DGAP-Adhoc: Advanced Vision Technology Ltd: AVT Group achieved new records in revenues, growing in all market segments in Q1 2008

Advanced Vision Technology Ltd. / Quarter Results

28.05.2008 

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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AVT Group achieved new records in revenues, growing in all market segments
in Q1 2008

GMI contributed significantly to AVT achievements

Revenues of Advanced Vision Technology Group (AVT), a leader in automatic
inspection, quality assurance and closed loop color control systems for the
printing industry, in the first three months of 2008 constitute a new
record. Revenues in Q1 2008 were $17.1 million representing an increase of
118.1% and 8.1% of the revenues in Q1 and Q4 of 2007 respectively. Both AVT
and GMI ( Graphics Microsystems Inc., acquired in Q4 2007) product lines
contributed to the growth. On a comparable basis AVT's Q1 2008 revenues
from inspection-based products were $8.6 million representing an increase
of 9.8% and 3.6% over the revenues in Q1 and Q4 of 2007 respectively. GMI's
revenues in the first three months of 2008 were $8.5 million representing
an increase of 13.0% of the revenues in Q4 of 2007.

As of March 31, 2008 order back-log totaled $23.4 million an increase of
1.5% over the balance at December 31, 2007 and 100.6% over the balance at
March 31, 2007. During the first three months of 2008 order booking totaled
$17.4 million representing an increase of 74.0% over Q1 2007 order booking
of $10 million, and 13.0% over Q4 2007 order booking of $15.4 million. The
ratio of order booking to revenues in Q1 2008 was 102% demonstrating
sustainable growth and improved visibility.

The gross margin in the first quarter of 2008 was 55.9% compared with 61.8%
in Q1 2007 and 50.5% gross margin in Q4 2007. The decrease in gross margin
from Q1 2007 to Q1 2008 is attributable to the inherent lower gross margins
of GMI’s product line. Proforma gross margin (excluding amortization of
intangibles) revealed AVT's improvement in integrating GMI into the group
and increased from 52.7% in Q4 2007 to 57.9% in the first three months of
2008. Proforma operating income (excluding amortization of intangibles and
integration costs) increased from a profit of $1.0 million in Q1 2007 to a
profit of $2.1 million in Q1 2008 representing an increase of 101.2%.

Net income for the quarter ended March 31, 2008 was $1.1 million or $0.19
per share (diluted) compared with net loss of $0.7 million for Q4 2007 or
$0.31 per share (diluted). The net income for Q1 2008 represented a
decrease of 30.7% compared with Q1 2007 net income of $1.5 million ($0.31
per share (diluted)). Proforma net income for Q1 2008 (excluding
amortization of intangibles) totaled $2.1 million, representing an increase
of 38.5% over the net income of $1.5 million recorded in Q1 2007.

The Board of Directors
Hod-Hasharon (Israel), May 28, 2008

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Information and Explaination of the Issuer to this News:

About AVT and GMI
Advanced Vision Technology (AVT) develops and manufactures automatic
inspection systems for web applications in the packaging, labels, forms and
converting sectors. Today, more than 1,800 PrintVision systems are
installed worldwide.

Graphic Microsystems, Inc, (GMI) is the world’s premier supplier of closed
loop colour control systems with over 800 installations, and of colour
management and reporting software and remote digital ink fountain control
systems with over 3000 systems installed. The company’s products are sold
to leading commercial, semi-commercial, newspaper and specialty printers in
the heatset and coldset web printing markets as well as to printing press
OEMs worldwide.

Advanced Vision Technology’s headquarters and manufacturing facility is
located in Hod-Hasharon, Israel. AVT is a public company listed in the
Prime Standard of the Frankfurt Stock Exchange. The company is based in
Israel, with marketing, sales and support offices in the United States,
Europe and China.

Today, the combined company employs 304 people worldwide.

Please visit the AVT website: www.avt-inc.com and the GMI website at
www.gmicolor.com.

Zev Morgenstern, CFO             Frank Ostermair
AVT Ltd.                         Better Orange IR + HV  
Phone: +972-9-7614444            Phone : +49-89-8896906 14
Fax: +972-9-7614555              Fax: +49-89-8896906 66
Email: zevm@avt-inc.com          Email: info@better-orange.de


DGAP 28.05.2008 
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Language:     English
Issuer:       Advanced Vision Technology Ltd.
              Hanagar 5
              45241 Neve Ne'eman, Hod Hasharon
              Israel
Phone:        +972 9 761-4444
Fax:          +972 9 761-4555
E-mail:       IR@avt-inc.com
Internet:     www.avt-inc.com
ISIN:         IL0010837248
WKN:          931340
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Hannover, Düsseldorf, Hamburg, München, Stuttgart
End of News                                     DGAP News-Service
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