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C-QUADRAT Investment AG

C-QUADRAT Investment AG achieves Q1-3/2008 net profit of EUR 2.78 million

•Performance fees show sharp decline, but management fee revenue increases •Asset Management volume rises to EUR 1.75 billion •Further significant improvements in cost structure •Excellent performance of numerous funds provide good prospects of further growth

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Wien (euro adhoc) - Vienna/Frankfurt, 14.11.2008. C-QUADRAT Investment AG (ISIN AT0000613005) has continued to perform well in 2008. Net profit reached EUR 2.78 million in the first three quarters of the business year, i.e. from 1 January to 30 September . Although signifying a significant year-on-year decrease relative to the record performance achieved in 2007, it is still an excellent result in light of the extremely difficult environment facing financial markets. Profits were only slightly negative even in the third quarter of the year, which witnessed sharp falls in share prices.

The decreases in total revenue and net profit for the year are attributable first and foremost to the almost total absence of performance fees. This contrasts with the key segment in which the company operates, Asset Management, where an additional 8% growth to EUR 15.2 million was achieved in volume-based management fees.

This encouraging increase results from a 5% improvement in the assets under management, which has grown from EUR 1.66 billion at the beginning of the year to EUR 1.75 billion at the end of the third quarter. C-QUADRAT has thus succeeded in decoupling itself from the downward trend affecting the investment industry as a whole, where the volume of all listed investment funds in Austria dropped by 15%. The total volume of fee generating assets handled by the company amounted to EUR 4.3 billion as at 30. September 2008.

Improvements in cost structure made an additional and significant contribution to the company´s robust performance in the first three quarters. Despite the increased volume of business conducted, the number of employees has been reduced over the past twelve months by 18%, from 118 to 97. Further cost-savings will materialise in the months ahead.

"The performance of C-QUADRAT Investment AG is hampered, of course, by the global financial crisis", comments Alexander Schütz, C-QUADRAT founder and Management Board member."However, despite the crisis, we succeeded in maintaining growth in the Asset Management segment, in particular, while also achieving major improvements on the expenses side. This means we have established the conditions for being significantly more profitable once the crisis has ended, than we were before the crisis".

The C-QUADRAT investment funds have also shown excellent performance in 2008, especially the Total Return Funds in the ARTS category. These have held their value superbly in the course of the financial crisis and are all found among the topmost positions in international fund rankings. "This is leading to enormous interest on the part of institutional and private investors", explains Schütz. "For the rest of the year, and above all in 2009, we expect a strong influx of investment that will secure excellent growth perspectives for the Group as a whole."

The C-QUADRAT Investment AG quarterly report can be downloaded at www.c-quadrat.at.

Key Ratios C-QUADRAT Investment AG:

(in TEUR) 30.9.2008 30.9.2007 ___________________________________________________________ ___________________

Gross Operating Income                               30.968       37.211
Net Operating Income                                 14.315       17.081
Operating Profit (EBIT)                                 760        3.326
Operating Profit before Ordinary Depreciation(EBITDA) 2.855        5.262
Net Profit after Minorities                           2.545        3.995
Earnings per Share (in EUR)                            0,58         0,92
Weighted Average Number of Ordinary Shares        4.363.200    4.363.200

Fee Generating Assets in TEUR *)                  4.319.945    5.125.172
Number of employees                                      97          118



(in TEUR)                                          3.Q.2008     3.Q.2007
______________________________________________________________________________
Gross Operating Income                                9.731       11.058
Net Operating Income                                  4.188        5.206
Operating Profit (EBIT)                                -337          277
Operating Profit before Ordinary Depreciation(EBITDA)   365          970
Net Profit after Minorities                            -235          317
Earnings per Share (in EUR)                           -0,05         0,07
Weighted Average Number of Ordinary Shares        4.363.200    4.363.200

*) In 2008 the Epicon Financial Services GmbH as well as the atypical silent partnership at Privatinvest Bank AG, Vienna branch, were sold, whereby fee generating assets at the amount of EUR 260 million were disposed.

C-QUADRAT- the fund company - is an independent asset manager operating across Europe. Founded in 1991, the company has had is own asset management company with a bank licence since 2003 and has been listed in the Prime Standard of the Frankfurt Stock Exchange since November 2006 and in the Prime Standard of the Vienna Stock Exchange since May 2008. The C-QUADRAT team has made a name for itself across Europe with its asset management, analysis and investment fund management activities and by devising structured products. Innovative investment strategies for institutional investors round off the product offering. Many banks, insurance companies and financial service providers operating internationally rely on the expertise of C-QUADRAT.

end of announcement                               euro adhoc
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Further inquiry note:

Andreas Wimmer
Member of the Board
C-QUADRAT Investment AG
Stubenring 2
A-1010 Wien
Tel.: +43 1 515 66 316
Fax: +43 1 515 66 359
Mail: a.wimmer@investmentfonds.at

Branche: Financial & Business Services
ISIN: AT0000613005
WKN:
Index: Prime.market
Börsen: Börse Frankfurt / official market
Wiener Börse AG / official market

Original-Content von: C-QUADRAT Investment AG, übermittelt durch news aktuell

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