Munich, 04.03.2004 – COMPUTERLINKS AG had a very successful end to the year 2003 resulting in Group turnover of 176.0 million Euro, an increase of 6.2% (165.8 million in the same period last year). Based on the same exchange rate (GBP/Euro) as in the previous year, group turnover in 2003 would have reached 182.8 million Euro (+ 10.3%). Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased to
11.0 million Euro compared to 10.2 million Euro last year (+7.9%). Adjusted to take account of the change in exchange rate (GBP/Euro) EBITDA would have been 11.4 million Euro. Earnings before interest and tax (EBIT) showed a profit of 9.4 million Euro in 2003 after a loss of –71.0 million Euro in 2002. The net income for the year 2003 was 5.8 million Euro (previous year: -74.4 million Euro). Earnings per share stood at 0.98 Euro (previous year: -12.70 Euro).

The strong, sustained movement in cash flow produced cash and cash equivalents of 16.1 million Euro at the end of 2003 (31st December 2002: 11.1 million Euro). By contrast there are no bank loans or overdrafts. The Management Board and the Supervisory Board are proposing to the General Meeting that a dividend of 0.34 Euro per share be distributed for 2003. This will result in an outflow of cash funds of 2 million Euro in 2004.

The breakdown of group turnover by country is as follows: 78.0 million Euro were produced in Germany, 67.6 million Euro in the UK, 14.2 million Euro in France, 13.8 million Euro in Switzerland and 2.4 million Euro in Italy. As in the previous year the e-security division was the most important growth engine, which in a year-on-year comparison increased by 16.5% from 115.6 million Euro to 134.6 million Euro in 2003 and therefore contributed 76.5% to sales revenues.

Gross profit was 33.6 million Euro in 2003, compared to 34.0 million Euro in 2002. Gross margins declined from 20.5% in 2002 to 19.1% in 2003 in particular as a result of larger projects concluded in the fourth quarter with lower margins on average. It has again been possible to reduce personnel costs and other operating expenses – less other operating income - in relation to turnover from 14.4% to 12.9% in 2003.

Stephan Link, founder and CEO of COMPUTERLINKS AG stated: “Our successful business model is reaffirmed by the increase in turnover and also the significant improvement in performance combined with our extremely sound financial and equity structure. We feel optimistic about 2004 as a result of our presence in eight European countries, an attractive product portfolio and a strong and highly motivated team. Furthermore the admission of the company to the NEMAX50 on 22nd March 2004 bears testimony to the confidence of the financial markets in COMPUTERLINKS AG”.

********************************************
At a glance (in million Euro):