Heidelberg on course after first half of financial year 2015/2016 with sales and result up on previous year - Seite 2

premises in Heidelberg has been contractually agreed and is expected
to be recognized in profit or loss in the course of the financial
year.

"We are systematically implementing our growth strategy. New
business models and a dynamic portfolio have led to a significant
increase in sales," said Dirk Kaliebe, CFO and Deputy CEO of the
company. "The reorientation of Heidelberg has also made us more
flexible, which means we are better able to respond to market
fluctuations and can further improve profitability," he added.

Heidelberg on course after first half of financial year 2015/2016
with sales and result up on previous year

After the first six months of financial year 2015/2016, business
results at Heidelberg are in line with the company's own planning. As
expected, sales and the operating result for the half-year exceeded
the previous year's figures. The acquisition of the European Printing
Systems Group (PSG) and exchange rate movements had a particularly
positive impact on sales. The further increase in the order backlog
at the end of the second quarter and positive effects resulting from
the portfolio measures lay the foundation for further improving sales
and, above all, the profitability of Heidelberg Equipment in the
second half-year period.

Group sales after six months increased to EUR1.162 billion
(previous year: EUR996 million). This includes EUR68 million from
positive exchange rate effects. Sales were up in all regions except
Eastern Europe, where they remained stable. Incoming orders in the
period under review improved to EUR1.323 billion (previous year:
EUR1.167 billion).

"After the first half of the current financial year, we are on
course to achieve our targets for the year. As in previous years, we
are expecting a further increase in sales and in the result in the
second half of the financial year," continued Kaliebe.

The operating result in the period under review was up on the
previous year. EBITDA excluding special items totaled EUR79 million
(previous year: EUR53 million) and EBIT excluding special items EUR43
million (previous year: EUR19 million). Both these figures benefited
from income from the takeover of PSG amounting to some EUR19 million
in the current financial year, compared with income of EUR18 million
from the Gallus transaction in the previous year. In the Heidelberg
Services segment, improvements achieved through the portfolio
measures led to a better result, which at the end of the half-year
was already well on track to achieve the target EBITDA margin of 9 to
11 percent. The typical seasonal increase in sales volume that is