DGAP-Adhoc: ISRA VISION AG: ISRA achieves moderate growth in Q1 (+ 3 percent) with stable profitability (15 percent) - sustainable profit outlook for 08/09

ISRA VISION AG / Quarter Results

27.02.2009 

Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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ISRA VISION AG: 1st Quarter of 2008/2009

ISRA achieves moderate growth in Q1 (+ 3 percent) with stable profitability
(15 percent) - sustainable profit outlook for 08/09

* Revenue increased by 3 percent to 15.5 million Euros
* EBITDA increased by 10 percent to 4.4 million Euros, margin up to  26
percent
* EBIT increased by 10 percent to 2.8 million  Euros, margin up to  17
percent
* EBT margin of 15 percent, net profit margin stable at 10 percent
* A 15 percent EBT remains the target for financial year 08/09

ISRA VISION is one of the world's top five suppliers of industrial image
processing (machine vision), and world market leader in surface-inspection
systems. Even during the current financial and economic crisis, the company
has managed to continue its over 10-year track record of profitable growth.
In the 1st quarter of financial year 2008/2009 (October 1, 2008 to
September 30, 2009), the ISRA Group was able to boost net sales by 3
percent to 15.5 million Euros, while increasing EBITDA by 10 percent to 4.4
million Euros. Therefore, the EBITDA margin (based on total output) rose to
26 percent - 2 percentage points more than in the entire financial year
2007/2008 and 3 percentage points more than in the corresponding period in
the previous year. EBT, one of the ISRA Group's key performance indicators,
followed revenue growth by climbing 1 percent to 2.5 million  Euros. The
EBT margin amounted to 15 percent of total output and 16 percent of
revenue. The result per share rose to  0.40 Euros (PY: 0.38 Euros). Cash
flow from operating activities improved over the prior year, rising by 4.3
million to 5.3 million  Euros. Net cash debt, meanwhile, decreased by more
than 1 million to 24.7 million  Euros. The equity ratio improved further,
from 51 percent to 54 percent.

ISRA heads into the rest of financial year 2008/2009 with an order backlog
amounting to 33 million Euros. The solutions, products and services offered
by ISRA enable its customers to rapidly enhance their profitability and
competitiveness in a sustained fashion, making them all the more attractive
investments in difficult times. Moreover, thanks to its solutions for
increasing efficiency and quality, ISRA stands to gain from the stimulus
and rescue packages being adopted by governments worldwide.

At present, the Business Unit Glass boasts the most dynamic growth within
the ISRA Group. The current order backlog indicates that this growth can
even be increased. Management also has high expectations for the new
products successfully launched in the solar industry. In the Print sector,
where the ISRA Group has invested especially heavily in sales and
marketing, we may even see an acceleration of growth. The new sales and
marketing team is working successfully on a number of new projects. In
addition, the ISRA Group achieved good success in the Automotive sector in
December 2008: the 3D in-line measurement technology for measuring car
bodies was given the green light by a leading German car manufacturer.
Management sees this as a breakthrough for ISRA's cutting-edge technology.

On the other hand, certain key customers are now subjecting all of their
investments to a stringent review. Since budget planning stagnated and
projects are being postponed, investment decisions are being delayed as
well. Based on the data currently available, management does not expect any
significant revenue decrease for the financial year 2008/2009. Following a
thorough analysis of revenue streams from customers and a critical review
of deals currently being negotiated, ISRA expects to earn total revenues of
approx. 60 million Euros, in the financial year 2008/2009. Given the
current economic uncertainty, the extent by which this volume could
fluctuate and/or be met is not accurately to predict. However, extended
negotiations are underway with regard to additional orders of substantial
volume, and these have only been partly considered in revenue planning.

Following the successful integration of the Group's various acquisitions in
recent years, efforts to improve profitability are now focused on the
optimization of production. To this end, the ISRA Group will also draw upon
outside expertise as needed. Given the uncertainty about the future trend
of the global economy, measures have already been initiated and implemented
and ISRA cannot exclude that further prepared organizational restructuring
may have to be performed. The goal will be to stabilize the ISRA Group's
profitability by maintaining the EBT margin at or close to 15 percent,
while striving to improve this number over the medium term. External
expansion will remain a key component of the overall growth strategy. A
number of projects are being developed in this context.
DGAP 27.02.2009 
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Language:     English
Issuer:       ISRA VISION AG
              Industriestr. 14
              64297 Darmstadt
              Deutschland
Phone:        +49 (0)6151 9 48-0
Fax:          +49 (0)6151 9 48-140
E-mail:       investor@isravision.com
Internet:     www.isravision.com
ISIN:         DE0005488100
WKN:          548810
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Stuttgart, München, Hamburg, Düsseldorf
End of News                                     DGAP News-Service
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