DGAP-News: Ultrasonic AG / Key word(s): Preliminary Results Ultrasonic AG: Provisional figures for the first nine months of 2013 confirm steady growth 08.11.2013 / 15:44 --------------------------------------------------------------------- ULTRASONIC: Provisional figures for the first nine months of 2013 confirm steady growth - Group revenue grew 9.0% to EUR 118.1 million in the first nine months of 2013 (9M 2012: EUR 108.3 million) - Gross profit up 9.6% at EUR 36.7 million after the first nine months (9M 2012: EUR 33.5 million) - Group earnings before taxes (EBT) increased to EUR 33.1 million in the first nine months (9M 2012: EUR 30.6 million); EBT margin 28.0% (9M 2012: 28.3%) - Net profit EUR 24.3 million in the first nine months (9M 2012: EUR 22.8 million) - Urban footwear (incl. accessories) grew 13.8% in the first nine months, remaining the strongest segment; revenue from the ULTRASONIC brand rose by 25.4% - Operating cash flow EUR 30.3 million and cash and bank balances EUR 106.8 million as of 30 September 2013 - Forecast for FY 2013 specified in more detail Cologne, 8 November, 2013 - Ultrasonic AG (Prime Standard, ISIN DE000A1KREX3, US5), the German holding company of an established Chinese manufacturer and supplier of high-quality branded urban footwear products, today published its provisional figures for the first nine months of 2013. 'Our nine-month results confirm the ULTRASONIC Group's steady growth. Revenue from our ULTRASONIC brand of high-quality urban footwear remained our key strategic business driver in the third quarter. The distribution of ULTRASONIC products via leading Chinese online trading platforms, which only started in August, is doing well and is already making a contribution to total revenue. Despite the delay in expansion of our production facilities, we are making good progress towards achieving the ambitious goals we set for this year,' comments Qingyong Wu, Ultrasonic's founder and CEO. Group sales revenue grew 9.0% in the first nine months of 2013 to EUR 118.1 million (9M 2012: EUR 108.3 million), while the slight impact of the 0.8% decrease in the average exchange rate of the renminbi versus the euro needs to be taken into account. Revenue in the Sandals and slippers segment advanced 13.1% to EUR 37.3 million (9M 2012: EUR 32.9 million), while the Urban footwear segment (including accessories) posted a strong revenue rise of 13.8% to EUR 45.8 million (9M 2012: EUR 40.3 million). Attention should be drawn to the positive performance by the ULTRASONIC brand in the Urban footwear segment (including accessories). While OEM sales were unchanged from the previous year at EUR 18.9 million (9M 2012: EUR 18.9 million), revenue from the ULTRASONIC brand surged more than 25.4% to EUR 26.9 million in the reporting period (9M 2012: EUR 21.4 million). Online marketing of ULTRASONIC products, which only started in early August, has already contributed revenue of EUR 1.1 million to the Group's overall performance. In the Shoe soles segment, revenue was EUR 35.0 million, as in the previous year (9M 2012: EUR 35.0 million) due to more sluggish ordering by some major customers in the third quarter. The gross profit rose 9.6% year-on-year from EUR 33.5 million to EUR 36.7 million. The gross profit therefore increased a little faster than revenue. Consequently, the gross profit margin increased slightly to 31.1% (9M 2012: 30.9%). In the first nine months EBITDA rose 7.8% to EUR 34.1 million (9M 2012: EUR 31.6 million). EBIT improved by 8.0% to EUR 33.0 million in this period (9M 2012: EUR 30.6 million). Earnings before taxes (EBT) also advanced 8.0% year-on-year, from EUR 30.6 million to EUR 33.0 million. The pre-tax margin was 28.0% (9M 2012: 28.3%). Tax expense was EUR 8.8 million in the reporting period, which was considerably more than in the prior-year period, when it was EUR 7.9 million. Overall, the profit for the period was EUR 24.3 million, 6.5% above the prior-year level (9M 2012: EUR 22.8 million), giving earnings per share of EUR 1.96 (9M 2012 (adjusted): EUR 1.89). The net cash inflow from operating activities was EUR 30.3 million in the first nine months of 2013 (9M 2012: EUR 20.3 million). The considerable year-on-year rise was attributable to higher pre-tax earnings and, in particular, lower working capital requirements thanks to the EUR 3.6 million reduction in in trade and other receivables. Overall, there was a net rise of EUR 32.2 million in cash and bank balances in the reporting period. As a result, cash and bank balances amounted to EUR 106.8 million as of 30 September 2013 (30 September 2012: EUR 93.7 million). The net cash outflow for investing activities was EUR 1.0 million in the reporting period (9M 2012: EUR 3.5 million). The delayed construction of the road by the local government has been finished and the company road connection to the factory is now under construction. Hence, the staff accommodation will be completed at the start of 2014. The start of production of children's shoes is planned for the first quarter of 2014, after the Chinese New Year celebrations. Further investments into the expansion of the shoe production are envisaged for the second half of 2014. The company still has no non-current borrowing from banks. The equity ratio improved to 84.9 % in the reporting period (up from 81.8% as of 31 December 2012). Based on the group's performance to date, the Management Board expects year-end group revenue to show an increase of around 10% on a euro basis (excluding currency effects), with a pre-tax (EBT) margin of 26-28%. The full interim report for the first nine months of 2013 will be published on 28 November 2013 and will be available for download from the company's website www.ultrasonic-ag.de under Investor Relations/Publications. Ultrasonic AG published a Directors' Dealings notification on 23 October 2013. The company's founder and CEO Qingyong Wu has sold around 28% of his shares to a group of European investors. 'The purchasers have been following Ultrasonic AG for a long time. This considerable investment shows that it is not only the management that is confident about the ULTRASONIC Group's long-term success. Personally, I am delighted by this confidence in the company,' commented Qingyong Wu. In connection with this transaction, he has agreed to a lock-up period until 30 September 2015 for his remaining 6,647,307 shares in Ultrasonic AG (around 52.3% of total shares in the company). ULTRASONIC will be presenting provisional figures for the third quarter and the first nine months of 2013 at the German Equity Forum, which will be held at the Congress Center at the Frankfurt Exhibition Center on 11-13 November 2013. Ultrasonic AG's presentation will be in the Zurich room at 6 p.m. on Tuesday 12 November.

