Strong balance sheet and high equity-to-assets ratio
As of June 30, 2006, Software AG had equity of €397.0 million
(prior year: €334.4 million). Based on our total assets of €603.5
million (prior year: €534.3 million), the equity-to-assets ratio
amounted to 66 percent, an increase of 3 percentage points compared
to June 30, 2005. Cash and cash equivalents grew by 21 percent
compared to the prior year and amounted to €155.9 million (prior
year: €128.8 million) as of the reporting date. Retained earnings
increased by €36.6 million to €247.3 million in spite of a dividend
payment totaling €22.4 million.
Our strong balance sheet ratios illustrate the huge financial
potential of Software AG. These figures indicate that we have the
necessary resources to implement our long-term product and
technology strategies, as well as laying the foundation and
providing the flexibility for potential acquisitions.