EANS-Adhoc: KTM AG / Strong growth in the first quarter of 2012

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3-month report

24.05.2012

» Sales: 19,408 vehicles / +29.9%
» Turnover: EUR 135.7 million / +13.5%
» Market share: 6.5% (+16.1%) in Europe and 3.2% (+23.1%) in the USA
» Successful issue of EUR 85 million bond

Mattighofen, May 24th, 2012

Increase in turnover to EUR 135.7 million (+13.5 % compared to
previous year); sales 19,408 vehicles (+29.9 % compared to previous
year)

Despite a still restrictive market environment - the total European
market declined by 8.6% compared to previous year - KTM achieved to
increase both sales and turnover considerably. The decrease on the
overall European market is primarily related to the development in
the largest European markets such as Spain (-30.2 %), Italy (-24.4 %)
and France (-4.3 %). In contrast, the overall US-market developed
slightly positive with 5.2 % compared to previous year.

KTM managed to increase turnover to EUR 135.7 million (+13.5 %
compared to previous year). Sales increased by even 29.9 % compared
to previous year to 19,408 vehicles. As a result, the European market
share rose by 16.1 % to 6.5 % and the US market share by 23.1 % to
3.2 %.

In the first quarter of 2012 KTM achieved an EBIT of EUR 1.4 million,
including expenses for the product launch of the new Duke 690 and the
Freeride 350 as well as expenses for developing emerging markets in
Southeast Asia. EBITDA amounted to EUR 9.8 million (+2.1 % compared
to previous year).

"Crucial for these enormous increases were the successful launches in
the street segment (Duke 690) and offroad segment (Freeride 350) as
well as the continuing strong demand for the street model Duke 125
developed in cooperation with Bajaj", explains Stefan Pierer,
Chairman of the Executive Board of KTM AG.

Successful issue of EUR 85 million bond

In April a bond with a volume of EUR 85 million was issued
successfully. Together with the planned capital increase of EUR 8.4
million KTM secured a stable long-term financing structure for the
next 5 years.

Outlook

Due to the Euro crisis the declining development on the European
market is expected to continue. In contrast, the US market shows a
stable respectively slightly positive development.

By launching new models KTM consequently follows a global product
strategy and expansion into Asian markets.

Under these circumstances KTM expects further increases in sales and
turnover for 2012.

Key figures

Q1 2012 Q1 2011 +/-
Sales units 19,408 14,939 +29.9%
Turnover mio. EUR 135.7 119.6 +16.1
EBITDA mio. EUR 9.8 9.6 +0.2
EBIT mio. EUR 1.4 1.4 +0.0
Net profit after taxes mio. EUR -0.4 0.2 -0.6

Further inquiry note:
KTM AG
Mag. Viktor Sigl MBA
Tel: +43 7742 6000 144
Mail to: viktor.sigl@ktm.at

end of announcement euro adhoc
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issuer: KTM AG
Stallhofnerstraße 3
A-5230 Mattighofen
phone: +43(0)7742/6000-0
FAX: +43(0)7742/6000-5216
mail: ir@ktmpowersports.com
WWW: www.ktm.com
sector: Technology
ISIN: AT0000645403
indexes: mid market
stockmarkets: official market: Wien
language: English