First quarter of 2012: Alphaform with clearly positive result

Press release

First quarter of 2012:
Alphaform with clearly positive result

Revenue climbs 16.5% to EUR6.8 million compared to the quarter of the previous year
Operating result of EUR0.2 million is clearly positive
Positive result expected for the complete year as well

Feldkirchen, 09 May 2012 - Alphaform AG, a specialist in additive manufacturing and a leading company in the production of orthopaedic implants and instruments, could increase the group revenue in the first quarter of 2012 by 16.5% up to EUR6.8 million (first quarter of 2011: EUR5.8 million). With EUR0.2 million, the company reached a positive result before taxes (operating result) within a first quarter for the first time since 2008 (compared to EUR-0.3 million in the same period of the previous year). EBITDA (result before interest, taxes and deductions) climbed from EUR0.0 million in the first quarter of 2011 to EUR0.5 million in the first quarter of 2012.

The cash flow from operating activities in the Alphaform Group increased from EUR-0.9 million in the first quarter of 2011 to EUR0.15 million in the first quarter of 2012. The main reason for this is the operating result which increased by EUR0.6 million up to EUR0.2 million. This fact is also reflected on the gross margin, which improved by 6.5 percentage points to 72.4% as against the first quarter of the previous year. Alphaform earnings per share amounted to EUR0.03 in the first three months of 2012 after EUR-0.8 in the first quarter of 2011.

Prototyping further benefits from automotive development

In the first three months, the prototyping business area of Alphaform also benefited from the stable high demand since March 2011. After the first quarter of the previous year with EUR2.9 million - still characterized by two weak order months - the prototype revenue rose by 38% to EUR4.0 million. Alphaform especially benefited from orders of the German automotive industry, which is developing a number of new models in the premium- and electric cars' segment. This situation is expected to stay stable over the complete current year.

Medical Technology reaches better results

The medical technology business area reported a revenue reduction of 7% compared to the quarter of the previous year: From EUR2.3 million in the first quarter of 2011 to EUR2.2 million in the first three months of 2012. This reduction was originated by post-processing of implants, which formerly was commissioned by third parties and now has been insourced by the customer. Accordingly, the share of this business area in the group revenue decreased: From 45% in the first quarter of 2011 (40% over the complete year 2011) to 35% in the first quarter of 2012. As a consequence of productivity measures, EUR0.1 million cost savings could be reached in the first quarter of 2012. These measures will also improve the result in the current year. Further cost savings effects are expected from the program. As order situation and customer relations are stable, Alphaform is counting on a steadily development of the medical technology area, whose main focus is to improve the results within this year.

The development in the Alphaform subsidiaries in the UK and Scandinavia was positive as well: revenues rose by 30% and 35% compared to the quarter of the previous year. As in previous year, the Alphaform Claho subsidiary has been operating at good capacity and increased its revenue by 2% to EUR1.1 million.

Forecast for financial year 2012 is confirmed

Alphaform forecasts stable revenues at the level of the previous year for the rest of the financial year 2012. The prototyping business is expected to continue benefiting from the intensive development activity in the automotive sector. A steady market development is expected in the medical implants and instruments area, if revenues and customer base remain unchanged. Positive impact is expected from the enhancement measure program in medical technology and from a better product mix in prototyping area. For the complete year 2012, Alphaform AG forecasts slightly higher revenue compared to the previous year and as well a positive consolidated net profit, if the economic situation remains firm.

Key figures of the Alphaform Group

About Alphaform

Alphaform AG, based in Feldkirchen near Munich and founded in 1996, is a production company for complex components and products produced in smaller batches. Alphaform is among the European market leaders in prototyping, the production of near-series prototypes, particularly for the automotive and capital goods industries. The company has a leading position throughout Europe in the manufacturing of orthopaedic implants and instruments. Alphaform's shares are listed in the Prime Standard segment of the Frankfurt stock exchange (code: ATF).

The core competence of Alphaform lies in its extensive application expertise for processes and materials for the additive production of complex prototypes, tools, individual components and small series of plastics and metals. The company's work focuses on the orthopaedic and medical technology, automotive, aviation and aerospace industries. There are Alphaform subsidiaries in Germany, Finland, Sweden and the UK.

Contact:
Dr. Thomas Vetter
CEO
ALPHAFORM AG
Kapellenstraße 10
85622 Feldkirchen
Tel.: +49 89 905002 21
Fax: +49 89 9050021021e-mail: tvetter@alphaform.de
Internet: www.alphaform.de