EQS-Adhoc: LifeWatch AG: 2015 revenue growth of 9.8% in core US cardiac monitoring business

EQS Group-Ad-hoc: LifeWatch AG / Key word(s): Preliminary Results LifeWatch AG: 2015 revenue growth of 9.8% in core US cardiac monitoring business

2016-01-29 / 19:00 Release of an ad hoc announcement pursuant to Art. 53 KR. The issuer is solely responsible for the content of this announcement.

LifeWatch grew revenues in its core US cardiac monitoring business by 9.8% in 2015

Zug/Switzerland, January 29, 2016 - LifeWatch AG (SIX Swiss Exchange: LIFE), a leading developer and provider of medical solutions and remote diagnostic monitoring services to the digital health market, today announces preliminary unaudited key figures for 2015.

LifeWatch increased revenues in its core US cardiac monitoring business by 9.8% in 2015. Total revenue grew by 8.2%, which is slightly below guidance, as a result of lower than expected device sales from the Far East and delays of FDA regulatory clearances for its patch products, one of which received FDA clearance earlier this month.

Based on preliminary unaudited numbers, LifeWatch expects an EBITDA margin, after adjusting for one-off and unplanned events, of approximately 14%, which is at the level indicated in its guidance. On an unadjusted basis, the EBITDA margin is expected to be around 12%. Delays in the FDA clearance of our ACT software for the Android operating system, which caused additional purchases of more costly phones, as well as the refocusing of customer service activities in the USA, resulted in additional costs leading to an expected adjusted EBIT margin of between 6% and 7%, which is below guidance. On an unadjusted basis the EBIT margin is expected to be between 4% and 5%. The establishment of our new business in Turkey and the write-off of our remaining LifeWatch V inventory and components resulted in a one-off cost of around USD 2 million.

Dr. Stephan Rietiker, CEO of LifeWatch, stated: "Despite unexpected delays in obtaining FDA product clearances, 2015 was a very successful year for LifeWatch. Revenue growth was significantly above the market and adjusted EBITDA of over USD 14 million was the second best in the history of the company. We remain positive for 2016, particularly given the recent FDA clearance and CE Mark for our Mobile Cardiac Telemetry 1-Lead patch and expect double-digit revenue growth and improving EBIT and EBITDA margins in 2016 and beyond."

LifeWatch will provide detailed information on its 2015 results on March 17, 2016.

For further questions:

LifeWatch AG c/o Dynamics Group, Philippe Blangey / Doris Rudischhauser Phone: +41 43 268 32 35 / +41 79 410 81 88 E-mail: investor-relations@lifewatch.com

About LifeWatch AG: LifeWatch AG, headquartered in Zug and listed on SIX Swiss Exchange (LIFE), Switzerland, is a leading healthcare technology and solution company, specializing in advanced digital health systems and wireless remote diagnostic patient monitoring services. LifeWatch's services provide physicians with critical information to determine appropriate treatment and thereby improve patient outcomes. LifeWatch AG has operative subsidiaries in the United States, in Switzerland and in Israel, and is the parent company of LifeWatch Services Inc., and LifeWatch Technologies, Ltd. LifeWatch Services, Inc. is a leading U.S.-based provider of cardiac monitoring services and home sleep testing of Obstructive Sleep Apnea (OSA). LifeWatch Technologies Ltd., based in Israel, is a leading developer and manufacturer of telemedicine products. For additional information, please visit www.lifewatch.com.

Sign up for customized e-mail alerts and documentation requests at http://www.irlifewatch.com/alert-service.aspx

This press release includes forward-looking statements. All statements other than statements of historical facts contained in this press release, including statements regarding future results of operations and financial position, the business strategy, and plans and objectives for future operations, are forward-looking statements. The words "believe," "may," "will," "estimate," "continue," "anticipate," "intend," "expect" and similar expressions are intended to identify forward-looking statements. LifeWatch AG has based these forward-looking statements largely on current expectations and projections about future events and financial trends that it believes may affect the financial condition, results of operations, business strategy, short-term and long-term business operations and objectives, and financial needs. These forward-looking statements are subject to a number of risks, uncertainties and assumptions. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances described may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. All forward-looking statements are based only on data available to LifeWatch AG at the time of the issue of this press release. LifeWatch AG does not undertake any obligation to update any forward-looking statements contained in this press release as a result of new information, future events or otherwise.

THIS PRESS RELEASE IS NOT BEING ISSUED IN THE UNITED STATES OF AMERICA AND SHOULD NOT BE DISTRIBUTED TO UNITED STATES PERSONS OR PUBLICATIONS WITH A GENERAL CIRCULATION IN THE UNITED STATES. THIS PRESS RELEASE DOES NOT CONSTITUTE AN OFFER OF SECURITIES OF LIFEWATCH AG OR ANY OF ITS SUBSIDIARIES FOR SALE IN THE UNITED STATES, OR AN INVITATION TO SUBSCRIBE FOR OR PURCHASE ANY SECURITIES OF LIFEWATCH AG OR ITS SUBSIDIARIES IN THE UNITED STATES. IN ADDITION, THE SECURITIES OF LIFEWATCH AG AND ITS SUBSIDIARIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES LAWS AND MAY NOT BE OFFERED, SOLD OR DELIVERED WITHIN THE UNITED STATES OR TO U.S. PERSONS ABSENT FROM REGISTRATION UNDER OR AN APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE UNITED STATES SECURITIES LAWS. ANY PUBLIC OFFERING OF SECURITIES TO BE MADE IN THE UNITED STATES WILL BE MADE BY MEANS OF A PROSPECTUS THAT MAY BE OBTAINED FROM LIFEWATCH AG OR ITS SUBSIDIARIES, AS APPLICABLE, AND WILL CONTAIN DETAILED INFORMATION ABOUT THE ISSUER AND ITS MANAGEMENT AS WELL AS FINANCIAL STATEMENTS OF THE ISSUER.

End of ad hoc announcement

+++++ Additional features:

Document: http://n.eqs.com/c/fncls.ssp?u=AJJADHHYFG Document title: LifeWatch grew revenues in its core US cardiac monitoring business by 9.8% in 2015

2016-01-29 News transmitted by EQS Schweiz AG. www.eqs.com - news archive: http://switzerland.eqs.com/de/News

The issuer is responsible for the contents of the release. Language: English Company: LifeWatch AG Baarerstrasse 139 6300 Zug Switzerland Phone: +41 41 728 67 78 Internet: www.lifewatch.com ISIN: CH0012815459 Valor: 811189 Listed: Regulated Unofficial Market in Berlin, Stuttgart; Open Market in Frankfurt ; SIX

End of News EQS Group News Service 433293 2016-01-29

(END) Dow Jones Newswires

   January 29, 2016 13:00 ET (18:00 GMT)- - 01 00 PM EST 01-29-16