CENIT AG

Quarterly Report • May 30, 2007

3-Months Report 2007

CENIT AG Systemhaus

Industriestraße 52-54 D-70565 Stuttgart Tel: + 49 711 7825-30 Fax: + 49 711 7825-4000 Internet: http://www.cenit.de

Investor Relations: ISIN:DE0005407100

Fabian Rau Tel: + 49 711 7825-3185 Fax:+ 49 711 782544-4185 E-Mail: aktie@cenit.de

CENIT AT A GLANCE (unaudified)
At a glance - January 1 until March 31, 2007
in Mill. EUR	March 31, 2007	March 31, 2006
Sales	17,61	19,18
Gross profits	15,64	14,80
EBITDA	3,29	2,88
Operating returns (EBIT)	3,02	2,61
EBT	3,14	2,44
Netincome of the group	2,00	1,97
Result per share (basic) in EURO	0,24	0,23
Result per share (diluted) in EURO	0,24	0,23
Number of employees at end of period	565	532
EBIT - Margin in %	17,2	13,6
Profit - Margin in %	11,4	10,3
in Mill. EUR	March 31, 2007	December 31, 2006
Equity in ratio in %	68	62
Equity	26,40	24,30
Liabilities	12,67	14,91
Balance sheet total	39,08	39,21

*change in disclosure

PREFACE

Dear Shareholders, Partners, Customers and Interested Parties,

In 2007, we will continue to aim for growth based on our own software solutions, sales of external software as well as the consulting business for the development of innovative solutions in cooperation with clients and business partners. As the innovative strength of our clients is increasingly dependent on the IT used, it is becoming more and more important that CENIT is able to launch innovative products on the market faster than the competition. Past experience has shown that we can best defend our competitive edge by rapidly introducing our software products with the help of international distributors. We will therefore continue to work on the successful realisation of our objectives by 2010 and beyond. We are very satisfied with the results of our product and business plan in our target markets and were also able to achieve a significant increase in the result of operations during the first quarter of 2007.

In conclusion, we would like to thank our employees, business partners and clients, whose active support enables CENIT to achieve sustainable value for our shareholders.

The Executive Board

MANAGEMENT REPORT – ECONOMIC ENVIRONMENT

The business climate in the German economy unexpectedly improved in March. As reported by the IFO Institute in Munich, the IFO Business Climate Index rose to 107.7 from 107 points in February.

Thus, the most important early indicator for economic development has risen for the first time this year after achieving the top ratings in 15 years in December, followed by two declines. The mood in the manufacturing industry in particular has notably improved. The companies evaluated their current situation as well as their perspectives for the following six-month period more positively. This is particularly remarkable because the expectations of foreign business transactions have remained virtually unchanged. The business climate has cooled down a little in the building industry and in the wholesale sector, whereas it has slightly improved in the retail industry. After having assessed their business somewhat sceptically due to the VAT increase, the retailers' dissatisfaction is said to be abating as they approach the next 6 months with cautious optimism.

According to the IFO experts, the companies will, for the most part, have digested the results of the VAT increase by now. Overall, the 7000 companies questioned gave their business expectations a higher rating. This part of the index increased to 103.2 from 102.6 points in the previous month. The companies also rated their current situation better. The situation index climbed to 112.4 from 111.6 points. The industry has profited from the good development of the global economy due to its improved competitiveness. Goldman Sachs notes a continued robust growth in Germany and forecasts that the national economy will gain momentum in the next months. The financial markets are also reacting positively to the surprising business climate and have allowed the large indices to increase marginally.

EARNINGS DEVELOMPENT I

The year 2007 has begun with an extremely strong 1st Quarter for CENIT, which is primarily driven by the expansion of the software business. Meanwhile, 19% of the total turnover is achieved by sales of CENIT software. As expected, hardware sales have simultaneously fallen by 62% to 1.6 million € (2006: 4.6 million €). This has brought CENIT a major step closer to its objective of massively expanding its software business. As a result, the EBIT margin has improved from 13.6% in 2006 to over 17% in the 1st Quarter of 2007.

