHEET

as of March 31, 2014 of STRATEC Biomedical AG

ASSETS
in v
thousands
03.31.2014 12.31.2013 01.01.2013
1
NON
-CURRENT
ASSETS
Goodwill 4,436 4,427 4,547
Other intangible assets 25,846 25,761 22,280
Property, plant and equipment 16,727 17,013 17,108
Interests in associates 394 392 363
Deferred tax assets 845 867 2,135
48,248 48,460 46,433
CURRENT
ASSETS
Raw materials and supplies 10,896 8,391 8,857
Unfinished products, unfinished services 6,685 7,758 7,846
Finished products and goods 1,824 1,942 807
Trade receivables 22,537 23,372 25,627
Future receivables from construction contracts 1,124 1,312 1,011
Receivables from associates 70 65 96
Income tax receivables 4,720 3,523 2,016
Other receivables and other assets 2,581 1,585 2,182
Other financial assets 606 646 366
Cash and cash equivalents 27,718 20,734 13,209
78,761 69,328 62,017
TOT
AL ASSETS
127,009 117,788 108,450
SHAREHO
LDERS' EQUITY AND DEBT
in v
thousands
03.31.2014 12.31.2013 01.01.2013
1
SHARE
HOLDER
S' EQUITY
Share capital 11,770 11,770 11,738
Capital reserve 17,330 17,219 16,247
Revenue reserves 71,427 67,766 58,768
Other equity 578 424 789
101,105 97,179 87,542
DEBT
Non-cu
rrent debt
Non-current financial liabilities 5,809 6,643 7,459
Pension provisions 14 14 28
Deferred taxes 1,544 1,389 1,604
7,367 8,046 9,091
Current debt
Current financial liabilities 2,051 1,895 1,183
Trade payables 7,522 4,402 4,288
Liabilities to associates 211 211 282
Other current liabilities 6,986 4,520 5,218
Current provisions 682 679 608
Income tax liabilities 1,085 857 238
18,537 12,563 11,817
TOT
AL SHARE
HOLDER
S' EQUITY AND DEBT
127,009 117,788 108,450

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

for the Period from January 1 to March 31, 2014 of STRATEC Biomedical AG

in v
thousands
01.01.-03.31.2014 01.01.-03.31.2013
1
Sal
es
34,370 30,285
Cost of sales -23,139 -19,828
Gross profit 11,231 10,457
Research and development expenses -1,402 -1,272
Information only: Total research and development expenses -5,738 -4,869
Information only: Capitalized research and development expenses 4,336 3,597
Sales-related expenses -1,675 -2,184
General administrative expenses -3,508 -2,343
Other operating expenses -278 -247
EBIT 4,368 4,411
Net financial expenses -82 -72
Earnings before taxes (EBT) 4,286 4,339
Current tax expenses -455 -225
Deferred tax expenses -170 -496
Consolidated net income 3,661 3,618
Items that may be subsequently
reclassified to profit or loss
Currency translation differences from translation
of foreign operations
154 -26
Comprehensive income 3,816 3,592
Earnings per share in 3 0.31 0.31
No. of shares used as basis 11,758,022 11,725,522
Earnings per share, diluted, in 3 0.31 0.31
No. of shares used as basis, diluted 11,778,667 11,767,234

CONSOLIDATED CASH FLOW STATEMENT

for the Period from January 1 to March 31, 2014 of STRATEC Biomedical AG

in v
thousands
01.01.-03.31.2014 01.01.-03.31.2013
1
Consolidated net income (after taxes) 3,661 3,618
Depreciation and amortization 2,189 1,443
Current income tax expenses 455 225
Income taxes paid less income taxes received -1,337 -1,422
Financial income -9 -40
Financial expenses 51 71
Interest paid -51 -24
Interest received 8 35
Other non-cash expenses 210 103
Other non-cash income -132 -157
Cash flow 5,045 3,852
Change in deferred taxes through profit or loss 170 496
Increase (previous year: decrease) in inventories,
trade receivables and other assets
-1,221 1,587
Increase in trade payables and other liabilities 5,597 1,553
Inflow of funds from operating activities 9,591 7,488
Outgoing payments for investments in non-current assets
Intangible assets -1,592 -1,480
Property, plant and equipment -362 -451
Outgoing payments for acquisitions of consolidated companies 0 -63
Outflow of funds for investing activities -1,954 -1,994
Outgoing payments for repayment of financial liabilities -690 -196
Outflow of funds for financing activities -690 -196
Cash-effective change in cash and cash equivalents 6,947 5,298
Cash and cash equivalents at start of period 20,734 13,209
Change in scope of consolidation 0 84
Impact of exchange rate movements 37 89
Cash and cash equivalents at end of period 27,718 18,680

