CENIT AG

Earnings Release • May 9, 2007

News Details

Ad-hoc | 9 May 2007 08:38

CENIT’s highly successful start in 2007

CENIT AG Systemhaus / Quarter Results

Release of an Ad hoc announcement according to § 15 WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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CENIT Software increases EBIT margin to over 17%

Stuttgart, May 9, 2007 – CENIT started 2007 with an extremely successfully
first quarter, essentially influenced by the development of their software
business. In the meantime, 19% of the total revenue is achieved through the
sales of CENIT software. At the same time, the hardware sales dropped as
expected by 62% to 1.6 million € (2006: 4.6 million €), thus enabling CENIT
to take a decisive step towards their goal of a massive development of
their software business. As a result, the EBIT margin improved by 13.6% in
2006 to over 17% in the first quarter of 2007.

In the first quarter, CENIT achieved consolidated sales of 17.6 million €
(2006: 19.2 Mio. € /-9). The decline in sales can be attributed to the
hardware business. The gross profit thus increased by 5% to 15.6 million €
(2006: 14.8 million €). The EBITDA achieved 3.3 million € (2006: 2.9
million € /3%). The result of the operational business operations before
interest and taxes (EBIT) rose in the reporting period from 2.6 million €
in 2006 by 16% to 3.0 million. The EBT (result before taxes) was 3.1
million € (2006: 2.4 million € /30%) and the consolidated result in the
first quarter is 2.0 million € (2006: 1.97 million €). The group EPS
(earnings per share) was 0.24 € (2006 adjusted: 0.23 €), showing that CENIT
started the year on an extremely positive basis.

This very favorable growth in earnings is positively affecting the group’s
financial standing. At the balance sheet date, the equity capital is 26.4
million € (2006: 24.3 million €) and the equity ratio is 68% (2006: 62%).
The balance of bank deposits and securities of the current assets is 20.6
million € (2006: 18,6 Mio. €) at the balance sheet date. The operational
cash flow is 3.4 million € (2006: 2.2 million €) and the free cash flow
reached 2.0 million € (2006: 1.3 million €).

Breakdown of Revenue

The sales volume with CENIT Software increased by 9% to 3.3 million €,
meaning that 19% of the total revenue was achieved with CENIT’s own
software. In the previous year it was around 16% of the total revenue, with
3.0 million €. Business with other vendors’ software also increased by 6.2%
to 1.6 million € (2006: 1.5 million €). The sales volume in the Services
sector again rose by 8.5% to 11.0 million € (2006: 10.1 million €).
Hardware business dropped as expected significantly by 62% to 1.6 million €
(2006: 4.6 million €).

Order Situation

The orders balance as of March 31, 2007 in the group is 27,7 million €
(12/2006: 18,2 million €) and the incoming orders amount to around 31,7
million € (2006: 31,2 million €). The share of new customers increased in
total to 3% in the first quarter.

Prospects

CENIT is aiming at increasing the total revenue share of proprietary
software by up to 30% over the next three years. Based on this successful
start to the fiscal year 2007, we are confident to continue the tendencies
in the software business. A high workload in the consulting business and
the sustained positive economic development support our positive
expectations for 2007. We are underscoring our reputation in the aerospace
industry through the foundation of a subsidiary in Toulouse and expect this
to yield additional positive impulses in the consulting business. The
international character of CENIT’s business is also increasing in
significance through the further consistent development of the subsidiaries
in the US and Romania. Given our optimized product portfolio and our
competitive range of consulting services, we are confident that CENIT will
also profit from the general economic growth.

Queries to:

CENIT AG Systemhaus
ISIN:DE0005407100
Fabian Rau
Vice President Investor Relations & Marketing
Industriestraße 52-54, D-70565 Stuttgart
Tel.: +49 711 7825-3185
Fax: +49 711 782544-4185
E-Mail: f.rau@cenit.de

About CENIT: The company has been active since 1988 as specialists for
Product Lifecycle Management, Enterprise Content Management solutions and
Application Management Outsourcing. CENIT is listed in the Prime Standard
of the German Stock Market and currently has over 570 employees. CENIT
works for customers such as Allianz, BMW, DaimlerChrysler, EADS, Airbus,
AXA, Metro, VW and numerous medium-sized companies. http://www.cenit.de

Additional explanations: This press release/ad hoc announcement may contain
future-oriented statements about the company, as well as the financial and
profit situation and earnings forecast of CENIT. These future-oriented
terms or statements may include, for example, 'the company can', or 'the
company will', 'expects', 'assumes', 'is considering', 'intends', 'plans',
'believes', 'continues' and 'estimates', as well as similar terms and
statements. These statements do not guarantee that any forecasts that might
have been made will be achieved. These statements are rather, in fact,
associated with risks, uncertainties and assumptions that are difficult to
anticipate and are also based on assumptions regarding future events that
might prove to be unfounded. For these reasons, the actual results could
vary considerably from the assumptions expressed here. In a future-oriented
statement, in which CENIT expresses expectations or assumptions with regard
to future results, these expectations or assumptions are made in good faith
and it is to be assumed that these have an appropriate basis in fact;
however, it cannot be guaranteed that the statement, expectations or
assumptions will be reached, achieved or fulfilled. The actual operating
profit might vary considerably from these future-oriented statements and is
subject to certain risks. In this regard, we refer to the annual report of
CENIT AG Systemhaus.

DGAP 09.05.2007