paragon AG: Significant growth in the first half of 2006

paragon AG / Half Year Report Ad hoc announcement according to § 15 WpHG transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. ---------------------------------------------------------------------- - Half-year sales rise by 40.9% to €50.6 million - EBITDA growth of 43.4% to €8.9 million - Growth driven by key Automotive division Delbrück, 9 August 2006 – paragon AG has reported significant growth once again for the first half of 2006. Consolidated sales at the company rose to €50.6 million in the first six months and were thus 40.9% higher than the equivalent figure of €35.9 million for the previous year. Earnings before interest, taxes, depreciation and amortization (EBITDA) increased by 43.4% to €8.9 million (previous year: €6.2 million). Earnings before interest and taxes (EBIT) amounted to € 3.6 million. This is equivalent to an increase of 24.1% (previous year: €2.9 million). The principal growth driver in the first half of 2006 was the Automotive division, at which sales increased by 62.1% to €40.9 million (previous year: €25.2 million). This means that 80.8% of consolidated sales are now generated at paragon’s core business division. In its Electronic Solutions division, paragon generated sales of €9.1 million (previous year: €10.4 million). This development is principally due to restructuring measures within the Group. Sales at the Building Technology division rose by 103.8% to €597 thousand (previous year: €293 thousand). paragon AG has affirmed its forecast of sales between €110 million and €115 million for the overall 2006 financial year. The growth of the Group will continue to be driven by its Automotive division. paragon will benefit on a sustainable basis in this respect from the increasing use of electronic components in automobiles. paragon AG Schwalbenweg 29 33129 Delbrück ISIN-No.: DE0005558696 Contact: Investor Relations Haubrok Investor Relations GmbH Michael Müller, Fabian Lorenz Tel: +49 211 30126-117 / Fax: +49 211 30126-172 E-mail: f.lorenz@haubrok.de DGAP 09.08.2006 ---------------------------------------------------------------------- Language: English Issuer: paragon AG Schwalbenweg 29 33129 Delbrück Deutschland Phone: +49 (0)5250 97 62 - 0 Fax: +49 (0)5250 97 62 - 60 E-mail: investor@paragon-online.de WWW: www.paragon-online.de ISIN: DE0005558696 WKN: 555869 Indices: Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin-Bremen, Stuttgart, Hamburg, Düsseldorf End of News DGAP News-Service ---------------------------------------------------------------------------