secunet Security Networks AG

Earnings Release • Aug 12, 2009

News Details

Corporate | 12 August 2009 08:00

secunet Security Networks AG: half-year financial report 2009 – sustained growth, return to profitability

secunet Security Networks AG / Half Year Results

Release of a Corporate News, transmitted by DGAP - a company of EquityStory
AG.
The issuer / publisher is solely responsible for the content of this announcement.

---

secunet half-year financial report 2009: sustained growth, return to
profitability

• Sustained growth trend: sales up by 16% on previous year
• Return to profitability: positive second quarter compensates for effects
  of Q1
• Confidence for year overall: high volume of orders

[Essen, August 12, 2009] In the first six months of 2009, secunet Security
Networks AG, a leading German provider of solutions and products for IT
security and high-security, increased sales by 16% compared with the
previous year. At the same time, the secunet Group once again posted a
positive result, thus offsetting the negative first quarter. secunet
publishes its half-year financial report 2009 today. The positive trend in
the first six months, the good order situation and the general conditions
for the core business give the company's Management Board confidence for
the whole of 2009.

The consolidated sales of secunet Security Networks AG increased by 16% in
the first half of 2009 from Euro 22.1 million in the previous year to Euro
25.5 million. The principle revenue driver is the Public Sector business
division, which is geared towards authorities and which generates around
80% of sales revenue. The business division achieved substantial increases
in sales in the months January through June 2009. Driven by a major
infrastructure project and increasing demand for IT security consulting,
the Government business unit in particular grew by 48%. In contrast sales,
in the Business Security business unit, which is aimed at customers from
the private sector, fell slightly. This is where the effects of the
economic crisis are very apparent: budget restrictions and postponed
projects are curbing growth.
The expense positions in the secunet Group rose from Euro 22.3 million in
the first half of 2008 to Euro 25.5 million. Purchased materials and
services, which increased by 24.3% from Euro 8.0 to 9.9 million, rose
disproportionately. This is chiefly due to the growth in the product
business which is linked with hardware supplies. In the first six months of
2009, personnel expenses increased by 13% to Euro 10.5 million, while
depreciation remained almost constant at Euro 0.4 million. Other operating
expenses rose slightly by 1.8% to Euro 4.8 million.
The profitable second quarter of 2009 with earnings before interest and
taxes (EBIT) of Euro 0.4 million (previous year: Euro 0.02 million) offset
the negative EBIT recorded in the first quarter of 2009. At the end of the
first six months of 2009, EBIT stood at Euro 0.3 million compared with Euro
0.4 million in the previous year. The post-tax profit for the first
half-year comes to Euro 0.3 million, a decrease of 53% compared with the
previous year's value of Euro 0.6 million. Earnings per share in the first
six months of 2009 amounted to Euro 0.04 (previous year: Euro 0.10).
Compared with the situation as of December 31, 2008 (Euro 15.9 million),
liquid assets in the secunet Group were reduced by Euro 8.1 million to Euro
7.8 million as of June 30, 2009. The reasons for this are the payment of
variable salary components in the first quarter of 2009, the decline in
trade payables and the increase in receivables in the first half of 2009.
This reduction in short-term current assets is also clearly apparent in the
cash flow for the first six months: following Euro -3.7 million in the
previous year, cash flow in 2009 amounted to Euro -8.1 million.
'Our sustainable increase in sales confirms that we are very well
positioned in the growth market of state-of-the-art IT security', says Dr.
Rainer Baumgart, CEO of secunet Security Networks AG. 'Business with
customers from the public sector will also ensure stable, future
development.'
secunet's good market position and the general conditions in the IT
security business give the Management Board confidence for future growth in
the 2009 financial year. secunet Security Networks AG's volume of orders as
of June 30, 2009, supports this view: at Euro 28.1 million, it represents
an increase of 49% on the previous year.

Dr. Kay Rathke
Director Corporate Communications
secunet Security Networks AG
Kronprinzenstrasse 30
45128 Essen/Germany
Phone +49 201 54 54-1234
Fax +49 201 54 54-1235
E-mail: presse@secunet.com
http://www.secunet.com

12.08.2009 Financial News transmitted by DGAP

Language: English
Issuer: secunet Security Networks AG
Kronprinzenstrasse 30
45128 Essen
Deutschland
Phone: +49 (0)201 - 5454 - 1234
Fax: +49 (0)201 - 5454 - 1235
E-mail: investor.relations@secunet.com
Internet: www.secunet.com
ISIN: DE0007276503
WKN: 727650
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hannover, München, Hamburg, Stuttgart

End of News DGAP News-Service

---