Nabaltec AG's revenues slightly higher than last year's record high and earnings forecast confirmed, according to preliminary figures

- Revenues up slightly, to EUR 129.2 million;

- weaker economy slows growth in the second half of the year;

- strong start in 2013.

Schwandorf, 1 March 2013 - According to preliminary data, Nabaltec AG's results in 2012 were just as strong as last year's. Despite the fact that the economic environment became increasingly difficult as the year went on, the company's revenues were slightly higher than last year's record high, as revenues climbed to EUR 129.2 million from EUR 129.0 million in 2011. The operating result (EBIT) fell by 18.7%, to EUR 10.0 million, earnings per share fell to EUR 0.26 and shareholders' equity was up 1.3%, to EUR 47.5 million. Gerhard Witzany, member of the Board of Nabaltec AG, stated as follows: 'As was the case the year before, we had a very strong first half in 2012, but the worsening economic environment in the third and especially the fourth quarter really slowed us down. While results were not entirely consistent with our expectations, we were able to meet our most recent revenue and earnings forecasts.'

In general, there was a shift in revenues in 2012 away from the business division 'Technical Ceramics' and towards the business division 'Functional Fillers'. Revenues in the business division 'Functional Fillers' were a record-high EUR 89.9 million in 2012, up 6.0% from the year before (2011: EUR 84.8 million). This improvement is attributable to a higher sales volume and a greater focus on high value-added product segments like high-quality fine precipitated hydroxides, which are used e.g. as eco-friendly flame retardants in plastics and cables. The company's US subsidiary, Nashtec, was able to strengthen its position in the market.
On the other hand, revenues in the business division 'Technical Ceramics', which serves e.g. the refractory industry and, indirectly, the steel industry, fell by 11.1% in 2012, from EUR 44.2 million to EUR 39.3 million.
The export ratio increased to 69.0%, from 68.4% in 2011.

Like the revenue trend, the earnings trend was also different in the company's two business divisions. In the business division 'Functional Fillers', earnings before interest, taxes, depreciation and amortization (EBITDA) improved by 9.7% in the reporting year, from EUR 13.4 million to EUR 14.7 million. However, this earnings growth was unable to offset the loss in the business division 'Technical Ceramics', where EBITDA fell by 41.4%, to EUR 4.1 million, due to falling revenues. Overall, EBITDA fell by 7.8%, from EUR 20.4 million to EUR 18.8 million.

Operating cash flow increased by 58.1% over the year before, from EUR 13.6 million to EUR 21.5 million. Accordingly, Nabaltec's operating capacity is constantly being demonstrated, and it will continue to reduce its debt in 2013 as well.

The company is off to a strong start in 2013. The clear sense of caution among the company's customers, which was especially tangible in the fourth quarter, along with a deliberate reduction in inventories, subsided in January, although customers are continuing to rely primarily on short-term orders. Johannes Heckmann, member of the Board of Nabaltec AG: 'In the first weeks of 2013, it was clearly demonstrated once again that the reticence among our customers which prevailed at the end of 2012 especially was just a temporary phenomenon. We see intact markets and market drivers and we therefore plan focus more on growth in 2013. Provided the economy does not get any worse, we expect revenue growth in the mid-single digits and an EBIT margin in line with last year's margin.'

About Nabaltec AG:
Nabaltec AG, with registered office in Schwandorf, a chemicals business which has received multiple awards for innovativeness, manufactures, develops and distributes highly specialized products based on aluminum hydroxide ('ATH') and aluminum oxide, as well as other raw materials, on an industrial scale through its 'Functional Fillers' and 'Technical Ceramics' divisions. The company's product range includes halogen-free flame retardant fillers and eco-friendly additives for the plastics industry. Flame retardant fillers are used e.g. in cables in tunnels, airports, high-rise buildings and electronic devices, while additives replace stabilizers containing heavy metals in PVC processing. Nabaltecalso produces base materials for use in technical ceramics, the refractory industry and catalysis. Unlike halogenated flame retardant fillers, the products manufactured by the company's 'Functional Fillers' division contain no hazardous substances and do not require separate disposal. Rather, the company's flame retardant fillers actually decrease the development of fumes hazardous to human health and the environment in the event of fire. Nabaltec maintains production sites in Germany and the US and plans to continue to consolidate its market position by expanding capacity, further optimizing processes and quality and making strategic extensions to its product range. On the strength of its specialty products, the company strives to attain the market leadership in each segment.

Contact:
Heidi Wiendl

Nabaltec AG 

Phone: +49 9431 53-202 

Fax: +49 9431 53-260 

E-mail: InvestorRelations@nabaltec.de

Frank Ostermair

Better Orange IR & HV AG

Phone: +49 89 8896906-14

Fax: +49 89 8896906-66

E-mail: frank.ostermair@better-orange.de