H1 2002 results exceed forecasts:

21/10/02 - Operating margin of 16%

 

Sales of EUR 19.1 million in the first half of 2002

 

During the first half of 2002, Audika Group generated total sales of EUR 19.1 million, up 13.1% on the previous year. Growth stood at +6.4% on a like-for-like basis.

 

 

In EUR millions	H1 2001	H1 2002	Change
Sales	16.88	19.09	+ 13.1%
Operating income	2.07	3.05	+ 47.6%
Operating margin	12.24%	15.97%
Group net income before goodwill	1.24	1.78	+ 44.0%
Group net margin before goodwill	7.32%	9.31%
Group net income after goodwill	1.13	1.66	+ 41.8%
Group net margin after goodwill	6.71%	8.39%
Earnings per share	EUR 0.39	EUR 0.56	+43.60%

 

 

H1 2002 results exceed forecasts: sharp improvement in profitability

 

Further proof of the effectiveness of Audika's development strategy, the Group's profitability improved significantly during the first half of 2002.

 

Operating income reached EUR 3.05 million, up +47.6% on H1 2001, while the Group's operating margin stood at 15.97%, representing an improvement of over 3 points.

 

Group net income before goodwill totaled EUR 1.78 million for a net margin in excess of 9.3%.

 

 

Sustained development: one opening and two acquisitions in October 2002

 

As part of its strategy to develop a nationwide network, Audika has just completed two external growth initiatives:

• the acquisition of a new center in Bordeaux, a perfect complement to the center set up in the first half of the year, in line with the Group's strategic aim to further its market penetration within the Aquitaine region.

 

• the acquisition of a new center in Nice, in line with Audika's "first rate location" strategy. The Group now boasts eight establishments in the Alpes Maritimes region.

 

These two structures, which are expected to generate EUR 0.5 million in sales over a full year, will be consolidated as of the fourth quarter.

 

In addition, the Group has just set up a new center in Saint Gaudens (Haute Garonne), thus completing its network in the Midi-Pyrénées region.

 

 

Outlook:

 

• Confirmation of targets for 2002

• New targets for 2003

 

Audika has confirmed its target sales of at least EUR 43 million for an operating profitability in excess of 15% in 2002.

 

Given its strengthened nationwide presence, Audika plans to step up marketing efforts in 2003, notably via a new advertising campaign centered around a prominent personality.

 

In this regard, the Group has three objectives:

 

• To enhance the brand's reputation.

 

• To gradually remove the psychological barriers associated with hearing equipment.

 

• To further leverage sales.

 

In 2003, Audika expects to maintain organic growth above market levels and plans to carry out a number of acquisitions. Given the number of targets already identified, the Group enjoys a high level of visibility in this respect.

 

 

About Audika:

 

With more than 230 centers in 69 different regions and an 11% market share, Audika is the number one network offering hearing correction consulting and solutions in France. Positioned on the market for hearing correction solutions for senior citizens, which is not affected by changes in the economic situation, Audika aims to consolidate its leadership in a sector that remains very highly fragmented.

 

Audika contact, Alain Tonnard on +33 (0)1 55 37 30 30

Equity Conseil contact, Laurence Marquézy on +33 (0)1 45 22 22 30

 

If you would like to receive financial information by e-mail, contact: www.equityinfos.com or www.audika.com



Euroclear 6375

Reuters DIKA.PA

Bloomberg ADI

Number of shares: 3,150,000