KTM Industries AG

Strong growth in the first half year of 2017 continued - Seite 2

In the first half year 2017, WP Group could realize further growth as Tier 1 supplier in the slipstream of the KTM Group. For the future, the expansion of production capacities as well as the development of production technology and increase in capacity is of major importance.

Offensive investment program at the Austrian sites
In the first half year 2017 the investment program at the Austrian sites was continued in the amount of around 35 mEur. The investments of the first half year, including product development, amounted to approximately 87.6 mEur in total.

At the high performance drivetrain production facility in Kapfenberg, the ramp-up phase has already been started successfully. In Mattighofen, the expansions of the research and development center and the logistics center are running accordingly to plan and each will be completed in December 2017.

Increase in the number of employees: + 417 employees
Due to the strong growth, additional 417 employees were hired in the first half year 2017. Thereof 401 in Austria. As of June 30, 2017, the number of employees within the group amounted to 5,486, thereof 4,317 in Austria. About 15% of the total number of employees within the group work in research and development.

Positive outlook for the end of the business year
For the second half of 2017, the Group expects a continuing positive growth trend as in the first half year.

About KTM Industries Group
The KTM Industries Group is a leading European vehicle group with a strategic focus on the global sports motorcycle segment and the automotive high tech components segment. With its worldwide renowned brands KTM, Husqvarna Motorcycles, WP and Pankl, the group is among the technology and market leaders. Within the group there is a high degree of technological network, which is, in this form, unique in Europe. Strategic partnerships at an operational level strengthen the competitiveness in our respective markets. All these factors are the basis for the high innovation level of KTM Industries Group and ensure the organic growth course sustainably

Preliminary key figures H1 2017 of KTM Industries Group (consolidated)

Earnings figures		H1 2016	H1 2017	Chg. in %
Revenues	mEur	676.9	758.8	12%
EBITDA	mEur	104.4	105.8	1%
EBIT	mEur	69.6	65.8	-5%
EBITDA margin	in %	15.4%	13.9%
EBIT margin	in %	10.3%	8.7%
Balance sheet figures		Dec. 31, 2016	June 30, 2017
Balance sheet total	mEur	1,391.8	1,402.7
Equity	mEur	454.9	486.2
Equity ratio	in %	32.7%	34.7%
Net debt	mEur	364.6	474.2
Gearing	in%	80.1%	97.5%
Employees		5,069	5,486
		H1 2016	H1 2017
Investments	mEur	65.9	87.6

(end)