Leica Geosystems has announced that its revenues grew by 23% in fiscal year 2001/02, of which 21% came from acquisitions. With sales of CHF 790.2 million, and EBITDA of CHF 97.3 million, the Company met its previously announced sales and earnings estimates for the year. The Company’s sales growth stems from the strong 10.9% organic growth in its core surveying business, as well as revenues from the companies it acquired during the last twelve months. The Company said that it had made significant improvements in its balance sheet over the prior quarter, generated operating cash flow of CHF 72.8 million during the year, and lowered its net borrowing position by CHF 38 million, or 14%, from a post-acquisition high in the first quarter. Leica Geosystems further announced that in the fourth quarter it had written off CHF 58 million in goodwill from its Cyra acquisition. The Company had pre-announced to the market in its Third Quarter earnings release that a write-off of a “significant” portion of this goodwill was likely. Additionally, Leica Geosystems recorded restructuring charges in the fourth quarter of CHF 4.7 million in conjunction with its “FIT-Together” initiative. Including these two non-recurring charges, the Company recorded a net loss of CHF (55.3) million, or CHF (24.67) per share, for the year. Excluding these charges, Leica Geosystems would have recorded Net Income of CHF 7.4 million, compared to a Net Loss of CHF (8.0) million in the prior year.
Market leader in the GIS & Mapping Sector
Through its strategic acquisition program, Leica Geosystems has become the leader in the rapidly expanding GIS & Mapping markets. For the acquisitions of the remote sensing and software firms ERDAS and LH Systems, Leica Geosystems recently received the distinguished Frost & Sullivan “Merger & Acquisitions Strategy Award 2002”. The Company’s GIS & Mapping division generated CHF 113 million in sales this fiscal year, exceeding expectations. The division has made continual progress in its profitability since the second quarter, and recorded EBITDA of CHF 10.5 million for the full year. The Company continues to leverage synergies from its four businesses that comprise its operations and has recently centralized its headquarters in Atlanta, Georgia.