Software AG

2. Quarterly Report 2008



Segment report

SEGMENT REPORT FOR SIX MONTHS ENDED JUNE 30, 2008
IFRS, unaudited


ETS webMethods Total
in € thousands June 30,
2008
June 30,
2007
June 30,
2008
June 30,
2007
June 30,
2008
June 30,
2007
Licenses 67,949 65,920 48,798 38,311 116,747 104,231
Maintenance 77,632 77,863 43,504 17,978 121,136 95,841
Product revenue 145,581 143,783 92,302 56,289 237,883 200,072
Professional services 36,204 34,379 52,496 39,914 88,700 74,293
Other 1,059 712 516 1,841 1,575 2,553
Total revenue 182,844 178,874 145,314 98,044 328,158 276,918
Cost of sales -39,623 -39,146 -55,890 -43,884 -95,513 -83,030
Gross profit 143,221 139,728 89,424 54,160 232,645 193,888
Sales, Marketing &
Distribution expenses
-33,755 -29,088 -46,125 -40,786 -79,880 -69,874
Business line
contribution
109,466 110,640 43,299 13,374 152,765 124,014
Research and
development expenses




-37,324 -26,930
General and
administrative expenses




-32,089 -26,536
Other operating
income / expenses




1,151 -7,627
EBITA



84,503 62,921
Amortization



-7,536 -1,236
Earnings before
interest and taxes




76,967 61,685
Net financial income



-2,887 4,424
Earnings before taxes



74,080 66,109
Taxes



-24,433 -23,779
Net income for the period



49,647 42,330


SEGMENT REPORT FOR THE QUARTER ENDED JUNE 30, 2008
IFRS, unaudited


ETS webMethods Total
in € thousands Q2|2008 Q2|2007 Q2|2008 Q2|2007 Q2|2008 Q2|2007
Licenses 34,748 32,824 26,604 24,502 61,352 57,326
Maintenance 39,290 39,569 22,490 11,802 61,780 51,371
Product revenue 74,038 72,393 49,094 36,304 123,132 108,697
Professional services 17,261 17,676 27,520 24,060 44,781 41,736
Other 810 514 44 1,235 854 1,749
Total revenue 92,109 90,583 76,658 61,599 168,767 152,182
Cost of sales -18,927 -20,835 -28,843 -24,036 -47,770 -44,871
Gross profit 73,182 69,748 47,815 37,563 120,997 107,311
Sales, Marketing &
Distribution expenses
-15,397 -13,034 -24,405 -24,173 -39,802 -37,207
Business line
contribution
57,785 56,714 23,410 13,390 81,195 70,104
Research and
development expenses




-18,457 -14,772
General and
administrative expenses




-16,676 -14,752
Other operating
income / expenses




-1,642 -2,673
EBITA



44,420 37,907
Amortization



-3,484 -1,236
Earnings before
interest and taxes




40,936 36,671
Net financial income



-1,418 1,276
Earnings before taxes



39,518 37,947
Taxes



-12,409 -13,390
Net income for the period



27,109 24,557