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

for the Period from January 1 to March 31, 2013 of STRATEC Biomedical AG

in v
thousands
Share
capital
Capital
reserve
Accumulated
net income
revenue
Treasury
reserves
stock
Balance at 01.01.2013 1 11,738 16,247 39,376 19,392
-212
Allocations due to stock option plans 45
Total comprehensive income 3,618
Change in scope of consolidation 4 86
Balance at 03.31.2013 11,738 16,296 43,080 19,392
-212

Previous year's figures adjusted in line with the information provided in the notes to the consolidated financial statements in the 2013 Annual Report (A. General disclosures).

for the Period from January 1 to March 31, 2014 of STRATEC Biomedical AG

in v
thousands
Share
capital
Capital
reserve
Balance at 01.01.2014 11,770 17,219
Allocations due to stock option plans 111
Total comprehensive income
Balance at 03.31.2014 11,770 17,330
Other equity Revenue reserves
Group
equity
Currency
translation
Pension
plans
Treasury
stock
Free
revenue
reserves
Accumulated
net income
87,542 1,033 -32 -212 19,392 39,376
45
3,592 -26 3,618
90 86
91,269 1,007 -32 -212 19,392 43,080
Other equity Revenue reserves
Group
equity
Currency
translation
Pension
plans
Treasury
stock
Free
revenue
reserves
Accumulated
net income
97,179 654 -18 -212 19,392 48,374
111
3,815 154 3,661
101,105 808 -18 -212 19,392 52,035

NOTES TO THE GROUP INTERIM REPORT

for the Period from January 1 to March 31, 2014 of STRATEC Biomedical AG

Summary of principal accounting and valuation methods

The consolidated financial statements of STRATEC Biomedical AG as of December 31, 2013 were prepared in accordance with the International Financial Reporting Standards (IFRS) as adopted by the EU valid at the balance sheet date. In the interim report as of March 31, 2014, which has been prepared on the basis of International Accounting Standard (IAS) 34 "Interim Financial Reporting", application has been made of the same accounting methods as in the consolidated financial statements for the 2013 financial year.

Application has also been made of all interpretations of the International Financial Reporting Interpretations Committee (IFRIC) with binding effect as of March 31, 2014.

There were no indications of any potential impairment in goodwill at the balance sheet date.

The company's interim reports are neither audited, nor subject to an audit review, by the group auditor, WirtschaftsTreuhand GmbH Wirtschaftsprüfungsgesellschaft Steuerberatungsgesellschaft, Stuttgart.

Reference is made to the consolidated financial statements of STRATEC Biomedical AG as of December 31, 2013 with regard to further information concerning the individual accounting and valuation methods applied.

The Group's currency is the euro. Unless otherwise indicated, all amounts have been stated in thousand euros (1 thousand).

Adjustment to previous year's figures pursuant to IAS 8

At the end of the 2013 financial year, the accounting methods used to recognize projects were voluntarily adjusted in order to implement recommendations made by the German Financial Reporting Enforcement Panel (DPR). Moreover, the presentation of shareholders' equity and of the statement of changes in equity were also voluntarily amended and errors were corrected. Further details and a presentation of the overall implications can be found on Pages 48 to 53 of our consolidated financial statements as of December 31, 2013. To ensure comparability, the figures reported for January 1, 2013 and for the period from January 1, 2013 to March 31, 2013 have been adjusted accordingly.

Segment disclosures

There have been no changes in segmentation compared with the consolidated financial statements as of December 31, 2013.

Segment data by operating segment for the period from January 1 to March 31, 2014

in v thousands Instrumen
tation
All other
segments
Recon
ciliation
Total
Sales 35,330 1,885 -2,845 34,370
EBIT 4,244 199 -75 4,368
Assets 136,294 7,000 -16,285 127,009

Segment data by operating segment for the period from January 1 to March 31, 2013

in v thousands Instrumen
tation
All other
segments
Recon
ciliation
Total
Sales 31,356 1,049 -2,120 30,285
EBIT 4,959 -227 -321 4,411
Assets 130,206 3,857 -20,617 113,446

The breakdown of sales by geographical region represents the distribution of the STRATEC Group's products. As the customers of the STRATEC Group generally supply their country outlets and customers from their own central distribution centers, however, this breakdown of sales does not represent the geographical distribution of the final operating locations of the STRATEC Group's analyzer systems.

in v
thousands
Germany EU Other Total
January - March 2014 4,055 15,815 14,500 34,370
11.8 % 46.0 % 42.2 % 100.0 %
in v
thousands
Germany EU Other Total
January - March 2013 6,275 12,388 11,622 30,285
20.7 % 40.9 % 38.4 % 100.0 %

Sales can be broken down by geographical regions (customer locations) as follows:

Research and development expenses

Research and development expenses not fulfilling the capitalization criteria set out in IAS 38 (Intangible Assets) amounted to 1 1.4 million in the first three months of the 2014 financial year (previous year: 1 1.3 million) and mainly involve personnel and material expenses. The STRATEC Group invested a total of 1 5.7 million in research and development in the first three months of the 2014 financial year (previous year: 1 4.9 million).

