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Beta Systems delivers a convincing performance with sales successes and an increase in profit in the first half of 2008

Geschrieben am 31-07-2008


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Berlin (euro adhoc) - - Despite a difficult market environment, Beta
Systems achieves outstanding sales success in all its business
segments - Revenues from software licenses rose significantly by
42.8% in the second quarter of 2008 (at the end of six months, by
12.6%) - Total revenues climbed 7.7% in the second quarter of 2008 -
Earnings before interest and tax (EBIT), earnings before interest,
tax, depreciation and amortization (EBITDA) and earnings before tax
(EBT) improved considerably - Growth forecast for the year as a whole
affirmed

Berlin, July 31, 2008 - After a successful initial quarter in 2008,
Beta Systems Software AG (BSS, ISIN DE0005224406) had achieved
significant improvements in revenues and profit by the end of six
months as well. Accordingly, the company recorded major sales
successes in all three segments, raising its high-margin sales of
software licenses by 42,8% in the second quarter and, at the end of
the first six months of 2008, by 12.6%. In this process, the
Berlin-based software supplier acquired customers first and foremost
from the banking and insurance sectors. From the standpoint of the
company, this is a very gratifying trend as its sales success was
achieved against the backdrop of a cooling economy dampened by the
global crisis still persisting in the international capital and
financial markets.

The most important successes included the signing of a contract with
one of Europe's largest IT providers which is now to use products
from Beta Systems´ DCI portfolio throughout Europe. In the IdM
segment, contracts with one of the world´s largest airlines and a
major European bank were renewed, with the result that a
long-standing customer relationship was deepened and the existing
installation basis of the respective customer was strengthened. In
the ECM segment, a long-term, large-volume contract was signed with
one of Germany's most important service providers in the payments
business. This contract in the ECM segment is, at the same time, the
largest single contract signed in the history of the company. With a
total volume of several million euros, it has boosted orders in hand
significantly and forms an important basis for achieving the other
targets set for the fiscal year 2008. The first contracts signed for
the new Agilizer product solutions (including automated monitoring of
compliance in large corporations) also further the achieving of the
annual targets.

At the end of the first six months of 2008, total revenues had edged
up to EUR 42.5 million (Q1-Q2/2007: EUR 41.9 million). Revenues in
the services segment contributed EUR 6.9 million (Q1-Q2/2007: EUR 7.6
million) and maintenance revenues posted EUR 19.7 million
(Q1-Q2/2007: EUR 21.3 million) over the same period. Revenues from
scanner hardware climbed to EUR 3.2 million (Q1-Q2/2007: EUR 1.7
million). As before, Beta Systems is concentrating on business with
software licenses and services. It nonetheless continues to realize
profitable revenue from scanner hardware in new systems as part of
customer-oriented total solutions for hard- and software (above all,
in the banking sector).

At the end of six months, EBIT had improved to EUR 0.6 Mio.
(Q1-Q2/2007: EUR 0.4 million) and EBITDA to EUR 2.6 million
(Q1-Q2/2007: EUR 2.2 million). Particularly pleasing was EBT which
rose to EUR 0.8 million (Q1-Q2/2007: EUR 0.1 million). The result for
the business period, which came to EUR 0.3 million, was also clearly
positive (Q1-Q2/2007: EUR 0.0 million). At the end of six months, the
costs of revenues had fallen 8.1% to EUR 18.7 million, down from EUR
20.3 million and, as a result, gross profit rose 10.7%, from EUR 21.6
million to EUR 23.9 million. The cash flow from operating activities
increased by 38.3% to EUR 7.3 million in tandem with the improved
cost and profit situation (Q1-Q2/2007: EUR 5.3 million).

Key Financial Data for the first six Months of 2008 at a Glance -
Software license revenues advance significantly by 12.6% to EUR 12.8
million (Q1-Q2/2007: EUR 11.3 million) - Total revenues rise by 1.6%
to post EUR 42.5 million (Q1-Q2/2007: EUR 41.9 million) - EBIT
improves to EUR 0.6 Mio. (Q1-Q2/2007: EUR 0.4 million), EBITDA to EUR
2.6 million (Q1-Q2/2007: EUR 2.2 million) and EBT to EUR 0.8 million
(Q1-Q2/2007: EUR 0.1 million) - The cash flow from operating
activities climbs by 38.3% to EUR 7.3 million (Q1-Q2/2007: EUR 5.3
million) - Maintenance revenues fall in line with expectations to EUR
19.7 million (Q1-Q2/2007: EUR 21.3 million) owing to the decline in
low-margin hardware maintenance contracts - Services revenues rise to
EUR 6.9 million (Q1-Q2/2007: EUR 7.6 million)

