CENIT AG Systemhaus / Quarter Results
08.05.2008
Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
---------------------------------------------------------------------------
1st Quarter characterized by staff growth and weak PLM business
Stuttgart, 08 May 2008 CENIT is starting the 2008 business year with
considerable investments towards the training of service experts during the
first Quarter of 2008, as well as the restructuring of the PLM software and
service business. The latter led to a reduction of capacity in the PLM
service sector which could not be compensated during the 1st Quarter. The
restructuring efforts were necessary after it became clear that major
customers would make important order decisions during the 2nd Quarter. To
be able to react in a quick and customer-oriented way, CENIT thus made a
number of advance investments which will have long-term effects on expected
business trends in 2008 (which remain positive) and beyond. Staff and
equipment costs rose accordingly. The number of staff increased by 15% to
650 (2007: 565). In marketing CENITs software solution FileNet System
Monitor, our sales partner IBM has further intensified its sales
activities. In the business segment Enterprise Information Management,
capacity utilization remains excellent. CENIT has launched a training
initiative to even better satisfy customer wishes in this segment. There
has also been a delay in the startup of the new Value Added Reseller Model
of Dassault Systèmes, which was re-launched this year. Here we were unable
to achieve the expected sales volume, in part due to technical problems
encountered by the administrative sector.
Overview of 1st Quarter Figures
After the first three months, Group-wide sales have contracted by 10% to
15.8 m (03/2007: 17.6 m ). The gross surplus shrank to 13.8 m
(03/2007: 15.6 m ). EBITDA attained 0.6 m (03/2007: 3.3 m /-82%). EBIT
during the reporting period amounted to 0.33 m (03/2007: 3.0 m /-89%).
The pre-tax result (EBT) reached 0.54 m (03/2007: 3.1 m ). The
consolidated result was 0.5 m (03/2007: 2.0 m ). Consolidated EPS
(earnings per share) thus derive to 0.05 per share (03/2007: 0.24 ). The
operative cash flow was 0,7 m (03/2007: 3.4 m ). On the balance-sheet
date, the total of bank deposits and securities incl. current assets
amounted to 16.0 m (2007: 18,3 m ). The enterprise remains debt-free.
Incoming orders reached approx. 32 m (03/2007: 31.7 m ).
Breakdown of Earnings
The sales volume in the service sector contracted by 3% to a current 10.7 m
(03/2007: 11,0 m ), making it the strongest contributor to sales with a
share of 68%. During the first three months of the current business year,
sales of CENIT software amounted to 2.3 m (03/2007: 3.3 m /-30%). Thus,
approximately 15% of total sales can be attributed to CENITs proprietary
software. Sales of non-CENIT software increased by 21% to 1.9 m (03/2007:
1.6 m ), thus accounting for 12% of total sales. The hardware business
contracted by 49% to 0.9 m (03/2007: 1.7 m ), equaling approx. 5% of
CENITs total sales.
Holdings Foreign Subsidiaries
CENIT (Switzerland) AG achieved sales of 1.0 m (03/2007: 1.0 m ), with
EBIT at 0.5 m (03/2007: 0.6 m )
CENIT North America Inc. was able to achieve sales of 1.1 m (03/2007: 1.1
m ), attaining EBIT of -0.03 m (03/2007: 0.009 m ).
CENIT SRL attained sales amounting to 0.2 m and EBIT of 0.08 m .
The CENIT company in Toulouse, France achieved sales of 0.07 m and EBIT
of 0.02 m .
CAD Scheffler, the company integrated into the CENIT Group since January
2008, has developed as projected, attaining sales of 0.6 m and EBIT of
0.05 m .
Outlook
At the General Shareholders Meeting on 30 May 2008, the Executive and
Supervisory Boards will propose disbursement to shareholders of a dividend
of 50 cents per share and the retention of reserves in the amount of 1.7 m
.
Despite a regressive 1st Quarter, for the business year as a whole we
expect a significant increase of Group-wide sales over 2007 levels.
Particularly the increased earnings from the sale of CENITs proprietary
software and the global sales cooperation for our software products with
our partners IBM, SAP and Dassault should contribute to an improved Group
result. In the consulting sector, we expect increased demand from the
aerospace industry. The Enterprise Information Management segment already
grew at above-market levels in 2007 and will also benefit in 2008 from a
positive investment climate for EIM solutions. Our goal is to achieve a
sustainable improvement in the operative performance of the Group.
Send queries to:
CENIT AG Systemhaus,
Fabian Rau
Industriestraße 52-54, D-70565 Stuttgart
Tel.:+497117825-3185
Fax:+49711782544-4185
E-Mail: f.rau@cenit.de
About CENIT: Since 1988, the company has been active as a specialist for
product lifecycle management, enterprise content management solutions and
application management outsourcing. CENIT is listed on the Prime Standard
of Deutsche Börse and currently employs more than 630 staff. Among others,
CENIT serves clients such as Allianz, BMW, Daimler, EADS Airbus, LBS, Metro
and VW. A large portion of customers are medium-sized businesses,
particularly from the automotive sector and mechanical engineering, e.g.
Dürr, Georg Fischer or Leoni. http://www.cenit.de
---------------------------------------------------------------------------
Information and Explaination of the Issuer to this News:
Additional information:
This press/ad hoc report may contain future-oriented statements regarding
the business, financial and earnings situation of as well as profit
projections for CENIT. Such future-oriented statements are characterized by
terms or statements such as 'the company may' or 'the company will',
'expects', 'assumes ', 'is considering', 'intends to', 'plans', 'believes',
'will continue to' and/or 'estimates', as well as similar terms and
statements. Such statements contain no guarantee that the projections will
in fact be achieved. Rather, such statements involve risks, imponderables
and assumptions that are difficult to predict and, in addition, are based
on assumptions as to future events which may prove to be incorrect. For
this reason, actual events may diverge significantly from the assumptions
contained in the above statement. In a future-oriented statement by which
CENIT expresses expectations or assumptions with regard to future events,
these expectations or assumptions are made in good faith, and it shall be
assumed that they are made upon an appropriate basis; however, it cannot be
guaranteed that the said statements, expectations or assumptions shall
indeed occur, be attained or fulfilled. The actual operative result may
diverge significantly from such future-oriented statements and is subject
to certain risks. In this regard, please refer to the Business Report of
CENIT AG Systemhaus.
DGAP 08.05.2008
---------------------------------------------------------------------------
Language: English
Issuer: CENIT AG Systemhaus
Industriestraße 52 - 54
70565 Stuttgart
Deutschland
Phone: +49 (0)711 78 25 - 30
Fax: +49 (0)711 78 25 - 4000
E-mail: aktie@cenit.de
Internet: www.cenit.de
ISIN: DE0005407100
WKN: 540710
Listed: Regulierter Markt in Frankfurt (Prime Standard), Stuttgart;
Freiverkehr in Berlin, München, Hamburg, Düsseldorf
End of News DGAP News-Service
---------------------------------------------------------------------------
DGAP-Adhoc: CENIT confirms positive outlook for 2008
| Source: EQS Group AG