DGAP-News: Highlight Communications AG

DGAP-News: 2Q2016: Highlight Group with significant improvement after six months

DGAP-News: Highlight Communications AG / Key word(s): Half Year Results 2Q2016: Highlight Group with significant improvement after six months

10.08.2016 / 17:44 The issuer is solely responsible for the content of this announcement.

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In the first half of 2016, the Highlight Group generated sales and earnings significantly higher than the comparative figures for the previous year:

- Consolidated sales rise by 63.0% to CHF 206.5 million

- EBIT almost doubled from CHF 7.2 million to CHF 13.9 million

- Net profit for the period improves more than proportionately from CHF 0.6 million to CHF 8.1 million

- Earnings per share increase from CHF 0.02 to CHF 0.19

Group development in the first half of 2016

- Consolidated sales of CHF 206.5 million exceeded the previous year's figure (CHF 126.7 million) by 63.0%. Both the Film segment (+72.2%) and the Sports- and Event-Marketing segment (+33.0%) contributed to this increase.

- The rise in the Film segment was based firstly on extremely good sales figures of the box-office hits "Fack Ju Göhte 2" and "Look Who's Back" in home entertainment marketing. Secondly, the TV series "Shadowhunters", which the Constantin Film Group produced for the US network Freeform, began broadcasting.

- The sales increase in the Sports- and Event-Marketing segment was due to the higher agency commissions that the TEAM Group generated as a result of the successful marketing of rights for the UEFA club competitions (2015/16 to 2017/18 seasons).

- Consolidated operating expenses rose by CHF 106.8 million to CHF 258.6 million, after CHF 151.8 million in the first half of 2015. This was primarily due to a rise in the cost of materials and licenses in connection with productions and significantly higher amortization and impairment on film assets.

- EBIT increased from CHF 7.2 million to CHF 13.9 million, representing an improvement of 93.1%.

- Consolidated net profit for the period increased from CHF 0.6 million to CHF 8.1 million, of which CHF 8.2 million was attributable to Highlight shareholders (previous year's period: CHF 0.8 million). Earnings per share therefore rose from CHF 0.02 to CHF 0.19.

- Consolidated equity (including non-controlling interests) totaled CHF 93.4 million as of the end of the first half of 2016. The decline of CHF 10.4 million as against December 31, 2015 essentially results from the acquisition of treasury stock.

- Net liquidity amounted to CHF 26.7 million - an increase of CHF 24.6 million as against year-end 2015.

The German interim report as of June 30, 2016 will be available for download at www.highlight-communications.ch starting from today, and the English version from August 15, 2016 at the latest.



Highlight Group at a glance Group figures according to IFRS

in CHF million 2Q2016 2Q2015 Change in % Sales 206.5 126.7 63.0 EBIT 13.9 7.2 93.1 Net profit for the period 8.1 0.6 1,250.0 Net profit attributable 8.2 0.8 925.0 to shareholders Earnings per share (in 0.19 0.02 850.0 CHF) Segment sales Film 176.9 102.7 72.2 Sports- and Event- 29.4 22.1 33.0 Marketing Other Business Activities 0.2 1.8 -88.9 Segment result Film 0.8 0.9 -11.1 Sports- and Event- 12.8 9.7 32.0 Marketing Other Business Activities 2.7 -0.6 550.0

in CHF million June 30, 2016 Dec. 31, 2015 Change in % Balance sheet total 366.7 458.0 -19.9 Equity 93.4 103.8 -10.0 Equity ratio (%) 25.5 22.7 2.8 points Current financial 83.8 104.3 -19.7 liabilities Cash and cash equivalents 110.6 106.4 3.9

For more information:

Highlight Communications AG Investor Relations Netzibodenstrasse 23b 4133 Pratteln BL, Switzerland Phone: +41 (0)61 816 96 91 E-mail: ir@hlcom.ch



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10.08.2016 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de

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Language: English Company: Highlight Communications AG Netzibodenstrasse 23b 4133 Pratteln Switzerland Phone: +41 61 816 96 96 Fax: +41 61 816 67 67 E-mail: ir@hlcom.ch Internet: www.hlcom.ch ISIN: CH0006539198 WKN: 920299 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart End of News DGAP News Service ---------------------------------------------------------------------------

491241 10.08.2016