EVS Broadcast Equipment : second quarter 2013 r...

   >     2Q13: in line with expectations despite weak Americas

o  Revenue of EUR 29.8 million, -30.4% (-25.4% excl. event rentals and at constant currency)
o  Strong APAC compensates for temporarily weaker Americas market
o  EBIT of EUR 9.7 million (32.4% of EBIT margin), EPS of EUR 0.51

>     Initial EUR 1.5 million minority stake investment in a new strategic technology start-up

>     2013: summer order book of EUR 35.4 million at August 28, 2013
o  -26.2% vs 2012 record summer order book (-14.7% excl. big events)
o  Record additional EUR 19.6 million orders to be invoiced in 2014 and beyond

>     2013 guidance
o  As usual, low visibility in a non-big sporting event year
o  Excluding big events rentals, sales are expected to be stable compared to 2012, i.e. slightly lower than EUR 130 million, assuming an expected rebound in the Americas
o  Low double digit opex growth, including the investment in a technology start-up

KEY FIGURES

(unaudited)			EUR millions, except earnings per share expressed in EUR	Reviewed
2Q13	2Q12	2Q13/2Q12		1H13	1H12	1H13/1H12
29.8	42.8	-30.4%	Revenue	62.6	72.9	-14.1%
9.7	23.2	-58.4%	Operating profit - EBIT	24.1	36.8	-34.4%
32.4%	54.2%	-	Operating margin - EBIT %	38.5%	50.4%	-
0.2	0.0	N/A	Contribution from dcinex	0.1	0.0	N/A
6.9	15.9	-56.5%	Net profit - Group share	17.0	24.6	-31.1%
7.7	16.7	-54.1%	Net profit from operations, excl. dcinex - Group share (1)	18.1	25.6	-29.3%
0.51	1.18	-56.5%	Basic earnings per share	1.26	1.83	-31.3%
0.57	1.24	-54.2%	Basic earnings per share from operations, excl. dcinex (1)	1.34	1.91	-29.5%

 (1)    The net profit from operations, excl. dcinex, is the net profit (share of the group) excluding non operating items (net of tax) and the dcinex contribution. Refer to Annex 5.3: use of non-gaap financial measures.

COMMENTS

"The first half of the year leaves us with mixed feelings," said Joop Janssen, Managing Director & CEO of EVS. "In an uncertain macro-economic environment, we have realized strong performances and gained market shares in some regions of the world, including Eastern Europe and Asia-Pacific. On the other side, the demand for production servers in Americas and the Mediterranean countries continued to suffer in the second quarter. Once the current market fluctuations are behind us, we are confident that we are on the right way to deliver our medium and long-term ambitious plan. In a few weeks we will showcase, for the first time, our new strategy at the IBC tradeshow in Amsterdam. A great line-up of new products and feature enhancements will be demonstrated for all of our four target markets: Sports, Entertainment, News and Media."

Commenting on the results and prospects, Jacques Galloy, Director and CFO, said: "As expected, the second quarter of 2013 is slightly weaker than the first quarter with sales of EUR 29.8 million. This is a decrease of 30.4% compared to last year which was record thanks to summer sporting events and a record OB delivery in Russia. The operating profit amounted to EUR 9.7 million, down compared to last year due to the lower sales. This translates into a 32.4% operating margin. This transforming year is on track even if markets are temporarily declining. EVS continues to experience strong momentum in APAC, while Americas are expected to partially recover in the second half of the year. Excluding the big event rentals of 2012 for about EUR 10 million, we think that full year 2013 revenues should reach approximately the same level as last year."

Corporate Calendar:
September 13-17, 2013: IBC tradeshow in Amsterdam (NL)
Tuesday September 24, 2013: postponed Extraordinary General Meeting
Thursday November 14, 2013: 3Q13 earnings
Thursday February 20, 2014: 4Q13 earnings
Thursday May 15, 2014: 1Q14 earnings

For more information, please contact: Joop JANSSEN, Managing Director & CEO Jacques GALLOY, Director & CFO Geoffroy d'OULTREMONT, Vice President  Investor Relations & Corporate Communication EVS Broadcast Equipment S.A., Liege Science Park, 16 rue du Bois Saint-Jean, B-4102 Seraing, Belgium Tel: [phone].  E-mail:[e-mail]; www.evs.com

Forward Looking Statements This press release contains forward-looking statements with respect to the business, financial condition, and results of operations of EVS and its affiliates. These statements are based on the current expectations or beliefs of EVS's management and are subject to a number of risks and uncertainties that could cause actual results or performance of the Company to differ materially from those contemplated in such forward-looking statements. These risks and uncertainties relate to changes in technology and market requirements, the company's concentration on one industry, decline in demand for the company's products and those of its affiliates, inability to timely develop and introduce new technologies, products and applications, and loss of market share and pressure on pricing resulting from competition which could cause the actual results or performance of the company to differ materially from those contemplated in such forward-looking statements. EVS undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

About EVS EVS provides its customers with reliable and innovative technology to enable the production of live, enriched video programming, allowing them to work more efficiently and boost their revenue streams. Its industry-leading broadcast and media production systems are used by broadcasters, production companies, post-production facilities, film studios, content owners and archive libraries around the globe. It spans four key markets - Sports, Entertainment, News and Media. Founded in 1994, its innovative Live Slow Motion system revolutionised live broadcasting. Its reliable and integrated tapeless solutions, based around its market-leading XT server range, are now widely used to deliver live productions worldwide. Today, it continues to develop practical innovations, such as its C-Cast second-screen delivery platform, to help customers maximise the value of their media content. The company is headquartered in Belgium and has offices in Europe, the Middle East, Asia and North America. Approximately 477 EVS professionals from 20 offices are selling its branded products in over 100 countries, and provide customer support globally. EVS is a public company traded on Euronext Brussels: EVS, ISIN: BE0003820371. For more information, please visit www.evs.com. dcinex, of which EVS owns 41.3%, is the European leader for Digital Cinema technology and services in Europe with more than 5,500 committed digital screens in Europe, out of which 3,700 have already been deployed. www.dcinex.com.

Press release in pdf format

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Source: EVS Broadcast Equipment via Thomson Reuters ONE

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