Regulated communication - Interim business progress report

Brussels - 18 November 2013 - In 2013, the Goods ID Division has focused its marketing and development efforts on 6 key solutions, which encapsulate the Group's new approach to goods identification. The fact that these new products and concepts continue to be well received by customers confirms the correctness of the company's strategic choice here.  While the full effect of this approach is expected to be felt only in 2014, given the longer sales cycles for this type of solution, the H2 2013 results should already show a significant improvement on those of the first half.

In People ID, 2103 has been rich in new contracts: Belgian driving licences, Belgian and Gambian passports, and biometric visas in West Africa. Such contracts tie up considerable resources, while the related revenue stream will not reach full flow until the second half of 2014. Business development also remains very strong, even if Zetes has not signed any short-term contracts in the second half of 2013, which means the division will be unable to repeat the performance of the second half of 2012.

By way of conclusion, in an economic environment that seems gradually to be improving, 2013 results will be better than those of 2012 in the Goods ID Division. Zetes will continue to invest significantly in its solutions, with the objective of winning additional leading references in 2014. By contrast, the People ID division will perform less well in 2013 than in 2012, even though, with the new long-term contracts, visibility on the medium-term earnings outlook has never been higher. Nevertheless, due to the temporary weakness in the results from People ID, EBITDA for 2013 is expected to decline slightly.

Financial calendar

  • Announcement of annual results for 2013: 20 March 2014
  • Publication of the 2013 Annual Report: 28 April 2014
  • General Meeting: 28 May 2014
  • Half year results: 29 August 2014