HOLOGRAM INDUSTRIES : Hologram. Industries :2012: 13% Revenue Growth Ebit Margin up 34% 2013: Strong Continuing Growth

Regulatory News:

Hologram. Industries (Paris:HOL):

Consolidated data (? millions)				H1-12				H2-12				2012				2011				Change
Consolidated sales revenue				22.5				26.4				48.9				43.1				+13%
Current operating income (EBIT)				5.0				5.8				10.8				8.1				34%
EBIT margin				22.3%				22.0%				22.1%				18.7%
Net income attributable to the Group				3.0				3.4				6.4				4.9				32%
Net margin				13.3%				13.1%				13.2%				11.3%

• Sustained sales momentum

Hologram. Industries had strong revenue growth in 2012 of 13% despite a substantial drop in brand protection (-34%) from significantly lower sales with Motorola.

This performance was in consequence largely driven by identity documents (+22%) and particularly robust gains for fiduciary documents (+53 %) in the period.

The Group maintained strong commercial momentum with ?7.1 million in new business in FY 2012, up from ?5.1 million in 2011 (?3.0 million in 2010), growing more than twofold in two years.

• EBIT margin above 20%

For the full year, the consolidated gross margin as a percentage of sales was 83.9%, up from with 83.3% in 2011.

Current operating income (EBIT) rose sharply (34%) to ?10.8 million from ?8.1 million in 2011 resulting in an EBIT margin of 22.1%. This positive trend was in large part sustained by continuing growth in business volumes.

This result includes a ?0.5 million foreign exchange gain compared with an unrealized foreign exchange loss of ?0.3 million in 2011.

Net income came to ?6.4 million, up from ?4.9 million in 2011 or net earnings per share of ?1.26 compared with ?0.95 per share in the prior year. On this basis, the net margin was 13.2%.

At December 31, 2012, equity amounted to ?32.2 million for total assets of ?64.4 million. At year-end, the Group had net cash of ?2.5 million (compared with net debt of ?0.1 million at December 31, 2011)

• Outlook: continuing growth with an operating margin remaining high

With recurrent business accounting for the major share of existing sales, and based on projected volume for new business, in particular with accelerating contributions from growth drivers, the Group expects another year of double-digit growth with an operating margin above 20%.

Bolstered by this momentum, Hologram. Industries plans to acquire a new 54,000 sq. ft. (5,000 m²) production plant at the Bussy Saint-Georges site. This acquisition will increase production space nearly twofold by the end of 2013 to keep pace with continuing strong growth over the medium term. On that basis, the Group maintains its target to reach the revenue milestone of ?75 million by 2015.

• Dividend

Based on profit margins for the fiscal year, Hologram. Industries will propose at the next Annual General Meeting of the Shareholders the payment of a dividend of ?0.40 per share representing a payout ratio of 30%.

Upcoming events:

Q1-2013 revenue: Tuesday, April 16, 2013
(after the close of NYSE-Euronext Paris)

Annual General Meeting: Thursday, 25 April 2013 at 9:30 a.m.

Hologram. Industries is a provider of high security anti-counterfeiting solutions for:
- Identity documents
- Vehicle documents
- Brand products
- Fiduciary documents;
- Identifying and searching for illicit digital content
In 2012 the Group had sales of ?49 million. The expertise of Hologram. Industries is based on three major technology areas: optics, material sciences and computing.

www.hologram-industries.com

Euronext Paris- ISIN code: FR0000062168

Financial communications
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Laurence Costes, Tel.: + 33 1 41 22 90 95
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Kablé Communication
Nolwenn Salaün, [phone]
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Investor relations
Hologram. Industries
Grégory Wagemans, + 33 1 64 76 31 00
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