During the 1st Quarter, CENIT has generated consolidated sales of 17.6 million € (2006: 19.2 million € /-9%). This decrease in turnover is due to the hardware business. Therefore, the gross yield has increased by 5% to 15.6 million € (2006: 14.8 million €). The EBITDA has reached 3.3 million € (2006: 2.9 million € /3%). The operating profit before interest and taxes (EBIT) has increased by 16% from 2.6 million € in 2006 to 3.0 million € during the reporting period. The EBT (earnings before taxes) has achieved 3.1 million € (2006: 2.4 million € /30%) and the consolidated result for the 1st Quarter amounts to 2.0 million € (2006: 1.97 million €). With a corporate EPS (earnings per share) of 0.24 € (2006 adjusted: 0.23 €), CENIT has had an extremely positive start to the year.

BREAKDOWN OF REVENUES

CENIT has achieved a turnover of 12 million € (2006: 14.6 million € /-18%) and an EBIT of 1.76 million € (2006: 2.56 million € /-31%) in the Product Lifecycle Management business division. The Enterprise Content Management business division has achieved a turnover of 5.5 million € (2006: 4.6 Mio. € /+19%) and an EBIT of 1.3 million € (2006: 0.05 million € / >100%).

The turnover with CENIT software has increased by 9% to 3.3 million €. Thus, 19% of the total turnover is generated from CENIT's own software. In the previous year, it achieved approximately 16% of the total turnover with 3.0 million. Business with external software has also increased by 6.2% to 1.6 million € (2006: 1.5 million €). The turnover in the service sector has increased by another 8.5% to now 11.0 million € (2006: 10.1 million €). As expected, the hardware business has significantly fallen by 62% to 1.6 million € (2006: 4.6 million €).

EARNINGS DEVELOMPENT II

HOLDINGS – FOREIGN SUBSIDIARIES

During the 1st Quarter, CENIT (Switzerland) AG was able to generate sales revenues of 1.27 million € (2006: 0.65 million €) with an EBIT of 0.62 million € (2006: 0.24 million €). A major vehicle for profit and turnover is the software solution FileNet Systems Monitoring. The CENIT North America Inc. was able to generate an EBIT of 0.01 million € (2006: 0.04 million €) with a turnover of 1.47 million € (2006: 0.06 million €).

During the fiscal year 2006, CENIT founded a subsidiary company in Romania. The business is currently being established and plans to further expand in 2007. The CENIT SRL was able to generate an EBIT of 0.04 million € with a turnover of 0.07 million €.

With the new foundation of a company in France, Toulouse, CENIT is also expanding its operations in the 2nd Quarter, particularly surrounding the EADS Airbus and its suppliers.

DEVELOPMENT OF COSTS

The other operating costs have developed according to plan and have increased by approximately 3 percent compared to 2006.

INVESTMENTS

The investments made during the first 3 months of 2007 amount to 0.42 million € (31.03.2006: 0.29 million €). These consist of the usual expansion and replacement investments within the scope of IT and software investments as well as office equipment.

eigenen Software in Verbindung mit den hochqualifizierten Beratungsdienstleistungen in den EARNINGS DEVELOPMENT III

CHANGES IN MANAGEMENT AND SUPERVISORY BOARD

Hubertus Manthey, member of the executive board, left the company on February 28, 2007 and Kurt Bengel was appointed to the executive board on 1st of January 2007.

SIGNIFICANT EVENTS THAT COULD EFFECT THE OPERATING RESULT

None

RISK MANAGEMENT REPORT

There is no threat to the existence of the company during the reporting period. For further particulars we refer you to the extensive Risk Management Report in the Annual Report of 2006.

INTERIM DIVIDEND

No interim dividends were distributed.

