1. August 28, 2002 Martin De Prycker: President & CEO
Innovators in image processing
Results 2002 Q2 and Outlook 2002
August 28, 2002
Martin De Prycker: President & CEO

2. Operational results Q2/02: targets achieved
In (€ million) Q2/02 Q1/ Q/Q
Orders %
Sales %
EBIT %
EBIT % 6.4%

3. Evolution BARCO Group per quarter
(in M €)
* Results 2001 “pro forma” i.e. incl. dotrix n.v., Barco Graphics not consolidated

4. Barco operating in investment goods markets
We believe these markets to keep growing on the long term
Currently, however, many decisions on capital expenditure keep being delayed due to dip in general economics
The only options to be successful in such market conditions:
On short term
Increase Market Share
Improve profitability through Cost Control
Prepare for mid/long term by continued investment in R&D for new products

5. BarcoProjection gaining Market Share in a difficult market

6. BarcoProjection (in M €)
Expanded market share with significant successes in
Media and Events (35% market share) worldwide
Augmented Reality through organic growth and acquisition of TAN (Aug. 02)
Kept market share in difficult markets of Control Rooms at around 45%
Revenue decline in Home Theater and stand alone projectors; new products being launched

7. BarcoView gaining Market Share in a difficult market

8. BarcoView Expanded market share with important successes in
(in M €)
Expanded market share with important successes in
Air Traffic Control
Medical worldwide (high end flat screens)

9. BarcoVision
(in M €)
Textile market improving as of Q2/02

10. Geographical breakdown of Turnover per Activity
(in %) W. Europe Nafta Asia ROW
BarcoProjection
BarcoView
BarcoVision
Total 1H
Total
Japanese market declined
Chinese market improved
USA market improved in Projection and View

11. Barco keeps costs under control
Gross margin flat at 55% for 1H02 by ongoing cost improvement but 1.5% lower than 1H01 because of less favorable product mix
Operational cost decreased but to a lower extent than revenue decline by keeping our R&D almost flat
Manpower reduced to 4016 vs 4132 (YE 2001) by end June 2002
Reduction of temporaries
Limited lay offs
Selective hiring
Manufacturing of large volumes in low cost countries
In Barco Group: Czech Republic, India
Through ODM: China
Some negative impact of USD

12. Reduced OWC: Inventory
Inventory reduced by 8% vs end Q1 02
On the road to achieving 10% reduction by end 02 vs end Q1 02

13. Reduced OWC: Accounts Receivable
Days outstanding
(incl. BG)

14. Improved net cash position
Reduction of OWC
Growth in profit
-> Net cash improved to € 56 million vs € 11.8 million end 01

15. Participations in graphical companies further reduced
Streamlined our participations in graphical business into minority participation by selling 29% of Esko-Graphics to Kirkbi
Present participation in Esko-Graphics reduced to 19.9%
Extra ordinary result due to transactions on participations in Esko-Graphics, Mania and ManiaBarco € 28,1 million

16. Results 1H02
1H01* 2H01* 1H02
EBIT
Current Result
Taxes (12.6) (2.7) (6.4)
Cur. Res. after taxes
Extra-Ordinaries (0.4) (95.9) (28.1)
Amort. of goodwill
Net Result (88.5) (7.5)
Current Res./Share €2.28 € €1.83
Current Cash Flow
* “pro forma”, i.e. incl. dotrix n.v, Barco Graphics not consolidated

17. Expectations Q3/Q4
Flat to slight increase in revenues as compared to Q1/Q2 2002
Growth in BarcoView, mainly in Air Traffic Control and Medical
Flat to declining in BarcoProjection
Flat in BarcoVision
Profitability slightly better than first half 2002, much better than Q3/Q4 2001
Continuous cost control

18. Innovators in image processing