artec NEWSLET Yours sincerely, Thomas Hoffmann Dear Shareholders, Business Partners and Friends, For further information go to

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1 Dear Shareholders, Business Partners and Friends, 2014 turned out to be an eventful and successful year for our company. In our relevant markets in Europe and the Middle East, we were able to increase our turnover significantly and at the same time set the course for further growth. The financial targets defined for 2014 have been fulfilled completely. Customer requirements as regard to system solutions have increased throughout the past years. We have prepared ourselves for this in time; in co-operation with our qualified sales partners, we provide a complete range of products and services offering the customer both sustainability and added value. The success is clearly visible: We were able to almost double our turnover already in the first quarter of the current fiscal year, compared with the equivalent prior year period. artec NEWSLET For 2015, we have set even more ambitious targets. The aboveaverage commitment and expertise of our employees, innovative products and the expansion of our sales activities will make sure that we will meet those targets. Yours sincerely, Thomas Hoffmann For further information go to

2 ++ artec News ++ Perfect start into 2015 for artec technologies AG + 30% revenue growth in New major order in the lower one digit million euro range + 50% growth projected Diepholz/Bremen March 10, 2015 According to the provisional figures, artec technologies AG (WKN ), manufacturer of innovative software and system solutions for the transmission, recording and evaluation of video, audio and meta data in networks and on the Internet, achieved a revenue of 2.4 million euros in the preceding business year 2014 and thus reached a growth rate of more than 30 percent. As conclusion for 2014 it can be stated that all targets were met. Next to the significant increase in revenue and the improvement of the company result, we managed to successfully finalize larger projects and to acquire new, renowned customers. Thanks to both the consistent product development and the intensified sales efforts, a solid basis for strong growth in 2015 has been created which has already become noticeable through a very dynamic number of incoming orders since the turn of the year. Next to the two already announced ground-breaking orders from the Gulf region, artec recently received another major order involving the delivery of a comprehensive video and audio recording system which will be integrated in the client's simulation training system. The order amounting to the lower one digit million euro range is supposed to be processed within the current and the coming year. The company result could also be improved significantly. However, details will be available only after the annual closing entries and will probably be announced on April 30th, together with the final figures. 2 artec News

3 artec NEWSLET CEO Thomas Hoffmann: "We see this order from the maritime sector as a confirmation of both our expertise and the high performance of our products, and we expect this project to open up completely new marketing opportunities." amounts to 1.15 million euros. Providing that all orders will properly be processed and that unexpected negative developments will hold off, the board of directors considers a revenue growth of 50 percent to be achievable for the total year Thanks to the successful order acquisition, it becomes apparent that the dynamic growth will continue in the current year. According to the current status, a turnover of 1 million euros should be within reach for the first quarter (previous year: 0.56 million euros); the current order book artec News 3

4 CABSAT 15 March 10th to March 12th, 2015 For meanwhile 21 years, the CABSAT in Dubai has established as an important conference and trade show for the broadcast sector - and yet the most important in the Arab world. This year, CABSAT took place in the Dubai World Trade Centre from March 10 to 12, For the first time, artec technologies AG also participated in CABSAT by presenting themselves on stand B2/10 of Tek Signals, the leading system integrator in this region. artec technologies AG used this trade show to give a live demo of XENTAURIX, l to r: Klaus Graumann (artec), Joseph Varghese (Director of Broadcast Department, Tek Signals), Tariq Raja (CEO of Tek Signals), Marco Müller (artec) their software successfully deployed in many media recording and IPTV streaming applications. Thomas Hoffmann (artec CEO) underlined: "The booming Arabic media market is currently one of the most important artec sales regions. We have already realized some major projects here and are pleased to have partnered with the renowned company Tek Signals for expanding the business." 4 Cabsat

