Martin De Prycker, CEO 25 April 2007

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Presentation transcript:

Martin De Prycker, CEO 25 April 2007 Results 1Q07 Martin De Prycker, CEO 25 April 2007

Operational results in € million 1Q 2006 reported 1Q 2006 comparable * Growth comparable 1Q07/1Q06 Orders 199.6 195.4 237.5 21.5% Sales 172.1 169.8 172.5 1.6% ** EBIT 9.3 9.1 9.7 6.6% EBIT % 5.4 5.6 Book-to-bill 1.15 1.38 * 1Q06 on comparable basis, i.e. without divested activities of Manufacturing Services ** 1Q07/1Q06 sales growth 5.6% at equal currency, as $/€ rate declined 9% vs 1Q06

Results per quarter in € million

Overall comments Continued high order input, thanks to High order intake in most of our markets Large order for DC in China Sales growth of 5.6% vs 1Q06 on comparable basis (including currency evolution) Growth in Media & Entertainment and Security & Monitoring Decline in Medical Imaging, as last year our sales got a boost, thanks to the UK NHS project Book-to-bill very high at 1.38 Gross profit margin at 40.5% vs 41.0% EBIT at € 9.7 million, better than 1Q06

Company structure : external reporting Media & Entertainment Security & Monitoring Medical Imaging Other markets Presentation & Simulation Avionics Textiles & MES

Evolution of results per division (1Q06 on comparable basis) in € million 1Q06 1Q07 Sales growth1Q07/ 1Q06 Sales % EBIT Media & Entertainment 54.6 4.4 57.0 4.6 4.4% Security & Monitoring 45.3 -2.4 46.3 2.2 2.2% Medical Imaging 33.0 21.5 31.9 10.5 (3.3%) Other Markets 48.1 1.4 48.3 5.7 0.4% Eliminations -11.2 -11.0 Total 169.8 5.4 172.5 5.6 1.6% * * 5.6% at comparable €/$ rate

Media & Entertainment Division (1) in € million

Media & Entertainment Division (2) Orders / Sales Book-to-bill ratio very high at 1.65, with overall + 74% order growth DC had very high order growth , thanks to one large project in China, with deliveries planned for 2H07 through 2008; sales slightly lower Events had double digit order and sales growth, thanks to successful launch of new projector and LED products Media had very strong order growth and slightly increasing sales Margins Gross profit margin at 29.8 % vs 31.1% last year, because of strong investment in the extension of the production capacity of this division Profit margin at 4.6 % (+ 2.4m €) vs 4.4% in 1Q06

Security & Monitoring Division (1) in € million

Security & Monitoring Division (2) Orders / Sales Book-to-bill high at 1.35 Double digit growth in orders, mainly in the defense and air traffic control markets Sales slightly increasing, with increase in Control Rooms and Traffic Management. Defense declining, still negatively affected by low orders in 05 and first half 06 Margins Gross profit margin at 42.5 % vs 40.8% in 1Q06 Profit margin at 2.2% vs -2.4% in 1Q06, thanks to higher sales volume

Medical Imaging Division (1) in € million

Medical Imaging Division (2) Orders / Sales Book-to-bill ratio at 1.09 Weaker orders and sales in PACS vs 1Q06, which was particularly strong thanks to NHS project in UK Modality orders higher, but sales slightly lower Margins Gross profit margin at 45.3% vs 48.9%, lower than last year, due to volume and price decline Good profit margin at 10.5%, lower than 21.5% in 1Q06, due to lower volume and lower gross profit margin

Other Markets (1) in € million

Other markets (2) Orders / Sales Margins Higher orders and sales in simulation market and lower orders and sales in presentation market Orders and sales in Avionics lower than 1Q06 Both orders and sales growing in BarcoVision Margins Gross profit margin at 39.1% vs 37.7% in 1Q06 EBIT margin at 5.7% vs 1.4% in 1Q06

Geographical breakdown of sales 1Q06 1Q07 EMEA AMERICAS APAC * Very high order intake in Apac

Key figures Income Statement reported 2006 in € million 1Q06 % 1Q07 Sales Cost of goods sold 172.1 -101.3 100.0 -58.9 172.5 -102.6 -59.5 Gross Profit Research & Development Sales & Marketing General & Administration Other operating result 70.7 -16.8 -29.8 -14.2 -0.7 41.1 -9.8 -17.3 -8.2 -0.4 69.9 -17.4 -29.3 -13.2 -0.2 40.5 -10.1 -17.0 -7.6 -0.1 EBIT Goodwill 9.3 0.0 5.4 9.7 5.6 Operating Result Non-operating result Income Taxes -2.0 -1.1 -1.7 -1.0 Net Income 7.4 4.3 7.5 4.4 Current Cash Flow 21.8 12.7 21.7 12.6 EBITDA 23.7 13.8 23.8 Current Earnings per Share (in €) 0.61 0.62 Net Earnings per Share (in €)

Key figures Income Statement (on comparable basis) in € million 1Q06 % 1Q07 Sales Cost of goods sold 169.8 -100.2 100.0 59.0 172.5 -102.6 -59.5 Gross Profit Research & Development Sales & Marketing General & Administration Other operating result 69.6 -16.8 -29.6 -13.5 -0.7 41.0 -9.9 -17.4 -7.9 -0.4 69.9 -29.3 -13.2 -0.2 40.5 -10.1 -17.0 -7.6 -0.1 EBIT 9.1 5.4 9.7 5.6

Key figures Balance Sheet in € million 31/03/06 31/12/06 31/03/07 Accounts Receivable 173.7 218.6 188.5 Inventory 154.8 146.7 172.6 Trade Payables 79.1 69.4 84.3 Cash 106.4 81.4 81.1 Financial Debt 66.4 93.8 69.8

Expectations full year 2007 High orders in 1Q07 increase our confidence in reaching our sales growth targets for 2007 between 6% and 9%, supported by new products being introduced in 2007 Profit increase for 2007 confirmed vs 2006, but $ uncertainty remains The divestitures are running according to plan Mechanical part targeted for mid 2007 Vision targeted for second half of 2007

Questions & Answers