EANS-News: GESCO AG: First six months are on track

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Subtitle: - Recession pushes down sales and earnings, but GESCO
is clearly in the black
- Full year guidance confirmed
- Crisis seems to have bottomed out but future
developments still remain uncertain

Wuppertal (euro adhoc) - Wuppertal, 9 November 2009 - Most of the GESCO Group
companies felt the effects of the recession in the first six months (1 April to
30 September 2009) of the financial year 2009/2010 (1 April 2009 to 31 March
2010). Although some of the Group´s companies saw positive development, most of
the 14 operating subsidiaries suffered from the impacts of the massive economic
slump

The first six months of the financial year at GESCO Group encompass the months
April to September for GESCO AG and January to June for its subsidiaries. The
development of operating business therefore falls within the worst period of the
recession in Germany and many of the company´s export markets. Figures fell very
sharply compared to the same period in the previous year, as during that time
the Group still recorded record levels of incoming orders, sales and earnings

The Group reported incoming orders of EUR 116.2 million, much lower than in the
previous year (EUR 218.2 million). Sales revenue fell by 27.5 % to EUR 139.9
million (previous year: EUR 192.8 million). As expected, key earnings figures
suffered greater decreases than sales, as the previous year´s buoyant economy
allowed GESCO Group to make optimum use of its capacities and therefore spread
fixed costs. Earnings before interest, tax, depreciation and amortisation
(EBITDA) totalled EUR 13.3 million, compared to the same period in the previous
year (EUR 29.2 million). As depreciation and amortisation remained almost the
same, earnings before interest and tax (EBIT) dropped even more sharply to EUR
8.1 million (previous year: EUR 24.1 million). Group net income after minority
interests amounted to EUR 4.3 million (previous year: EUR 13.6 million), while
earnings per share pursuant to IFRS totalled EUR 1.42 (EUR 4.51).

Although GESCO Group´s income potential fell way below the record figures of the
previous year during the period under review, the company still managed to
remain in the black despite the serious recession.

Member of the GESCO Executive Board Dr. Hans-Gert Mayrose on the economic
development: "From September 2009, some of the subsidiaries record a slight
improvement, partly because many customers have to restock their empty stores.
It is our impression that the economic slump has bottomed out. However, future
development remains highly uncertain. It is difficult to forecast when the
economy will make a sustainable recovery. Although some indicators paint a
better picture than only three months ago, the situation in the mechanical
engineering industry remains rather difficult."

At its accounts press conference on 25 June 2009, the company forecast sales
between EUR 280 million and EUR 310 million, Group net income after minority
interests between EUR 7 million and EUR 10.5 million, and earnings per share
between EUR 2.31 and EUR 3.47 for the entire financial year of 2009/2010. The
company can confirm this forecast. According to present knowledge, the final
figures are likely to be somewhere in the middle of this range.

The interim report can be accessed at www.gesco.de.

About GESCO AG
GESCO AG is the parent company of a group of small and medium-sized industrial
companies. GESCO acquires successful, established niche providers, generally as
part of succession planning, in order to hold and develop them over the long
term. As an SDAX listed company GESCO AG offers private and institutional
investors access to SMEs.

Further inquiry note:
Oliver Vollbrecht
Leiter Investor Relations
T.: +49(0)202 24820 18
info@gesco.de
end of announcement euro adhoc
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issuer: GESCO AG
Döppersberg 19
D-42103 Wuppertal
phone: +49(0)202 24820 0
FAX: +49(0)202 24820 49
mail: info@gesco.de
WWW: http://www.gesco.de
sector: Economy, Business & Finance
ISIN: DE0005875900
indexes: SDAX, Classic All Share, Prime All Share
stockmarkets: regulated dealing/prime standard: Frankfurt, free trade: Berlin,
Hamburg, Stuttgart, Düsseldorf, München
language: English

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