Aap Implantate : updates forecast for financial year 2015 due to delays in sales development in strategic trauma markets and in project deals in the biomaterials business more

aapupdates forecast for financial year 2015 due to delays in sales development in strategic trauma markets and in project deals in the biomaterials busines

aapImplantate AG (XETRA: AAQ.DE) announces that it will not achieve the sales and EBITDA targets it has forecasted for financial year 2015. The reasons for this adjustment are mainly delays in trauma sales development in a number of strategic growth markets (China, Russia and Turkey) due to deteriorated economic framework conditions and in the US market entry due to protracted administrative processes in hospitals as well as uncertainties in respect of product approval in Brazil. Furthermore, as a result of mergers and acquisitions in the global orthopaedic industry and the related priorities set by decision makers, delays have occurred in concluding pending project deals in the biomaterials business.

Against the background of these developments aapImplantate AG adjusts its forecast for financial year 2015 and now anticipates sales between EUR 27.5 million and EUR 31.5 million and an EBITDA of EUR -1.5 million to EUR 1.0 million.

In respect of the outlook for the upcoming financial year and beyond, the Management Board is nonetheless convinced that with the sales activities already under way in the United States and Europe the growth story with a 5-year CAGR of 20% in the trauma business is intact. The growth drivers are the LOQTEQ® product portfolio and the silver coating technology. In addition, the company is intensifying the already existing measures to improve profitability and efficiency.

From 2016 on, the US will become one of the core markets in the company's growth strategy. In this strategic market aapImplantate AG has already carried out first procedures with its LOQTEQ® products in various hospitals and has generated first sales.

In the silver coating technology area the company has achieved substantial progress in the course of the financial year. It includes to a large extent the accomplishment of extensive animal studies, that are an important basis for product approval. On the basis of the current state of development and subject to the results of current consultations with the approval authorities the company still plans to submit its CE approval application this financial year. The approval process with the US Food and Drug Administration (FDA) is expected to be launched subsequently.

The transformation of aapImplantate AG into a focused trauma company remains a core objective of our strategic direction.

In January 2016 we will provide in a separate release an initial outlook for the financial year 2016 and the first quarter of 2016.

This release contains forward-looking statements based on current experience, estimates and projections of the management board and currently available information. They are not guarantees of future performance. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. Many factors could cause the actual results, performance or achievements of aapto be materially different from those that may be expressed or implied by such statements. These factors include those discussed in aap's public reports. Forward-looking statements therefore speak only as of the date they are made. aapdoes not assume any obligation to update the forward-looking statements contained in this release or to conform them to future events or developments