Interim Notice DOCDATA N.V.: Third Quarter 2013 Meets Expectations

WAALWIJK, The Netherlands, October 23, 2013 /PRNewswire/ --

The Management Board of DOCDATA N.V. (Waalwijk, The Netherlands) announces the following interim notice.

General

DOCDATA N.V. has closed the first quarter 2013 with a profit. Revenue of the Group is about the same as revenue for the third quarter 2012. On the one hand, this is due to the foreseen decrease in revenue of our services to our largest client in Germany (-24%) and on the other hand this is due to revenue growth of the E-commerce service company in the Netherlands and the Technology company IAI industrial systems (together +25%). Operating profit and net profit of the Group were lower in the third quarter 2013 than in 2012. However, for the first three quarters of 2013, the Group has realised an increase in revenue, operating profit and net profit.

DOCDATA N.V. maintained its financial position during the third quarter 2013. Per 30 September 2013, the solvency ratio amounted to 51.9% (30 June 2013: 50.3%) and the Company's liquidity resulted in a net (non-restricted) cash surplus of € 2.0 million

(30 June 2013: € 2.4 million). Until the third quarter, the Company invested (gross) about € 6.9 million (comparable period 2012: € 11.7 million gross), predominantly for the equipment of the logistics centres in Waalwijk (Netherlands) and Groβbeeren (Germany). The Company financed these investments fully from own resources. Capital expenditure in the start up of the new business activities in Italy and Poland are limited up to and including the third quarter 2013.

Outlook

The Management of DOCDATA N.V. expects that total revenue of the Group in the fourth quarter 2013 will decrease compared to last year, due to the previously announced decline of the business activities for the largest client of the E-commerce service company Docdata in Germany. For the full year 2013, the Group is expected to realise a revenue increase. The Management also expects an improvement of operating profit and net profit for the full year 2013 compared to 2012, due to significantly better results of the IAI industrial systems line of business in 2013. DOCDATA N.V. will announce the 2013 full-year results on Thursday 20 February 2014 before opening of the stock exchange.

E-commerce service company Docdata

Revenue and operating profit of the E-commerce service company Docdata in the third quarter 2013 decreased compared to 2012. The number of unique transactions processed during the first three quarters increased from 32 million in 2012 to 38 million; for the third quarter 2013 there is a slight increase to almost 12 million. Revenue in the fourth quarter is expected to decline further compared to 2012, as a direct result of the announced decrease of our services to our largest client in Germany. As expected, the share of our largest client in Germany in total revenue of the Group decreased from 37% over the first half-year 2013 to 30% over the first three quarters of 2013. Revenue for the full year 2013 is expected to be higher than in 2012, because our service to nearly all other key clients in the Netherlands and Germany show revenue growth in 2013.

Revenue and operating profit in the United Kingdom are strongly behind our expectations for 2013, because both existing and new clients perform far below their own forecasts. This has a limited impact, as revenue in the United Kingdom is less than 5% of total revenue of the Group. The Management will analyse all possible scenarios in the fourth quarter and will decide how the activities in the United Kingdom shall be (re)organised.

The E-commerce service company Docdata focuses entirely on the further development of its position in Europe. In that context, in the third quarter 2013 operations have been started in Poland and the activities in Italy have come directly under the responsibility of the new company Docdata Italy Srl., established in Milan. Previously, these activities in Italy were managed through a partnership with an external party. The organisation in Poland started already and has been operational since mid-September 2013 through the new company Docdata Fulfilment Sp. z o.o., established in Swiebodzin. A key objective for the coming years is to obtain a position on the local e-fulfilment markets from these new business locations, next to expanding the cross border network of Docdata.

Technology company IAI industrial systems

The Technology company IAI industrial systems delivered several systems in the third quarter 2013, while no systems were delivered in the third quarter 2012. The revenue value of the order book of IAI industrial systems increased to € 10.9 million as at 30 September 2013 (order book as at 30 June 2013: € 9.5 million). The delivery of systems in the order book is for more than half of the revenue value planned for delivery in the year 2013. As previously announced, revenue and results of IAI will therefore be sharply higher than in 2012. The focus for the Technology company IAI industrial systems remains on winning orders worldwide in existing and specific defined markets.

Management change

Effective 1 September 2013, Mr. Henk Roelofs has assumed the end responsibility for the Technology company IAI industrial systems. Mr. Roelofs (1957) joined IAI per 1 March 2013 and has been appointed Director and Member of the Board of IAI per 1 June 2013. Mr. Roelofs previously was CEO of Solland Solar and before that worked at Philips and NXP Semiconductors in various (inter)national management positions. He studied mechanical engineering at HTS Eindhoven and business economics at Tilburg University.

Mr. Jan Cobben, the former Managing Director of IAI industrial systems, has resigned and is retired on 1 October 2013 after reaching the age of 65 years. Mr. Cobben has managed this line of business since 1997 and the Company therefore owes him the highest gratitude. Mr. Cobben will remain involved in the capacity of an independent advisor to the Company for some large and long-term projects, which in the future could result in orders for IAI.

Strategy

The Management of DOCDATA N.V. will give an update of the strategy at the presentation of the 2013 results in February 2014.

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The listed DOCDATA N.V. exists of two lines of business:

E-commerce service company Docdata (http://www.docdata.com) is a European market leader with a strong basis in The Netherlands, Germany and the United Kingdom. Docdata offers a complete e-commerce service portfolio to clients, enabling them to be successful on the internet.

Technology company IAI industrial systems (http://www.iai-industrial-systems.com) is a high tech engineering company specialised in developing and building systems for very accurate and high speed processing of all kinds of products and materials. IAI delivers clients globally in the following sectors: securing and personalising of security documents, processing of solar cells and modules and processing of other materials and products.

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Financial calendar

• 20 February 2014    Publication of 2013 results
• 1 April 2014 (*)    Publication of 2013 annual report
• 23 April 2014       Interim notice first quarter 2014
• 13 May 2014 (*)     Annual General Meeting of Shareholders
• 17 July 2014        Publication of half-year results 2014

(*)    provisional date