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Innovators in image processing. Martin De Prycker President & CEO JP Tanghe VP Corp. Comm & Inv. Rel. BarcoProjection: large screen visualization BarcoView: visualization for life critical decision-making BarcoVision: visual inspection and quality control. BARCO world leader in.
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Innovators in image processing Martin De Prycker President & CEO JP Tanghe VP Corp. Comm & Inv. Rel
BarcoProjection: large screen visualization BarcoView: visualization for life critical decision-making BarcoVision: visual inspection and quality control BARCO world leader in IMAGE PROCESSING for professional markets 2001 (Pro Forma)
Technological evolution at BARCO • Evolution from stand alone products to systems focusing on vertical markets • Control rooms • Simulation • Media and Entertainment • Medical Imaging • Air Traffic Control • Military Imaging • Strong R&D basis to remain technology leader
BARCO’s leading edge technology in vertical markets markets …… technologies
Control Rooms • Expansion of application markets from Telecom and Utilities towards Broadcast, Traffic, Surveillance and IntelliRoom • Worldwide leader with 43% of market Control Rooms
Simulation and Virtual & Augmented Reality • Simulation • Applications for pilot training, ship navigation, train drivers • V&AR • Design in automotive market, oil & gas market (test drilling), edutainment (leisure parks, planetariums, museums, …) Simulation
Media & Events • Has become one of the two market leaders over a two years’ period • Events: supplier of the top Rental & Staging companies of the world • Media: introducing digital signage, a revolution in advertising LED Wall for Coca Cola on Piccadilly Circus in London
BarcoProjection: BCI • Market with a huge potential of ±115.000 theaters worldwide but Digital Cinema market still waiting for a business model acceptable by all actors in this market • Increasing number of agreements signed with Cinema theater equipment dealers • Regular “individual” sales of Digital Cinema projectors • 1st quantity buy by Boeing Digital Cinema Digital Cinema Digital Cinema
Air Traffic Control (BarcoView) • Isis turning into commercial success as anticipated at introduction mid 2001 in Europe • Now also breaking through in Asia and US • Replacement market of some 12,000 work stations worldwide Isis
Security & Defense (BarcoView) Visualization sub-systems that can be used in a variety of reconnaissance, surveillance and intelligence gathering Vista 1000 Vista 1000 rugged workstation for C4I applications
Medical Imaging (BarcoView) • Significant market share in PACS (Picture Archiving and Communication Systems) • To be continued and strengthened by recent introduction of flat panel LCD Coronis Coronis
Sensors & Systems (BarcoVision) • Fully integrated CIM systems for textile and plastics manufacturing • Sensors for quality control on spinning machine and weaving loom Cyclops
BARCO’s future • Focus on image processing technologies and markets to reap benefits of markets and technology synergies • Strong technology advantages in key technologies • Good market knowledge in vertical markets • Strong financial structure to finance internal growth and acquisitions • Ready to further streamline its operations with renewed internal processes to improve EPS • Aiming at a P/E ratio in line with its position as a profit making company in a growing market
Innovators in image processing Results first quarter 2002
2001 Sales & EBIT per quarterexcl. Barco Graphicsincl. dotrix n.v. 14.2% 9.4% 6.4% 1.4% In € mio
Achievements 1Q02 Orders: € 167.5 mio Sales: € 152.2 mio EBIT: € 9.7 mio Inventory: reduced by 10% since end ‘01 net cash position: improved by € 40 mio
Expectations 2Q02 & 1H02 Increase in sales 2Q02 by approximately 15% compared to 1Q02 Further reduction of operational costs Increase in EBIT % to double digit
Expectations 2H02 Sales: slight increase vs 1H02 EBIT: increase through further cost reduction Inventory: a further reduction by 10% by end 2002
Positive factors impacting BARCO results • strong growth in media and events both in projectors and LEDs • gradual start of the DC market • the only supplier of 2Kx2K LCD display for ATC market winning main markets • regaining market share in medical market with flat panel LCD
Negative factors impacting BARCO results • Control Rooms suffers from telecom crisis • temporary stop in growth of military market because of active warfare • some difficulties with some suppliers in delivery of critical components