SOURCE: GAUSSIN

March 19, 2008 12:24 ET

GAUSSIN : Earnings 2007: very strong growth in profitability Excellent outlook for 2008

BELVERNE, FRANCE--(Marketwire - March 19, 2008) - GAUSSIN MANUGISTIQUE (Marché Libre - FR0010342329) has announced consolidated annual IFRS approved earnings for 2007 showing significant growth. In a business context of very strong growth, +382%, the objective to improve profitability has been greatly exceeded: net profit before tax was multiplied by 6 between 2006 and 2007 to reach 3.75 MEUR . Net margin stands at 17.5% of turnover, leaving Gaussin in a stronger financial situation to fund its future development.

Turnover quintupled between 2006 and 2007

Sales performance in 2007 confirms the Group's positioning on promising international markets: Energy - Raw materials - Transport - Environment.

Group turnover in 2007 thus reached 17.51 MEUR , as opposed to 3.63 MEUR in 2006, i.e. growth of 381.8%. This excellent sales performance, which has exceeded the high forecasts expected with the initial public offering, places GAUSSIN two years ahead of its business plan.

Operating margin: 21.1% of turnover, i.e. 4.21 Million Euro

The organisational model based on innovation and the commercialisation of a full range of services and products gives a very low profitability and fixed expenses threshold, 60% of manufacturing being subcontracted. Thus, operating expenses represent 44.5% of turnover, as opposed to 61.8% in 2006. In this context of growth, the leverage effect and the "Manugistique" differentiation strategy enable GAUSSIN MANUGISTIQUE® to achieve high profitability.

Operating income amounts to 4,210 KEUR , as opposed to 10.4 KEUR in 2006. Pre-tax earnings, at 3,750 KEUR , have been multiplied by 6. Net earnings, 3,050 KEUR , i.e. 17.4% of turnover, must be compared with net earnings in 2006 which included 488 KEUR in extraordinary income.

Reinforcement of the financial structure

These excellent results reinforce the Group's financial structure. At the end of 2007, with a total balance of 23.5 MEUR (as opposed to 6.80 MEUR in 2006), available cash reserves of 3 MEUR and practically no financial debts, the Group's bottom line is well structured for future development.

Outlook 2008: excellent visibility, 3-figure growth objective

Since the beginning of 2008, the Group has recorded a marked acceleration in its order book, which amounts to 18 MEUR at the end of February 2008, i.e. already more than the turnover achieved in 2007.

This year, sales deployment will also be complemented by recently announced agreements:

- Contribution by Dubai Investment Industries to the capital of GAUSSIN Middle East;

- Start-up of the assembly site in Dubai and sales force deployment in 19 Middle Eastern countries;

- Exclusive contract worth 15 MUS$ with Dubai Port World until 2011, with the first tranche of 4 MUS$ in 2008;

- Development of Métalliance (Marché Libre - MLETA) in 2008, in which Gaussin has a shareholding of 43%.

The sustained acceleration of development is continuing in 2008. At the same time, the launch of the ATT-08 and the project to create a long-term rental offer will represent new sources of growth for future financial years. Moreover, GAUSSIN is on standby to take on any external growth operations to enable it quickly to penetrate certain markets or acquire technological know-how.

GAUSSIN MANUGISTIQUE thus enjoys very good visibility over the next 3 financial years.

For 2008, the objective set is to repeat the 3-figure growth in business, whilst continuing to improve profitability.

About GAUSSIN

GAUSSIN MANUGISTIQUE® is specialised in auditing handling procedures and producing wheeled systems for the delivery and transportation of heavy, voluminous or fragile loads. In business for more than a hundred years, GAUSSIN, with more than 50,000 handling vehicles throughout the world, enjoys an excellent reputation in the three major growth markets of Energy, Transport and Raw Materials. GAUSSIN MANUGISTIQUE has been listed on the Marché Libre at Euronext Paris since July 2006.

In 2007, GAUSSIN achieved turnover of 17.51 MEUR , up by 382% compared with 2006.

This information is provided by HUGIN

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