5 artec visits Aspire Diepholz company wins TV recording system order artec NEWSLET In spring last year, we participated in an international tender from the Aspire Zone in Qatar. The tender covered a TV recording system for more than 100 TV channels in order to save and archive national and international sporting events over a longer period. The recordings are used by the academy affiliated to the Aspire Zone both for analysing sporting events and for discovering sports talents. The Aspire Academy is one of the largest training centres for athletes worldwide supporting the most talented athletes from the region to become top athletes. Football, table tennis, squash, fencing, track and field athletics and swimming are among those sports which are particularly fostered by the academy. During the tendering procedure in Q4/2014, the artec technologies AG successfully managed to prevail over the international competition - among which also two US world market leaders - and to win the contract. The project spans a time frame of several years. Next to the initial installation, the contracts also provides for an expansion, periodical maintenance and support services. View of a World Cup 2022 stadium under construction Product & Sales Manager Marco Müller and CEO Thomas Hoffmann in an Aspire indoor stadium artec visits Aspire 5

6 The new The new, even more powerful MULTIEYE-HYBRID BUSINESS real-time video recorder is equipped with a highly efficient grabber card allowing for a total recording rate of up to 960fps including 480fps for analog cameras. The BUSINESS Hybrid video recorders feature user-friendliness, functionality and cost-effectiveness and are able to simultaneously process analog and IP cameras. The basic model is equipped with 32 camera inputs of which 8 analog video inputs and 2 IP video inputs are activated. Further analog and / or IP inputs can be activated easily and effortlessly through software licenses at any time. video recorders The new MULTIEYE network video recorder type NET-NVRII is a powerful, state-of-the-art network video recorder featuring user-friendliness, functionality and cost-effectiveness. The NET-NVR is equipped with up to 32 IP video inputs of which 8 respectively 16 are activated, while the remaining inputs can be activated easily and effortless through purchasing software licenses online at any time. The recorder comes in a lockable 19" industrial rack with 2 HU and a mounting depth of 457mm and is equipped with two 5¼ removable hard disk slots as well as four different monitor outputs. NET-NVR II Network Video Recorder BUSINESS Hybrid Video Recorder 6 The new MULTIEYE video recorders

7 artec NEWSLET The new MULTIEYE mini video recorder ME10 will be available as of March / April Available models include an NVR version with 4 IP channels and 4 PoE ports, expandable to 10 channels max. and a hybrid video recorder (HVR) with 4 analog and 2 IP video channels, expandable to 10 channels max. of which max. 8 analog ones. customers may choose between 250, 500 GB or 1 TB SSD. The SSD for video footage is also built-in, but can easily be replaced. Mainly developed for mobile use, the MULTIEYE ME10 video recorders feature a sturdy, fan-free design, consume between 5 to 25W and are IP30 weatherproof rated. A wide range of installation and mounting accessories is available for these video recorders. By default, the ME10 video recorders are equipped with both an integrated 120GB SSD for the operating system and MUL- TIEYE software. For video recording, Mini video recorder ME10 Examples of typical mobile applications for the MULTIEYE mini video recorder ME10... For further details, please refer to the artec online shop Police Fire Brigade Transport Company Customs/Border Patrol The new MULTIEYE video recorders 7

8 ++ Press release ++ artec technologies wins another tender XENTAURIX user interface (example: storyboard) Diepholz/Bremen 2nd February, 2015: The artec technologies AG (WKN ) has been awarded the delivery of a complex system for TV/radio live recording and proof for broadcast (media monitoring) in the course of an international call for tenders by the Communications and Media Commission (CMC) Iraq. The order amounts to a middle six-figure euro range. The bid for this order was submitted in co-operation with a global IT consulting company resident in Luxembourg. The scope of services comprises the delivery of hardware and software products from the XENTAURIX product platform for media/ broadcast IPTV applications as well as various services such as service and support for several years. "For artec technologies, the new order is another success in the growth market for TV live recording systems in the Middle East", states Thomas Hoffmann, CEO of artec technologies AG. Thanks to previous orders, the company has already gained considerable experience in the operational implementation of projects in the Middle East. 8 Press release

