Datacolor in fiscal 2015/16

 
 
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Datacolor in fiscal 2015/16

 

Encouraging sales development – dividend of CHF 13 per share proposed

 

In fiscal 2015/16, Datacolor’s performance was driven by innovative software and hardware solutions that resulted in a market share growth in the paint industry and further consolidated its leading position in core markets (notably the textile and apparel industries), as well as its market presence in the retail paint sector and the market for digital color calibration systems for monitors and printers. The market-leading products and services provided by Datacolor's customer-focused, internationally well-positioned sales and service organization were instrumental in driving this positive trend.

 

Positive momentum in challenging economic environment

 

In fiscal 2015/16, Datacolor grew net sales by 4% to USD 69.3 million (2014/15: USD 66.8 million), as much as 7% based on local currency. This sales trend is attributable to the strength of the USD reporting currency against key local currencies. Driven by the growth in sales, along with a significant improvement in efficiency and rigorous cost management, EBIT rose by 43%, compared with the unfavourable result of prior year, to USD 6.2 million (USD 4.4 million). EBITDA increased by 33% to USD 8.7 million (USD 6.6 million). At USD 6.0 million (USD 3.2 million), Datacolor posted a substantial increase in profit for the year, thanks largely to a strongly improved financial result. Datacolor continues to be debt-free and increased its strong net cash position (including financial assets) from USD 25.9 million (September 30, 2015) to USD 32.6 million. The equity capital ratio is a solid 62.7% (September 30, 2015: 63.3%).

 

Thanks to Datacolor's strong earnings, healthy balance sheet and well-filled product pipeline, the Board of Directors is looking forward to a successful new business year – assuming that the global economy remains stable – and proposes to the Annual General Meeting the distribution of a dividend of CHF 13 (previous year: CHF 11).

 

Asia Pacific region closes up on European market share

 

Datacolor is among the leading international providers of user-friendly digital color management solutions. Nearly 35% (2014/15: 34%) of Group sales in fiscal 2015/16 were generated in the Asia Pacific region, approaching the European market's share of sales of around 35% (37%). The North and South America region's sales share rose to 30% (29%).

 

New addition to the Executive Committee

 

Effective October 1, 2016, Diane Geisler takes over leadership of the marketing organization from CEO Albert Busch and strengthens the ranks of the Datacolor Executive Committee in her new role as Vice President Marketing. Diane Geisler’s previous role was Global Director of Product Management at Datacolor. Her appointment marks the merger of the Marketing Services and Product Management functions and is designed to substantially improve the coordination and communication among the marketing, sales and R&D teams as well as to align the company closer to the market.

 

New solutions for industry and end customers

 

In fiscal 2015/16, Datacolor expanded its extensive product portfolio with innovative, user-friendly hardware and software products for core customers, as well as growth markets. The rollout of the next generation of high-accuracy “Datacolor 800 and 500 series” spectrophotometers sets new standards for color measurement and matching in the textile industry. Built for the retail paint sector, the new “Datacolor 200” spectrophotometer is an easy-to-use solution for the home improvement market. In combination with “Datacolor Paint 2.0” software and a paint mixing machine, it can be used by paint retailers to measure color samples directly and automatically prepare the desired paint mixture for customers. Datacolor has also launched the portable “Datacolor 20D” spectrophotometer, which gives paint retailers the freedom to accurately measure and match colors at any location they wish. The latest comprehensive software upgrade for the successful “Spyder family” of monitor calibrators provides countless new color management features for hobby photographers and professionals alike. Representing the ultimate color calibration solution, the newly released “Spyder5 Studio” ensures maximum color precision. The Studio suite offers photographers three tools for monitor calibration and guarantees professional-quality prints.

 

Outlook

 

Datacolor is well positioned to continue the implementation of its ambitious growth strategy due to its strong product portfolio, efficient organizational structure and customer-focused international sales and service organization. A strong balance sheet and high cash position enable sizable investments in innovative technologies and in a strong marketing, sales and service organization. Datacolor plans to continue to build its leading position in the textile and apparel as well as the display and printer calibration markets for the long-term and to gain additional market share in the paint and coatings industry by rolling out new products and stepping up marketing efforts. At the same time, Datacolor plans to support growth in new and existing markets through strategic acquisitions.

 

The complete Annual Report 2016 is available on: http://www.datacolor.com/company/investor-relations/reports

 

Lucerne, November 15, 2016

 

 

 

For further information

 

T +41 44 488 40 19

Datacolor AG, Investor Relations, Gisela Heel

www.datacolor.com

Waldstaetterstrasse 12, POB 2541, CH-6002 Lucerne

 

 

Agenda

 

December 6, 2016

Annual General Meeting of Shareholders 2015/16