DISTRIBUTED OR RECOMMENDED DISTRIBUTION AMOUNT

At the shareholders' meeting on the 20th of June 2007, the executive board and the supervisory board will recommend distributing a dividend to the amount of 50 Cent (2006: 45 Cent) to the shareholders and to allocate 3.5 million € to revenue reserves.

NEW ORDERS

Incoming orders during the first 3 months amounted to 31.7 million € (2006: 31.2 million €). The order backlog on the 31st of March 2007 amounted to 27.7 million € (12/2006: 18.2 million €). In total, the share of new customers during the 1st Quarter amounted to three percent.

ORDERS OF PARTICULAR SIGNIFICANCE

None

EARNINGS DEVELOPMENT IV

LIQUID ASSETS AND SECURITIES

The liquid assets including securities amounted to 20.70 million € on the due date (31.12.2006: 18.70 million €).

NET ASSETS, FINANCIAL POSITION AND RESULTS OF OPERATION

The balance sheet total was 39.08 million €. The receivables from goods and services and other assets amounted to 13.65 million €. The good results have had a positive effect on the company's financial position. On the accounting date, the equity is 26.4 million € (2006: 24.3 million €) and the equity ratio amounts to 68% (2006: 62%). The balance of bank deposits and marketable securities are at 20.7 million € on the accounting date (2006: 18.7 million €). The operative cash flow amounts to 3.4 million € (2006: 2.2 million €), the free cash flow has achieved 2.0 million € (2006: 1.3 million €).

EMPLOYEES

The number of employees as per 31.03.2007 was 565 across the group (31.03.2006: 532). The head count has increased by approximately 6 percent.

SUBSEQUENT EVENTS, OPPORTUNITIES AND OUTLOOK

CENIT has set itself the objective of increasing the contribution of its own software to the total turnover by up to 30 percent. This successful start to the fiscal year 2007 makes us confident that the tendencies towards the software business are to be continued. The full utilisation of the consulting business and the ongoing good economic development underline our positive expectations for 2007. We have strengthened our reputation in the aerospace industry with the foundation of the subsidiary in Toulouse and we expect it to result in additional positive impulses in the consulting business. Furthermore, the international aspect of the CENIT business will increasingly gain importance with the further consistent expansion of the establishments in USA and Romania. Due to our optimised product portfolio and our competitive consulting services, we can assume that CENIT will additionally profit from the general economic growth.

CENIT Aktiengesellschaft Systemhaus
Consolidated Balance Sheet prepared in accordance with IFRS (unaudified)
as of March 31, 2007
in EUR k	March 31, 2007	Dec. 31, 2006
ASSETS
NON-CURRENT ASSETS
Intangible assets	263	248
Property, plant and equipment	1.509	1.366
Property, plant and equipment	706	699
	2.478	2.313
DEFERRED TAX ASSETS	0	0
NON-CURRENT ASSETS	2.478	2.313
CURRENT ASSETS
Inventories	1.882	668
Trade receivables	12.501	16.243
Current income tax assets	1.079	1.062
Other receivables	71	76
Other financial assets at fair value through
profit or loss	15.113	11.042
Cash and cash equivalents	5.535	7.615
Prepaid expenses	416	191
CURRENT ASSETS	36.597	36.897
TOTAL ASSETS	39.075	39.210

CENIT Aktiengesellschaft Systemhaus
Consolidated Balance Sheet prepared in accordance with IFRS (unaudified)
as of March 31, 2007
in EUR k	March 31, 2007	Dec. 31, 2006
EQUITY AND LIABILITIES
EQUITY
Share capital	8.368	8.368
Capital reserve	943	863
Currency translation reserve	-194	-212
Revenue reserves	418	418
Revenue reserves	2.899	2.899
Net income of the Group allocable to the shareholders of CENIT AG	13.968	11.968
	26.402	24.304
Minority Interests	0	0
TOTAL EQUITY	26.402	24.304
NON-CURRENT LIABILITIES
Deferred tax liabilities	443	231
CURRENT LIABILITIES
Short-term liabilities to banks	297	1.249
Trade payables	2.250	3.787
Other liabilities	9.445	8.668
Current income taxes	238	834
Other Provisions	0	137
Deferred Income	0	0
	12.230	14.675
TOTAL EQUITY AND LIABILITIES	39.075	39.210

