Q3 2013

Business development in the Film segment below expectations so far

(DGAP-Media / 11.11.2013 / 18:39)

- Consolidated sales of CHF 262.0 million after nine months
- Consolidated net profit at CHF 6.8 million
- Annual forecast of consolidated sales of CHF 350 to CHF 400 million
confirmed


For 2013 as a whole, the Highlight Group is assuming consolidated sales of
CHF 350 to CHF 400 million. The business areas theatrical distribution and
license trading did not manage to continue the good business development of
the previous year so far, which had been characterized by the blockbuster
successes 'Türkisch für Anfänger' and 'Resident Evil: Retribution'.

As of September 30, 2013, external sales of the Film segment were down
year-on-year at CHF 222.7 million (CHF 248.2 million). Segment expenses
rose by CHF 10.3 million to CHF 310.2 million, primarily as a result of a
significant rise in the cost of materials and licenses in connection with
productions. As a result, segment earnings were also below the previous
year's level at CHF 0.1 million (CHF 9.5 million).

With regard to the Film segment's earnings, we expect considerable
contributions from the films 'Fack ju Göhte' and 'Walking with Dinosaurs
3D' in the fourth quarter.

The sales development of the Sports- and Event-Marketing segment is still
essentially characterized by changes in the business relationship with
UEFA. External sales of CHF 36.5 million were generated in the first nine
months of this year (previous year's period: CHF 57.1 million). The decline
in sales was partially offset by cost savings of CHF 9.5 million, resulting
in segment earnings of CHF 13.7 million. As ex¬pected, this was lower than
the previous year's figure.

The Other Business Activities segment generated external sales of CHF 2.8
million (previous year's period: CHF 7.3 million). Parallel to this,
expenses were reduced from CHF 9.4 million to CHF 5.8 million. This
resulted in a segment loss of CHF 2.1 million (previous year's period: CHF
1.0 million).

At Group level, these developments were reflected in a sales decline from
CHF 312.7 million to CHF 262.0 million. Consolidated operating expenses
decreased slightly from CHF 345.0 million to CHF 342.6 million, leading to
EBIT that was down year-on-year by September at CHF 7.3 million (CHF 29.8
million). This resulted in a consolidated net profit for the period of CHF
6.8 million (previous year's period: CHF 21.3 million), CHF 6.1 million
(previous year's period: CHF 20.7 million) of which is attributable to
Highlight shareholders.

Cash and cash equivalents declined by CHF 19.4 million as against the end