DGAP-News: Advanced Vision Technology Ltd. / Key word(s): Half Year Results AVT Reports First Half of 2015 Financial Results 12.08.2015 / 08:30 --------------------------------------------------------------------- AVT Reports First Half of 2015 Financial Results Highlights for first half of 2015: - Revenues in the first half of 2015 totaled USD 26.1 million, compared with revenues of USD 27.1 million in the first half of 2014 - New Order Booking totaled USD 27.3 million, compared with USD 26.7 million in the first half of 2014 - Operating Income totaled USD 2.3 million, compared with USD 3.1 million in the first half of 2014 - Net Income totaled USD 1.5 million, compared with USD 2.3 million in the first half of 2014 - Announced Strategic alliance with Erhardt + Leimer and acquisition of its inspection assets Hod-Hasharon, Israel, August 12, 2015 - AVT (Advanced Vision Technology Ltd, Prime Standard of the Frankfurt Stock Exchange, ISIN: IL0010837248), a leading provider of process control, quality assurance and color control solutions for the printing industry, announced today the financial results for the first half of 2015 ended June 30. Revenues in the first six months of 2015 totaled USD 26.1 million, 3.6% lower than the USD 27.1 million generated in the first six months of 2014. The decrease in total revenues compared with the first half of 2014 is due mainly to unfavorable impact of the Euro exchange rate relative to the US Dollar of approximately USD 2.3 million, when compared to foreign currency exchange rates in the first half of 2014. Euro based Revenue for the first six months of 2015 was approximately 40% of the total. New order booking in the first six months of 2015 totaled USD 27.3 million representing an increase of 2.3% compared with order booking of USD 26.7 million in the first half of 2014. The impact of the stronger U.S. dollar vs. other currencies in the first half of 2015, if compared with same exchange rates in the first half of 2014, on the order booking was in the amount of approximately USD 2.0 million. Gross margin in the first six months of 2015 was 53.5% compared with 52.8%, in the first half of 2014. Operating income in the first six months of 2015 totaled USD 2.3 million with operating income of USD 3.1 million in the first half of 2014. Net income in the first six months of 2015 was USD 1.5 million or a profit of USD 0.25 per share (diluted) compared with net income of USD 2.3 million or a profit of USD 0.37 per share (diluted) in the first half of 2014. Jaron Lotan, President and CEO of AVT: "Results of our first half of 2015 were impacted by the exchange rate effects of the Euro against the USD. At the same time we see a good business atmosphere in most geographies we are active in and a good pipeline for the balance of the year. Following the global trends in the first half of 2015, AVT's results were negatively impacted by the Euro to U.S. Dollar exchange rate. As such, AVT updated its projections for 2015 calendar year during Q2 2015. The Company now estimates revenue for 2015 to be between USD 53.0 to USD 55.0 million and operating income to be between USD 4.0 to USD 5.0 million. This estimate reflects the Company's assumption that the softness in the Euro will continue and that pricing pressures will continue as the result of it. In addition, in July, AVT and Erhardt+Leimer GmbH (E+L) announced a strategic alliance that will provide a wider range of integrated automation solutions for the printing and converting industries. During the second half the companies will be putting together and start implementing their joint strategies and product offering that should result in new and improved solutions for our customers. The transaction is not expected to have a material effect on our 2015 results, but we expect it to impact positively our results for 2016 and beyond." About AVT AVT (Advanced Vision Technology, Ltd) is a leading provider of print process control, quality assurance and color control solutions for the printing industry. AVT offers inspection and process control solutions for Packaging, Labels, Folding Cartons and Metal Decorating applications. Today, more than 3,900 AVT automatic inspection systems for packaging and labels are installed worldwide. As a premier supplier of color control solutions for offset printing, AVT has over 800 of its closed loop color control systems, and over 3,300 color management and reporting software and remote digital ink fountain control systems installed around the world. AVT's products are sold to leading printing press and finishing equipment manufacturers as well as to packaging, labels commercial and specialty printers, both in web and sheet printing, worldwide. AVT's headquarters are located in Hod-Hasharon, Israel with sales, marketing, and support offices in the United States, Europe and China. AVT is a public company listed in the Prime Standard of the Frankfurt Stock Exchange. Please visit the AVT website: www.avt-inc.com Safe Harbor Statements Certain statements in this press release are forward-looking statements. Because such statements deal with future events, they are subject to various risks and uncertainties and actual results could differ materially from our current expectations. Factors that could cause or contribute to such differences include, but are not limited to: the impact on revenues of economic and political uncertainties and weaknesses in various regions of the world, including the commencement or escalation of hostilities or acts of terrorism; any unforeseen developmental or technological difficulties with regard to our products; changes in the competitive landscape, including new competitors or the impact of competitive pricing and products; a shift in demand for products such as ours; unknown factors affecting third parties with which we have formed business alliances; timely availability and customer acceptance of our new and existing products, and other factors and risks discussed in our Annual Report for the year ended December 31, 2014. We assume no obligation to update information concerning our expectations. For further information, please contact: Udi Bar Sela, CFO AVT Ltd. Phone: +972-9-7614444 Fax: +972-9-7614555 Email: [email protected] --------------------------------------------------------------------- 12.08.2015 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP 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: Advanced Vision Technology Ltd. Hanagar 6 45241 Neve Ne'eman, Hod Hasharon Israel Phone: +972 9 761-4444 Fax: +972 9 761-4555 E-mail: [email protected] Internet: www.avt-inc.com ISIN: IL0010837248 WKN: 931340 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart End of News DGAP News-Service --------------------------------------------------------------------- 385893 12.08.2015