Overview of key
financial data*

                                        9M               9M      Yoy change
in EUR '000                           2013             2012            in %

Revenue                            118,063          108,290           9.,0%
thereof Urban footwear              43,777           39,273           11.5%
thereof Shoe soles                  34,973           35,049           -0.2%
thereof Sandals
& slippers                          37,255           32,945           13.1%
thereof accessories                  2,058            1,023          101.1%

Gross profit                        36,697           33,481            9.6%
EBITDA                              34,096           31,615            7.8%
EBT                                 33,090           30,649            8.0%
EBT margin                           28.0%            28.3%
Profit for the period               24,250           22,771            6.5%
Sales margin                         20.5%            21.0%
Earnings per share in EUR             1.96             1.89

                              30 Sept 2013     31 Dec. 2012
Cash and bank balances             106,756           74,525           43.2%
Group equity                       151,497          122,321           23.9%
Equity ratio                         84.9%            81.8%

About Ultrasonic The Cologne-based company Ultrasonic AG is the German holding company of the Chinese ULTRASONIC Group, an established manufacturer and supplier of high-quality branded urban footwear. The Group has more than 1,400 employees and operates in three main market segments, each of which currently contributes about a third of revenue. ULTRASONIC produces sandals and slippers for the upper price segment for the local and international market. It is also a long-term supplier of shoe soles to leading manufacturers in the established Chinese sport shoe industry such as Anta, Xtep and Unisuper. Moreover, the company has developed its own very successful high-quality urban footwear collection which is marketed under the ULTRASONIC brand and targets China's young, fashion-conscious urban middle class, which has high purchasing power and expects high quality. The ULTRASONIC product line is currently marketed via more than 110 mono-label shops. The ULTRASONIC Group has reported a compound annual growth rate (CAGR) of 31% per year since 2009. In 2012 it generated sales of around EUR 149 million and a net profit of EUR 30.8 million. For further information about the company visit: www.ultrasonic-ag.de For enquiries: Ultrasonic AG Chi Kwong Clifford Chan Member of the Management Board and CFO E-Mail: [email protected] Tel.: +86 1525 947 9902 (China), +852 966 227 40 (Hong Kong) Disclaimer: This document is no offer for the purchase of securities in the United States of America. Securities may only be sold or offered for sale with the previous registration under the U.S. Securities Act of 1933 in the actual valid version or without previous registration only pursuant to an exemption. The shares of Ultrasonic AG (the 'Shares') have not been registered under the U.S. Securities Act of 1933 in the actual valid version and may not be sold or offered in the United States. This document is only being distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) to investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the 'Order') or (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as 'relevant persons'). The Shares, which are referred to, are only available to relevant persons and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents. End of Corporate News --------------------------------------------------------------------- 08.11.2013 Dissemination of a Corporate News, transmitted by DGAP - a company of EQS Group AG. The issuer is solely responsible for the content of this announcement. DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: Ultrasonic AG c/o BPG mbH, Graf-Adolf-Platz 12 40213 Düsseldorf Germany Phone: +86 1525 947 9902 (China); +852 966 227 40 (Hong Kong) Fax: +49 (0)211 172 9829 E-mail: [email protected] Internet: www.ultrasonic-ag.de ISIN: DE000A1KREX3 WKN: A1KREX Indices: CDAX, Classic All Share, DAXsector All Consumer, DAXsector Consumer, DAXsubsector All Clothing & Footwear, DAXsubsector Clothing & Footwear, Prime All Share Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, Stuttgart End of News DGAP News-Service --------------------------------------------------------------------- 238886 08.11.2013