Datacolor fiscal 2022/23

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   Datacolor AG / Key word(s): Annual Results
   Datacolor fiscal 2022/23
   17-Nov-2023 / 06:00 CET/CEST
   Release of an ad hoc announcement pursuant to Art. 53 LR
   The issuer is solely responsible for the content of this
   announcement.
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Media Information

Ad hoc announcement pursuant to Art. 53 LR

Media Information (PDF)

Continued growth leading to record sales

   Datacolor realized record sales in fiscal 2022/23 with its broad
   offering of products and solutions for efficient, precise and
   digital color management. While sales to industrial customers
   increased significantly, sales in the consumer market were down
   from previous yeardue to a decrease in customer demand caused by
   the economic slowdown.

   In May of 2023 Datacolor acquired the Swiss color software
   company matchmycolor LLC. The technology company's financials
   were consolidated for five months  starting May 1, 2023.The
   impact of the acquisition and integration costs are spread over
   two fiscal years 2022/23 and 2023/24. With the acquisition of
   matchmycolor, Datacolor strengthened its market position for
   color management software in its core markets of textile and
   apparel, paint, coatings, plastics and automotive and expanded
   its global presence in the color management market of  ink and
   printing, among others. The acquisition of this innovative Swiss
   software company is in line with Datacolor's strategy of
   continuously expanding its customer base with state-of-the-art
   color management solutions and supporting organic growth through
   acquisitions that complement its business model.

   Datacolor achieved a further increase in sales after two years of
   double-digit growth and confirmed its strong position in the
   international color management market in fiscal 2022/23, despite
   the challenging business climate. With further substantial
   investments in research and development, Datacolor again launched
   several new cutting-edge products in all business units. The
   global sales and marketing organization was further expanded,
   particularly in Asia, Datacolor's largest and fastest-growing
   market. The company also continued to grow its service revenues
   of color certification and color calibration with its Datacolor
   Certify and Datacolor Guardian products. Recruitment of new
   employees, which was challenging during the start of the fiscal
   year, improved considerably, allowing the Company to fill most of
   its open positions. In the year under review, Datacolor employed
   an average of 426 (387) people.

   In fiscal 2022/23, net sales were USD 93.2 million (fiscal
   2021/22: USD 87.4 million), exceeding the previous year by 6.7%
   or 9.5% in local currency. Continued sales growth, a more
   favorable product mix, due to the highmargin software products
   acquired from matchmycolor, and close management of expenses led
   to a high gross profit to USD 62.4 million, corresponding to a
   gross profit margin of 66.9% (66.3%). Operating profit includes
   the first tranche of acquisition costs of matchmycolor as well as
   announced extraordinary costs related to the public tender offer
   from the majority shareholder for all publicly held Datacolor
   shares announced on July 3, 2023. Therefore, resulting EBITDA for
   the fiscal year amounts to USD 10.7 million (USD 12.9 million)
   and EBITDA margin to 11.5% (14.8%). EBIT amounts to USD 8.1
   million (USD 11.2 million) and EBIT margin to 8.7% (12.8%). Net
   income improved significantly to USD 10.9 million (USD 5.2
   million), mainly due to the good financial result of USD 3.3
   million (USD -5.5 million) and a positive one-off tax effect in
   the US. Earnings per share corresponded to USD 67.6 (USD 31.81).

Continuing sales growth in all market regions

   In the reporting period, Datacolor continued to report increased
   sales in all market regions with the largest increase in Europe
   despite the depreciation of the Euro against the US Dollar and
   partially driven by the acquisition of matchmycolor, whose
   revenues were mainly Europe-based. Consequently, the European
   region's contribution to sales increased in the year under review
   to 31% (29%). Asia remained Datacolor's strongest region with a
   share of 43% (44%) of Group sales. The American markets
   contributed 26% (27%).

Direct customer service expanded

   In April 2023, Datacolor announced the transition form an agent
   to a direct sales and support setup in the Scandinavian market
   including Sweden, Norway, Finland, Denmark and Iceland, in line
   with the Company's strategy to assure state-of-the-art service
   and support to customers from one source.

New software and products launched

   Datacolor continued to invest substantially in the development of
   new products, in particular a cloud-based Software-as-a-Service
   (SaaS) offering for Datacolor industrial products that supports
   customers in efficient data exchange, Big Data analytics and
   increased process flexibility. Thanks to the recent acquisition
   of matchmycolor Datacolor further strengthened its capabilities
   in software development and introduction of SaaS solutions.

