Gradual pick-up in growth Second quarter 2005: +7.0%

26/07/05 - A promising start to the second half

 

Audika Group generated Q2 sales of EUR 19.1 million, equivalent to growth of +7.0% (+2.4% in organic terms), confirming the gradual recovery of business after a first quarter disrupted by bad weather conditions. Sales for H1 stood at EUR 35.1 million, resulting in stable, like-for-like growth of +4.5%. Note that these results should be compared to the first half of 2004, in which growth was particularly strong at +35% (+16% like-for-like).

 

In EUR millions under IFRS	2004	2005	Change
Q1	15.7	16.0	+1.7%
Q2	17.9	19.1	+7.0%
H1	33.6	35.1	+4.5%

 

In addition, Audika continued to reinforce its geographical coverage in France in Q2, with five new centers: 1 acquisition in Poitou-Charentes, and 4 new centers intended to heighten the Group’s presence in high-potential areas such as Rhône Alpes, Provence–Cote d’Azur and Aquitaine.

 

 

A promising second half: expected return of dynamic growth

 

Audika Group has the requisite resources to generate dynamic growth and to continue to outperform its ever-buoyant market.

 

Group sales will notably be bolstered by new products, with all hearing aid technicians having received technical training thereon in the first half of the year. At the same time, Audika will be focusing, from early September, on the month-long run-up to the launch of its marketing plan, which will be accompanied by an innovative finance offer for its customers.

 

Backed by these diverse factors and a more favorable basis for comparison in the second half, Audika is looking to increase its overall sales by between 15 and 25% in the second half in line with past performances. Nevertheless, this new dynamism will not totally cancel out the slow first half. Audika is therefore conservatively readjusting its outlook for 2005 and is now aiming for an increase in sales of between 10 and 15% over the whole year.

 

 

Actively pursuing network development and aiming for 500 centers in the medium term

 

Present throughout most of France with 295 centers at the end of June 2005, Audika plans to continue increasing its network and thus reinforce its position as market leader. The Group has been looking into a variety of major external growth opportunities, some of which should bear fruit by the end of the year.

 

In addition, buoyed by the second quarter, Audika will also be actively pursuing the opening of new centers, in order to fully capitalize on the brand's status as the undisputed market leader.

 

Audika will publish its half-yearly results for 2005 on September 26, 2005 at the close of trading.

 

 

About Audika :

 

With 300 centers in 74 different regions and a 13% 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 environment, Audika aims to consolidate its leadership in a sector that remains very highly fragmented. Audika is listed on Eurolist SMALL 90, segment B.

 

ISIN FR0000063752-ADI

Reuters DIKA.PA

Bloomberg ADI

Number of shares:

9,450,000

 

If you would like to receive financial information on Audika by e-mail, register at www.audika.com

 

Audika contact: Alain Tonnard / Etienne Sirand-Pugnet on +33 (0)1 55 37 30 30

Kaparca Finance contact: Guillaume Le Floch on +33 (0)1 72 74 82 25



KAPARCA FINANCE 26/07/05