Shareholders' equity

The development in shareholders' equity at the STRATEC Group has been presented in the consolidated statement of changes in equity on Pages 15 and 16.

The number of ordinary shares with a nominal value of 1 1.00 each issued by STRATEC AG as of March 31, 2014, amounts to 11,770,245. These are all bearer shares.

Disclosures on the volume of treasury stock and on subscription rights held by members of the company's executive and supervisory bodies and its employees pursuant to § 160 (1) Nos. 2 and 5 of the German Stock Corporation Act (AktG)

STRATEC AG owned a total of 12,223 treasury stock at the interim balance sheet date. This corresponds to a prorated amount of 1 12,223.00 of the company's share capital and to a 0.10% share of its equity.

Stock option programs

Members of the Board of Management / Managing Directors and employees held the following numbers of subscription rights (share option rights) at the interim balance sheet date:

Board of
Management
/
Managing Directors
Employees Total
Outstanding on 01.01.2014 148,500 92,100 240,600
Issued 0 2,300 2,300
Exercised 0 0 0
Lapsed 0 0 0
Forfeited 0 0 0
Outstanding on 03.31.2014 148,500 94,400 242,900

A total of 2,300 stock option rights were granted to company employees on the basis of option agreements dated February 1, 2014.

Employees

Including temporary employees the STRATEC Group had a total workforce of 546 employees as of March 31, 2014 (previous year: 541).

Major events after the interim reporting date

No events of particular significance with material implications for the business performance of our Group have occurred since the interim balance sheet date.

Responsibility statement

To the best of our knowledge, and in accordance with the applicable reporting principles for interim financial reporting, the interim consolidated financial statements give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group, and the interim management report of the Group includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group in the remainder of the financial year.

ADDITIONAL INFORMATION

FINANCIAL CALENDAR

November 2014
German Equity Forum, Frankfurt/Main, Germany
October 22, 2014 Interim Report as of September 30, 2014
July 23, 2014 Interim Report as of June 30, 2014
June 18, 2014 Annual General Meeting, Pforzheim, Germany
May 14, 2014 Interim Report as of March 31, 2014

Furthermore, based on current planning, STRATEC will be taking part in the following capital market conferences in 2014:

May 2014 Berenberg Diagnostics Conference, London, UK
June 2014 UBS Pan European small & midcap conference, London, UK
Jefferies 2014 Global Healthcare Conference, New York City, USA
September 2014 11th Annual Goldman Sachs European Medtech
and Healthcare Services Conference, London, UK
Berenberg Bank & Goldman Sachs
German Corporate Conference, Munich, Germany
November 2014 HSBC Healthcare Day 2014, Frankfurt/Main, Germany
Jefferies 2014 Global Healthcare Conference, London, UK
December 2014 Berenberg Bank European Conference, Pennyhill Park, UK

Partially incomplete/subject to amendment

ABOUT STRATEC

STRATEC Biomedical AG designs and manufactures fully automated analyzer systems for its partners in the fields of clinical diagnostics and biotechnology. These partners market such systems, in general together with their own reagents, as system solutions to laboratories, blood banks and research institutes around the world. The company develops its products on the basis of its own patented technologies.

Shares in the company (ISIN: DE0007289001) are traded in the Prime Standard segment of the Frankfurt Stock Exchange and are listed in the TecDAX select index of the German Stock Exchange.

Further information about STRATEC is available on the internet at www.stratec.com.

IMPRINT

Published by

STRATEC Biomedical AG Gewerbestr. 37 75217 Birkenfeld Germany

Investor Relations

Andreas Künzel Phone: +49 7082 7916-185 Fax: +49 7082 7916-999 [email protected]

Phone: +49 7082 7916-0 Fax: +49 7082 7916-999 [email protected] www.stratec.com

Corporate Communications

Andre Loy Phone: +49 7082 7916-190 Fax: +49 7082 7916-999 [email protected]

NOTICE

Forward-looking statements involve risks: This interim report contains various statements concerning the future performance of STRATEC. These statements are based on both assumptions and estimates. Although we are convinced that these forward-looking statements are realistic, we can provide no guarantee of this. This is because our assumptions involve risks and uncertainties which could result in a substantial divergence between actual results and those expected. It is not planned to update these forward-looking statements.

This interim report contains various disclosures of an economic nature that do not form part of the relevant accounting requirements. These disclosures are to be viewed as a supplement to, rather than as a substitute for the disclosures made in accordance with IFRS.

Discrepancies may arise throughout this interim report on account of mathematical rounding up or down in the course of addition.

This interim report is also available in German.

STRATEC Biomedical AG

Gewerbestr. 37 75217 Birkenfeld Germany

Phone: +49 7082 7916-0 Fax: +49 7082 7916-999

[email protected] www.stratec.com

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