DGAP-News

Gigaset rigorously continues its reconstruction. Crucial steps to stabilize the company reap success. - Seite 2

-2.8 million)

- Consolidated net income from continuing operations in 2013: EUR -34.6
million (2012:1 EUR -26.0 million)

- Free cash flow from continuing operations in 2013: EUR -40.3 million
(2012:1 EUR -33.1 million)

Gigaset generated a positive free cash flow of EUR4.5 million in the fourth
quarter. EBITDA in Q4 was negative, in particular due to non-recurring
special effects (including costs for capital measures and reorganizing the
sales model in Brazil).

- Consolidated revenue from continuing operations was EUR111.0 million in
Q4/2013 (Q4/2012: EUR123.5 million)

- EBITDA from continuing operations was EUR -3.7 million in Q4/2013
(Q4/2012: EUR -5.5 million)

- Consolidated net income from continuing operations was EUR -18.2
million in Q4/2013 (Q4/2012: EUR -13.3 million)

- Free cash flow from continuing operations in Q4/2013 was EUR4.5 million
(Q4/2012: EUR3.3 million).

Charles Fränkl, CEO of Gigaset AG, comments on the annual results: "Gigaset
is undergoing what is probably the largest phase of reconstruction in its
history. In 2013 we successfully turned the company from just being a
vendor of cordless phones into one offering a broad portfolio of hardware,
software and Internet services and so created the technological platform on
which we intend to grow profitably again in future. The strong growth of
our Business Customer Business Unit shows that our Gigaset 2015 strategy is
working. The strategic partnership with Goldin opens up further new
perspectives for us."


First round of financing in 2013 completed

In 2013, Gigaset successfully placed two capital increases and a
convertible bond in the amount of approximately EUR 50 million. However,
further financing activities will also play a role in 2014 in order to fund
the growth objectives of the new business segments and the reorganization
of the company required for that. Additional capital measures are
constantly being examined for that purpose. The general conditions for them
have improved substantially now that Goldin has taken a stake in the
company.

The Executive Board has adopted a further efficiency program to counteract
the continuing loss of revenue and seasonally related weaker business in
the summer months. The goal is to achieve savings of EUR17.5 million, in
particular in non-personnel costs and other operating costs, by the end of
September.

Dr. Alexander Blum, CFO of Gigaset AG, explains: "Last year, we were able
to complete critical steps toward the stabilization of Gigaset. The