Key Financial Data for Q2/2008 at a Glance - Software license
revenues soar 42.8% to EUR 7.7 million (Q2/2007: EUR 5.4 million) -
Total revenues climb by 7.7% to EUR 22.5 million (Q2/2007: EUR 20.9
million) - EBIT improves marginally to EUR 1.2 million (Q2/2007: EUR
1.1 million) - Maintenance revenues fall in line with expectations to
EUR 9.6 million (Q2/2007: EUR 11.0 million) owing to the decline in
low-margin hardware maintenance contracts - Services revenues rise to
EUR 3.9 million (Q2/2007: EUR 4.0 million)

Statement by the Chief Executive Officer Kamyar Niroumand, CEO of
Beta Systems Software AG, commented as follows: "After a good start
to fiscal 2008, we have achieved important sales successes in all
three of our business segments despite the tense situation in the
financial sector. This is all the more remarkable if one considers
the current cooling of the economy. I am particularly happy about the
first contracts signed for the new Agilizer products which we
recorded only a few months after having presented our new solutions
to the market. Based on these outstanding sales successes and our
high-margin business with software licenses, we are convinced that we
are still on the right track towards achieving our ambitious targets
for the EBIT margin and revenue growth in fiscal 2008 and herewith
affirm our positive outlook for the year." Gernot Sagl, Chief
Financial Officer of Beta Systems Software AG, added the following:
"The sales successes in the first half of 2008 have had a very
positive impact on profit. Being profitable two years in a row as
early as at the end of the first half-year is not something one can
take for granted in the case of an IT software company but this is
what Beta Systems has done. Our extremely sound financial position
and our positive interest income meant that we were able to raise EBT
to almost EUR 1 million."

Outlook for the Fiscal Year 2008 At the end of the first six months
of 2008, the Management Board retains its forecast, drawn up at the
start of the year, for the current fiscal year and has planned for an
EBIT margin in the upper single digit range and a double digit EBITDA
margin with a slight growth in sales. The prerequisite for this is
that all three of our business segments are profitable. The
Management Board assumes that the goals of sustained profit
improvement through the concentration on business with software
licenses and services, the building up of customer relationships,
above all in the financial services sector and industry at large, the
expansion of the global partner business and the ongoing
implementation of the Beta 4Agility product and sales strategy will
be achieved.

The full Half-yearly Financial Report 2008 will be published on
August 6, 2008.

End of the press release

Beta Systems Software AG - Agility Integrated Beta Systems Software
AG Berlin (Prime Standard: BSS, ISIN DE0005224406) develops
high-profile software products and solutions for the secure and
efficient processing of large data volumes. The core businesses of
Beta Systems are document processing as well as IT user management
data processing in data centers and compliance solutions. In
addition, the Beta 4Agility suite offers large companies new
integration products to enhance their agility in IT and business
processes. These products serve to simplify the automation of data
and document processing and enhance the security and performance of
IT.

Beta Systems was founded in 1983, has been a listed company since
1997, and has a workforce of more than 600 employees. The company´s
principal place of business is Berlin. Beta Systems operates through
Centers of Competence in Augsburg, Cologne and Calgary, as well as 18
subsidiaries worldwide and cooperations with numerous partner
companies. With more than 3,000 running installations, it has a
customer base of more than 1,300 major companies from the sectors of
financial services and IT service providers and industry at large in
Germany, Europe and the USA.

More information on the company and its products can be found under
www.betasystems.com.


end of announcement euro adhoc
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ots Originaltext: Beta Systems Software AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Contacts:



Company contact:

Beta Systems Software AG

Stefanie Frey

Tel.: +49 (0)30 726 118-171

Fax: +49 (0)30 726 118-800

e-mail: stefanie.frey@betasystems.com



Agency contact:

HBI PR&MarCom GmbH

Alexandra Osmani, Alexandra Janetzko

Tel.: +49 (0)89 99 38 87-0

Fax: +49 (0)89 930 24 45

e-mail: alexandra_osmani@hbi.de; Alexandra_Janetzko@hbi.de

Branche: Software
ISIN: DE0005224406
WKN: 522440
Index: CDAX, Prime All Share, Technologie All Share
Börsen: Börse Frankfurt / regulated dealing/prime standard
Börse Berlin / free trade
Börse Hamburg / free trade
Börse Stuttgart / free trade
Börse Düsseldorf / free trade
Börse Hannover / free trade


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