United Labels AG / Key word(s): Final Results/Quarter Results 29.04.2016 12:40 Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- - Earnings for 2015 impacted by exceptional items - Solid start to year with positive developments in first quarter of 2016 - Large-scale contract signed for exclusive marketing of Diddl merchandise Münster, 29 April 2016. United Labels AG (ISIN: DE 0005489561, WKN: 548956) recorded consolidated revenue of EUR30.4 million (prev. year: EUR32.0 million) in the 2015 financial year. The decline in revenue was attributable primarily to developments that did not meet expectations as well as shifts in key account revenue and Christmas business in Germany during the fourth quarter. Whereas revenue within the Key Account segment declined to EUR16.3 million (prev. year: EUR20.0 million), revenue attributable to the Special Retail segment increased to EUR14.0 million (prev. year: EUR12.0 million). Business at the Spanish subsidiary United Labels Iberica proved encouraging, with revenue increasing by 29.7% to EUR17.9 million (prev. year: EUR13.8 million). Exceptional items totaling EUR3.4 million had a particularly adverse effect on earnings; they included EUR2.1 million in write-downs of deferred taxes that had been recognised in respect of loss carryforwards. As a result, the loss before interest, taxes, depreciation and amortisation (negative EBITDA) was EUR0.1 million, compared to positive EBITDA of EUR1.2 million in the previous year. Having accounted for interest, taxes, depreciation, amortisation and write-downs, the Group loss for the period stood at EUR4.2 million (prev. year: loss of EUR1.1 million). Operating cash flow rose significantly to EUR1.7 million (prev. year: EUR-0.3 million). Order backlog was up 29% at the end of the year, taking the total to EUR8.9 million (prev. year: EUR6.9 million); this is the highest level recorded in the past four years. Business was well within positive territory in the first quarter of 2016. Group revenue increased by 20.8% to EUR9.3 million (prev. year: EUR7.7 million). At EUR0.5 million (prev. year: EUR0.09 million), operating profit before interest and depreciation/amortisation was up significantly on the figure posted for the same period a year ago. This positive direction taken in the first quarter of the current financial year was also reflected in Group profit for the period, which stood at EUR0.06 million (prev. year: EUR-0.4 million). Additionally, a large-scale contract for the exclusive marketing of a selected product portfolio centered around the well-known Diddl Mouse character was signed in the first quarter of 2016. From the fourth quarter of 2016 onwards, United Labels will be marketing a broad range of merchandise via specialty retailers as well as its own internet shop at diddl-shopping.de. Overall, Group revenue is to grow by 15% - 23% in 2016. Based on current projections, EBIT is expected to lie between EUR0.6 million and EUR1.5 million in 2016. The 2015 annual report issued by United Labels AG can be downloaded from the following site as from 30 April 2016: http://unitedlabels.com/investor-relations/finanzberichte Further information: United Labels AG, Gildenstraße 6, 48157 Münster Tel.: +49 (0) 251-3221-0, Fax: +40 (0) 251-3221-960 [email protected] 29.04.2016 The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------------- Language: English Company: United Labels AG Gildenstr. 6 48157 Münster Germany Phone: +49 (0)25 132 21-0 Fax: +49 (0)25 132 21-999 E-mail: [email protected] Internet: www.unitedlabels.com ISIN: DE0005489561 WKN: 548956 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart End of Announcement DGAP News-Service ---------------------------------------------------------------------------