   For the consumer market Datacolor introduced its next generation
   monitor color calibrators Spyder X2 Elite and the Spyder X2
   Ultra. Datacolor Spyder X2 Elite enables effective color
   calibration in less than two minutes with an even clearer user
   interface and advanced calibration features. With expanded sensor
   capabilities, Spyder X2 Ultra allows for calibration of
   HDR/high-brightness monitors making it ideal for photo, video and
   hybrid use, as well as for viewing HDR/high-brightness content on
   computer-connected TVs and projectors. Furthermore, Datacolor
   launched Spyder Checkr Video, a pocket-sized color reference tool
   that works with a variety of professional video equipment and
   editing software solutions to ensure accurate video color and
   exposure. Spyder Checkr Video offers the ability to quickly and
   precisely color calibrate one or more camera and lens
   combinations, ensuring color accuracy at the start of shooting,
   streamlining the post-production workflow for a seamless video
   editing experience.

Sound balance sheet

   At the end of fiscal 2022/23, Datacolor AG had total assets of
   USD 95.6 million (9/30/2022: USD 81.3 million), significantly
   higher than the previous year. The increase in total assets is
   mainly driven by the intangible assets from the acquisition of
   matchmycolor. Net cash including financial assets amounted to USD
   42.7 million (9/30/2022: USD 43.7 million). Accounts receivable
   amounted to USD 9.3 million (9/30/2022: USD 11.0 million). After
   prior year's considerable increase in inventories, inventory
   levels decreased slightly in the reporting period and
   corresponded to USD 12.4 million at the end of fiscal 2022/23
   (9/30/2022: USD 13.0 million) . Datacolor remains debt-free and
   has a solid equity ratio of 59.5% (9/30/2022: 58.8%).

Datacolor AG

   The holding company Datacolor AG posted a profit of CHF 4.6
   million in fiscal 2022/23 (fiscal 2021/22: CHF 4.3 million).
   After payment of the dividend of CHF 3.2 million for fiscal
   2021/22, Datacolor AG had shareholders's equity of CHF 13.8
   million on the reporting date September 30, 2022 (9/30/2022: CHF
   12.9 million). For fiscal 2022/23, the Board of Directors
   proposes no dividend distribution to the Annual General Meeting
   of Datacolor AG on December 7, 2023.

Public tender offer for the shares of Datacolor AG

   On July 3, 2023, the Chairman of the Board of Directors of
   Datacolor, Werner Dubach, announced a voluntary public tender
   offer to purchase all publicly-held shares of Datacolor AG. With
   the tender offer, which was unanimously supported by the
   independent members of Datacolor's Board of Directors, Werner
   Dubach enabled Datacolor's shareholders to sell their Datacolor
   shares, which were only thinly traded, at a fair price without
   taking the risk of causing above-average price volatility. The
   public tender offer was widely accepted and Werner Dubach
   announced the successful closing on October 16, 2023.

Outlook

   In the course of the tender offer Werner Dubach and Datacolor AG
   communicated the intention to delist the shares of Datacolor AG
   after the successful closing of the transaction. Following a
   delisting of the Datacolor shares, Datacolor, one of the leading
   international companies in the color management sector,  will
   continue to strengthen and expand its market position.
   Furthermore, Datacolor's organic growth is to be supported by
   future acquisitions.

The complete Annual Report 2022/23 is available on:

https://ir.datacolor.com/en/financial-reports/

Rotkreuz, November 17, 2023

For further information


T +41 44 488 40 19

Datacolor AG, Investor Relations, Olga Wueschner

https://ir.datacolor.com/en/

Grundstrasse 12, 6343 Rotkreuz



Agenda


December 7, 2023

Annual General Meeting of Shareholders 2022/23

May 7, 2024

Publication Semi-Annual Report 2023/24

October 29, 2024

Publication Key Figures 2023/24

November 19, 2024

Publication Annual Report 2023/24

December 10, 2024

Annual General Meeting of Shareholders 2023/24

   About Datacolor
   Datacolor, a global leader in color management solutions,
   provides software, instruments and services to assure accurate
   color of materials, products and images. The world's leading
   brands, manufacturers and creative professionals have used
   Datacolor's innovative solutions to consistently achieve the
   right color for over 50 years. The company provides sales,
   service and support in over 100 countries throughout Europe, the
   Americas and Asia. Datacolor's customers stem from textile and
   apparel, paint and coatings, and plastics industries as well as
   the growing consumer market. For more information
   visit www.datacolor.com.

   Additional features:
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   End of Inside Information
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   Language:    English
   Company:     Datacolor AG
                Grundstrasse 12+14
                6343 Rotkreuz
                Switzerland
   ISIN:        CH0008531045
   Valor:       850494
   Listed:      SIX Swiss Exchange
   EQS News ID: 1775575

   End of Announcement EQS News Service
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1775575 17-Nov-2023 CET/CEST