aap Implantate AG: Publication of figures for first quarter of 2003

Difficult export business keynotes first quarter

For aap Implantate AG, a specialist in artificial and biomedical implants for the musculo-skeletal organ system, the first quarter was characterized by difficult export business. Consolidated sales at EUR 2.9 million were approx. 14% down on the year, due mainly to what was highly reserved ordering behavior in the export business in general, and especially in the Asian region, that can surely be attributed in part to the strong euro. Before special factors (acquisition-related depreciations and stock options), the company earned in the first quarter an EBITDA of EUR 299,000 (previous year: EUR 1.178 million). Adjusted accordingly, EBIT was –EUR 80,000, or less than the previous year’s EUR 895,000. The unadjusted DVFA/SG consolidated result for the review period was –EUR 449,000 (previous year: EUR 380,000) and DVFA/SG earnings per share were –EUR 0.09 (previous year: EUR 0,08). Adjusted cash earnings were –EUR 144,000 (previous year: EUR 535,000). In spite of this unpleasant earnings trend, cash flow at the operating level increased over the review period to EUR 651,000 from EUR 216,000 at the end of 2002.

Taking the above-mentioned special factors into account, the figures were as follows: EBITDA was EUR 299,000 (previous year: EUR 1.008 million) and EBIT –EUR 445,000 (previous year: EUR 361,000). The DVFA/SG consolidated result was –EUR 701,000 (previous year: EUR 34,000), DVFA/SG earnings per share were –EUR 0.15 (previous year: EUR 0.01), and DVFA/SG cash earnings amounted to –EUR 31,000 (previous year: EUR 553,000).

In spite of this first-quarter business trend that failed to meet expectations, aap Implantate AG plans to achieve double-digit profitable sales growth this fiscal year without taking acquisition-related depreciations into account. aap mainly anticipates positive growth stimuli from launches of new products such as the two bone crafts Cerabone® and Ostim® from the orthobiology segment and the innovative VersaBondTM bone cement as well as the new AEQUOS® knee system from the endoprosthethics segment.