Realtech AG

Earnings Release • Oct 28, 2014

News Details

Ireland | 28 October 2014 12:54

REALTECH AG: Group interim statement in accordance with Section 37 x of the German Securities Trading Act (WpHG) for the 3rd quarter of 2014 and the first 9 months of 2014

REALTECH AG / Release of an announcement according to Article 37x of the WpHG [the German Securities Trading Act]

28.10.2014 12:54

Interim report according to Article 37x of the WpHG, transmitted by
DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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* Group revenue decreased by EUR 3.0 million
* EBIT improved by EUR 2.3 million to minus EUR 1.3 million
* EBIT for the quarter not negative for the first time since Q4/2012
* Net income improved by EUR 2.4 million to minus EUR 1.7 million

Walldorf, October 28, 2014. After the first nine months of the 2014 fiscal
year, the economic development of REALTECH AG shows that the implemented
realignment of the company is making significant progress. Nevertheless,
further effort is required. The measures taken continue to concentrate on
the extensive restructuring of sales and marketing. At the same time, the
focus is still on structured, customeroriented development and expansion of
the REALTECH portfolio.

In the first nine months of 2014, REALTECH AG achieved Group revenue of EUR
25.3 million. This corresponds to a decline of 10 percent compared to the
previous year's figure (EUR 28.3 million). Revenue from Consulting services
declined by EUR 2.7 million, reaching EUR 17.2 million. The reasons for
this development lie in the continuing realignment of this business area.
In addition, a major order in Japan that had already been prepared was
postponed by the customer. Furthermore, the German consulting project that
was terminated at the turn of the year continues to negatively impact
income in the Consulting area.

Revenues in the Software segment were generally stable over the 9-month
period, reaching EUR 8.2 million (EUR 8.4 million in 2013).

At the same time, the measures with a view to economic stabilization and
realignment are bearing fruit: operating profit (EBIT) improved by EUR 2.3
million to minus EUR 1.3 million over the nine months. The net income on
September 30, 2014 had increased by EUR 2.4 million compared with the first
nine months of the previous year to minus EUR 1.7 million. This results in
earnings per share of minus EUR 0.32 following minus EUR 0.76 in the
previous year.

3rd Quarter 2014:
Group revenue in the 3rd quarter of 2014 decreased by 10 % compared with
the same quarter of the previous year to EUR 8.5 million (3rd quarter 2013:
EUR 9.4 million). Consulting revenue declined by EUR 1.0 million to EUR 5.6
million. The Software segment remained at the same level as in the previous
year at EUR 2.8 million.

Operating profit (EBIT) in this quarter improved year-on-year from minus
EUR 0.8 million to EUR 0.0 million and is thus not negative for the first
time since Q4/2012. The net income at the end of the quarter rose from
minus EUR 1.1 million to minus EUR 0.2 million, resulting in earnings per
share of minus EUR 0.04 compared to minus EUR 0.20 the previous year.

The REALTECH Group had 331 employees on the key date of September 30, 2014
- 11 percent fewer than at the end of the third quarter of 2013 (370). In
Germany, the number of employees has also fallen by 11 percent - from 278
to 248.

The REALTECH Executive Board continues to expect the operating profit
(EBIT) for the 2014 fiscal year to improve in the range from minus EUR 1.0
million to EUR 0.0 million following minus EUR 6.5 million in the previous
year.

REALTECH AG
The Executive Board

Contact:
Manon Fischer
Investor Relations
REALTECH AG, 69190 Walldorf
Tel.: +49.6227.837.500
Fax: +49.6227.837.546
E-mail: investors@realtech.com
www.realtech.com

Legal Notice:
This interim report may contain certain future-oriented statements that are
based on the current assumptions and forecasts of the REALTECH AG company
management or its associated companies. Various known and unknown risks and
uncertainties as well as other factors can lead to the consequence that the
actual revenues, the financial situation, the development or the
performance of REALTECH AG and its associated companies deviate
significantly from the estimations made here. Neither REALTECH AG nor its
associated companies are obligated to update such future-oriented
statements and adapt them to future events or developments.

28.10.2014 The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language: English
Company: REALTECH AG
Industriestraße 39c
69190 Walldorf
Germany
Internet: www.realtech.com

End of Announcement DGAP News-Service

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