CENIT Aktiengesellschaft Systemhaus
Consolidated Income Statement prepared in accordance with IFRS (unaudified)
for the period from January 1 to March 31, 2007
in EUR k		March 31, 2007	March 31, 2006
1. SALES		17.606	19.181
2. Increase/Decrease in inventories		1.512	1.237
of work in process
Total operating perfomance		19.117	20.417
3. Other operating income		222	157
Operating perfomance		19.339	20.575
4. Cost of materials	3.701		5.777
5. Personnel expenses	9.200		8.787
6. Amortization of intangible assets and depreciation on property,
plant and equipment	260		277
7. Other operating expenses	3.153		3.128
		16.314	17.968
NET OPERATING INCOME		3.025	2.606
8. Other interest and similar income	179		57
9. Interest and similar expenses	37		5
10. Result from fincial instruments
at fair value through profit or loss	-22		-220
		120	-168
RESULT FROM ORDINARY ACTIVITIES		3.145	2.438
11. Income taxes		1.145	464
12. NET INCOME OF THE GROUP FOR THE YEAR		2.000	1.974
13. Thereof allocable to the shareholders of CENIT AG		2.000	1.950
14. Thereof allocable to minority interests		0	24
Earnings per share in EUR
undiluted		0,24	0,23
diluted		0,24	0,23

*change in disclosure

CENIT Aktiengesellschaft Systemhaus

Consolidated Statement of Cash Flows prepared in accordance with IFRS (unaudified) as of March 31, 2007

in EUR k		March 31,2007 March 31,2006
Cash flow from operating activities
Earnings before income taxes and deferred taxes	3.145	2.438
Adjusted for:
Amortization of intangible assets and depreciation of property, plant and equipment 260		277
Losses on disposals of non-current assets	1	0
Gains on disposals of non-current assets	0	2
Dividends income		0
Other non-cash expenses and income	90	-487
Increase/Decrease Provisions		0
Interest income	-179	-57
Interest expenses	37	5
Net operating income before changes in net working capital	3.354	2.178
Increase/decrease in trade receivables
and other current, non-monetary assets	3.505	-459
Change in other financial assets that are
not allocable to cash and cash equivalents	0	0
Increase/Decrease in inventories	-1.214	-1.767
Increase/decrease in current liabilities and provisions	-1.921	1.578
Cash flow from ordinary operations	3.724	1.530
Interest paid	-37	-5
Interest received	179	57
Dividends income		0
Income taxes paid	-1.456	0
Net cash flow from ordinary activities	2.410	1.582
Net cash flow from operating activities	2.410	1.582
Cash flow from investing activities
Purchase of property, plant and equipment and
intangible assets	-422	-289
Proceeds from the disposal of property, plant and equipment	3	0
Net cash paid for investing activities	-419	-289
Cash flow from financing activities
Dividends paid to shareholders		0
Net cash paid for investing activities	0	0
Net increase/decrease in cash and cash equivalents	1.991	1.293
Cash and cash equivalents at the beginning	15.667	17.827
of the period
Cash and cash equivalents at the end of the period	17.658	19.120

12

CENIT Aktiengesellschaft Systemhaus CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (IN ACORDANCE WITH IFRS) (unaudified) as of March 31, 2007