9 New MULTIEYE video system monitors modern logistic centre at Zurich airport Upgrading a video system from analog to hybrid artec NEWSLET MULTIEYE video surveillance software Example Multiscreen The existing Siemens analog video surveillance installation couldn't meet the operator's high security standards any more. The installation was converted into IP, new CAT6 cabling as well as 46x Axis P3214V IP cameras, three MULTIEYE-NET NVRII network video recorders and one MULTIEYE VideoCenter III with 4 monitors were installed. 15 existing Siemens analog cameras as well as 4 analog cameras from the intercom system remain in use. Their signals are encoded through five Axis M7014 video servers. The interface from the alarm system to the MULTIEYE system is effected through the IO server The 65-channel video system was installed by our Zurich sales partner, Teleinformatic Services AG. NET-NVR II Network Video Recorder Claude Arnold, Managing Director of Teleinformatic: "Our customer - who mustn't be named for security reasons - is a very demanding customer from the logistics business who is most satisfied with the MULTIEYE system. The employees are able to query and easily operate the complete system via the VideoCenter III video monitoring centre with the four connected 42" monitors. Reference MULTIEYE 9

10 View to the future: New developments at artec technologies AG Audio radar IP & HD-SDI cameras with audio function in broadcast quality Video sensor system 10 View to the future

11 artec NEWSLET Streaming and recording of IP & HD-SDI cameras with audio in broadcast quality artec is one of the few companies worldwide developing transmission and recording systems for the video security and broadcast industry. The advantages of MULTIEYE and XENTAURIX are now bundled in a new system. Lip-synched video and audio data are recorded in HD quality and can be retrieved synchronously through network - individually or as multiview. Next to the broadcast quality, the new system can be controlled frameby-frame from third-party devices. Further features are Multibit streaming/h.264 Anywhere/ multi audio/storyboard/editing suite etc. The new MaX generation will mainly be used in training centres and control centres. View to the future 11

12 Property security through video sensor system Thanks to a new process, the properties to be secured can be surrounded by one or several invisible protective shield(s) in order to generate different incidents/alarms, depending on the penetration depth of unauthorized people or vehicles. The protective shield surrounds the property with vertical lateral faces in order to enable a distortion-free detection of manipulations even several metres high (e.g. caused by a forklift). Marketing effect: Coming in contact with the protective shield surrounding a car can e.g. activate light or trigger an automatic voice prompt giving further details on the vehicle. Valuable goods are secured by the invisible protective shield. If, for instance, a person enters this area, an alarm is triggered. 12 View to the future

13 artec NEWSLET Audio radar In co-operation with the Braunschweig university, a passive audio radar system is developed by a research project fostered by the BMWi. This system captures and analyses acoustic incidents in combination with an electronic evaluating system and forwards the coordinates to the video system. While the acoustic incident is marked in the monitor of the overview camera, the PTZ camera is controlled based on the coordinates. View to the future 13

14 Audio radar will be used in those security areas where video is no viable alternative (e.g. the detection of noise caused by sprayers, vehicles, a shot, an explosion, shattering glass). Vandalism such as illegal graffiti or the smashing of windows Soundscape, e.g. from a car crash or an explosion 14 View to the future

15 Investor relation information artec NEWSLET Share price performance Source: Frankfurt Stock Exchange March 13, 2015 (development over the past 6 months) artec share Source: comdirect WKN week high week low 1.15 Xetra turnover (3 months) 475,000 Average turnover / day 7,600 Shareholder structure as of December 31, 2014 Investor Relation Information 15

16 artec technologies AG Contact details: artec technologies AG Mühlenstraße Diepholz Tel Fax Your contact person for questions, suggestions and remarks concerning the artec NEWSLET: Mr. Thomas Hoffman +++ Dates April 30, 2015 July 1, 2015 July 3, 2015 September 2015 Publication of the annual financial statements m:access analyst conference / Munich General meeting Half-year report artec technologies AG, March MULTIEYE and XentauriX are registered trademarks of artec technologies AG. Misprints and errors reserved. Image source ( Graphic p.1, hywards For further information go to

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