AD HOC DISCLOSURE
Software AG expects earnings per share of Euro 0.36 in Q1 2004
Software AG, Darmstadt (SOW), posted license sales of Euro 23.3 million in the first quarter of the current fiscal year (Euro 21.9m in Q1 2003). The increase is attributable to strong growth in licensing of enterprise transaction products, which rose to Euro 17.8 million (Euro 13.6m in Q1 2003). Sales of integration products were lower than in the same period of 2003. Maintenance services generated first-quarter revenues of Euro 44.1 million (Euro 47.3m in Q1 2003), matching the figure for 2003 when adjusted for currency translation effects. Revenues from project services fell in comparison to the corresponding period of 2003, reaching Euro 28.0 million (Euro 33.6m in Q1 2003). When all other revenues are included, the Company posted total revenues of Euro 95.7 million in the first quarter of the current fiscal year (Euro 103.1m in Q1 2003).
For the first time, Software AG is reporting its results in accordance with IFRS accounting principles. For this reason, key performance indicators for the previous year have been adjusted to allow direct comparison, and sometimes differ from the figures first published in accordance with the German Commercial Code (HGB).
Software AG expects operating earnings before interest and tax (EBIT) of approximately Euro 15 million for the first quarter. When adjusted to IFRS, the equivalent figure for the same period of the previous fiscal was Euro 8 million. Net earnings per share of Euro 0.36 are projected for the first quarter of 2004, in comparison to a net loss, attributable to significant restructuring costs, of Euro -0.36 (according to HGB) for the same period of 2003.
Full and finalized figures will be published on April 27, 2004.
Software AG is one of Europe's largest system software providers and a global provider of high-performance databases, system software and services. This technology enables customers to run mission-critical, cross-platform applications, simplify the exchange of data between disparate systems and integrate cutting-edge Web applications into traditional IT architectures. Respected for technology leadership and professional services expertise, Software AG develops products that fully support the XML (eXtensible Markup Language) standard. Founded in 1969 and headquartered in Darmstadt, Germany, Software AG is represented in 59 countries with more than 2,500 employees. Software AG achieved 422 million euros in total revenue in 2003 and is listed on the Frankfurt Stock Exchange (TecDAX, ISIN DE 0003304002 / SOW).
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