	Equity allocable to the parent company´s shareholders
in k	Subscribed		Capital Currency	Revenue		Group result	Group result	Minority	Total
	capital		reserve translation	reserve	reserve	per share-		interests
	reserve holder of
						CENIT AG
as of January 1,2006	4.184	543	-119		5.039	9.879	19.526	43	19.569
Currency fluctuation			-93				-93	-7	-100
Net income of the Group for the year						8.372	8.372	30	8.402
Group for the year			-93			8.372	8.279	23	8.302
Transfer from stock options		320					320		320
Dividend distribution						-3.765	-3.765		-3.765
Allocation to the revenue reserve					2.100	-2.100	0		0
Allocation to the revenue reserve				418		-418	0		0
Allocation to the revenue reserve	4.184				-4.184		0		0
the revenue reserve					-56	0	-56	-66	-122
as of Dec. 31,2006	8.368	863	-212	418	2.899	11.968	24.304	0	24.304
Currency fluctuation			18				18		18
Net income of the Group for the year						2.000	2.000		2.000
Group for the year			18			2.000	2.018		2.018
Transfer from stock options		80					80		80
Dividend distribution									0
Allocation to the revenue reserve							0		0
Allocation to the revenue reserve									0
Allocation to the revenue reserve									0
the revenue reserve						0			0
as of Dec. 31,2007	8.368	943	-194	418	2.899	13.968	26.402	0	26.402

CENIT Aktiengesellschaft Systemhaus

Segment Report by Segments prepared in accordance with IFRS (unaudited) for the period from January 1 to March 31, 2007

in EUR `000	ECM	PLM	not allocated	Group
Sales to third parties
Q1 2007	5,500	12,106	0	17,606
Q1 2006	4,629	14,552	0	19,181
EBIT
Q1 2007	1,266	1,759	0	3,025
Q1 2006	50	2,556	0	2,606
Interest and financial result
Q1 2007	0	0	120	120
Q1 2006	0	0	-168	-168
Taxes
Q1 2007	0	0	-1,145	-1,145
Q1 2006	0	0	-464	-464
Net Income/loss of the group
Q1 2007	1,266	1,759	-1,025	2,000
Q1 2006	50	2,556	-632	1,974
Segment assets
March 31, 2007	4,543	12,098	22,434	39,075
Dec 31, 2006	5,434	13,358	20,418	39,210
Segment liabilities
March 31, 2007	2,869	8,873	931	12,673
Dec 31, 2006	4,966	7,505	2,435	14,906
Capital expenditure
March 31, 2007	97	325	0	422
Dec 31, 2006	298	760	0	1,058
Amortization & depreciation
Q1 2007	64	196	0	260
Q1 2006	56	221	0	277

CENIT Aktiengesellschaft Systemhaus Segment Report by Region prepared in accordance with IFRS (unaudited) for the period from January 1 to March 31, 2007

in EUR `000	D	CH	USA	RU	FR	not allocated	Consoli dation	Group
Intercompany Sales
Q1 2007	399	775	123	0	0	0	-1,297	0
Q1 2006	444	141	42	0	0	0	-627	0
Sales to third parties
Q1 2007	16,267	243	1,026	70	0	0	0	17,606
Q1 2006	18,317	308	556	0	0	0	0	19,181
Segment assets
March 31, 2007	15,397	1,655	1,597	82	0	22,434	-2,090	39,075
Dec 31, 2006	17,637	1,080	1,291	0	0	20,418	-1,216	39,210
Capital expenditure
March 31, 2007	408	5	2	7	0	0	0	422
Dec 31, 2006	981	2	75	0	0	0	0	1058

EXPLANATORY NOTES TO SHARES AND SUBSCRIPTION RIGHTS HELD BY DIRECTORS, COMPANY OFFICERS AND EMPLOYEES IN ACCOR-DANCE WITH Section 160 Subsection 1 No. 2 AND Section 5 AktG

Company directors hold 24,000 share option rights. CENIT employees hold another 183,000 share option rights.

Directors´ Holding:

Shares as of 31. April 2007

Total Number of Shares: 8,367,758

Executive Board: Supervisory Board:

Kurt Bengel:	0	Falk Engelmann:	186,980
Christian Pusch:	0	Hubert Leypoldt:	1,600
Andreas Schmidt:	191,792	Dr. Dirk Lippold:	0

DIRECTORS' HOLDING