Iq Power AG (fka IQPOF)

[Aduke]

18.11.2011

iQ Power Publishes Interim Report in Second Half of 2011


Revenues increased some 40 % to EUR 7.7 million in the first nine months of 2011 (prior year: EUR 5.6 million)
Significant improvement in EBIT to minus EUR 2.8 million (prior year: minus EUR 4.1 million)
Strong 3rd quarter 2011: Revenues more than doubled to EUR 3.3 million (Q3 2010: EUR 1.6 million)
Entry into the lead recycling business strengthens competitive position
Major improvement in revenues and earnings expected for full 2011 year


iQ Power AG finished 3rd quarter 2011 with a major increase in revenues.

iQ Power AG generated group revenues of EUR 3.3 million in 3rd quarter 2011, which corresponds to an increase of more than 100 percent over the same period a year ago (Q3 2010: EUR 1.6 million). On a nine-month basis, sales revenues rose some 40 percent in 2011 to a new record level of EUR 7.7 million (prior year: EUR 5.6 million). Here it was mainly the development of new target markets, such as in Eastern Europe, South America, Africa and the Near East, that had a positive impact. Major progress was also made on the earnings side. The operating result (EBIT) improved in these first nine months of 2011 by EUR 1.3 million to minus EUR 2.8 million compared to minus EUR 4.1 million in the comparable period a year ago.

The total assets of iQ Power AG increased to approximately EUR 17.5 million as at the 30 September 2011 reporting date (31 Dec 2010: EUR 14.8 million). Equity improved by EUR 0.9 million to EUR 10.8 million as at 31 September 2011 from EUR 9.9 million at the start of the year. The equity ratio as at the balance sheet date was approximately 62 percent (31 Dec 2010: 67 percent) with EUR 0.97 million available in cash and cash equivalents.

In addition to improved revenue and earnings performance, a number of important decisions were also made regarding the future development of the iQ Power Group during the reporting period. The entry into the lead recycling business in particular helps strengthen the company’s competitive posture. Recycling reduces the dependence on fluctuations in the price of lead, and enables cost savings and efficiencies to be increased. The start of battery production at that same facility also means that the company was able to increase its production capacity at the beginning of the winter season.

The recent secured convertible bond issue, which features 8-percent interest and put options, will raise up to EUR 5.6 million that will be used primarily for making investments to expand the new plant in Bosnia-Herzegovina, and for increasing the amount of available working capital. This represents a responsible step in continuing to pursue the company’s growth strategy.

Under these conditions iQ Power AG is looking ahead with confidence about its performance in the current 2011 year – especially in light of the seasonally strong fourth quarter – and the further successful growth and development of the iQ Power Group. For that reason the company expects a significant improvement in the revenue and earnings situation for the full 2011 year compared to that of the prior year.

The CEO

The interim report from the second half of 2011 is now available for downloading on the iQ Power AG website www.iqpower.com.

» iQ Power Interim Report in Second Half of 2011


http://www.iqpower.com/index.php?pid=1,1&id_news=976&ID=06d71d9454cc195d5bacf6d630d1a5d4