ATOSS Software AG — Earnings Release 2007

Oct 25, 2007

News Details

Corporate | 25 October 2007 08:16

ATOSS Software AG: ATOSS Software AG continues dynamic growth

ATOSS Software AG / Quarter Results/Preliminary Results

Release of a Corporate News, transmitted by DGAP - a company of EquityStory
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ATOSS Software AG continues dynamic growth, delivering more record results

• Software license sales up 19 % to € 4.0 million

• EBIT up 33% to € 2.8 million: best 9-month result in the history of the

company

• Earnings forecast revised upwards again for the full year 2007

Munich, October 25, 2007 – In the third quarter of 2007 ATOSS Software AG
(ISIN DE0005104400) once again recorded a substantial improvement in sales
and results and continued to develop its business successfully. Overall
sales in the first 9 months have risen to € 17.8 million. This equates to
11 percent growth on top of the € 15.9 million in sales recorded in the
same period in 2006. Earnings before interest and taxes (EBIT) in the first
nine months of 2007 climbed 33 percent to € 2.8 million (previous year €
2.1 million), which is the best result in the history of the company. The
EBIT margin came in at 16 percent, up once again on the year before (13
percent).

Increased license sales deliver substantial revenue and earnings growth

The principal driving force behind the company’s profitability has been the
increase in software license sales which have risen 19 percent to € 4.0
million (previous year € 3.4 million). Software maintenance revenues rose
11 percent to € 6.8 million (previous year € 6.1 million), while consulting
climbed 10 percent to € 4.5 million (previous year € 4.1 million).
Supported by an improvement in earnings from financial activities, the
pre-tax result stands at € 3.1 million (previous year € 2.4 million).
Net income in the first nine months of 2007 reached € 1.8 million,
exceeding the previous year’s figure of € 1.4 million by 29 percent.
Earnings per share improved by 10 cent to stand at € 0.46.

A sound balance sheet and strong cash flow

The gratifying development in sales was also reflected in liquidity which
stood at € 14.8 million on September 30, 2007, compared with € 10.8
million as per December 31, 2006. Over the same period equity was 10 % up
on the year before at € 9.6 million (previous year € 8.7 million). ATOSS
thus continues to enjoy first-class funding power and highly comfortable
liquid reserves. Cash flow from operations at the end of the quarter
amounted to € 5.5 million (previous year € 5.4 million), equivalent to
31 percent of sales recorded in Q3 (previous year 34 percent), or €
1.38 per share (previous year € 1.37).

Forecast raised for 2007

In view of the accelerated growth recorded in the first nine months of the
financial year, the company is again raising its full-year forecast.
Earnings before interest and taxes (EBIT) in 2007 are expected to reach a
new record high of at least € 3.4 million (previous year: € 2.8
million, inc. extraordinary income of € 0.4 million). The
company continues to adhere to its conservative forecasting policy.
Therefore provided that the current gratifying trend in business continues,
the current forecast for the full year may yet be exceeded.

The full ATOSS Software AG financial statements for the first nine months
of 2007 will be published on the company’s web site at www.atoss.com on
November 22, 2007.

CONSOLIDATED OVERVIEW: Figures as per September 30, 2007 in T€ (as per
IFRS)

              01.01.2007  Proportion  01.01.2006  Proportion    Change
                      -   of 
              30.09.2007      sales   30.09.2006      sales

Sales 17,752 100% 15,930 100% 11%
Software 10,748 61% 9,470 59% 13%
of which software 3,990 22% 3,360 21% 19%
licensing
of which software 6,758 38% 6,110 38% 11%
maintenance
Consulting 4,467 25% 4,069 26% 10%
Hardware ,2,005 11% 1,909 12% 5%
Miscellaneous 532 3% 486 3% 9%
EBITDA 3,155 18% 2,412 15% 31%
EBITCB (1) 2,822 16% 2,177 14% 30%
EBIT 2,789 16% 2,095 13% 33%
EBT 3,097 17% 2,385 15% 30%
Net Income 1,808 10% 1,396 9% 29%
Cash flow 5,477 31% 5,358 34%
Liquidity (2/3) 14,841 11,664 27%
EPS (in €) 0.46 0.36 28%
Employees (4) 192 171 12%

CONSOLIDATED OVERVIEW: Quarterly comparison in T€ (as per IFRS)

In T€ as per IFRS Q3/07 Q2/07 Q1/07 Q4/06 Q3/06
Sales 6,099 5,924 5,729 6,061 5,538
Software 3,782 3,594 3,373 3,459 3,346
of which software licensing 1,482 1,345 1,163 1,252 1,248
of which software 2,300 2,249 2,210 2,206 2,098
maintenance
Consulting 1,489 1,486 1,492 1,489 1,361
Hardware 644 664 697 904 648
Miscellaneous 184 180 167 209 184
EBITDA 1,020 1,147 988 798 910
EBITCB (1) 918 1,024 879 690 819
EBIT 907 1,014 868 684 802
EBIT margin in % 15% 17% 15% 11% 14%
EBT 1,028 1,108 960 809 856
Net Income 564 664 580 488 542
Cash flow 3,238 -762 3,000 -1,045 2,600
Liquidity (2/3) 14,841 11,743 13,619 10,784 11,664
EPS (in €) 0.14 0.17 0.15 0.12 0.14
Employees (4) 192 188 180 169 171

(1) EBIT before cost of employee convertible bond participation programme

(2) Cash and marketable securities (3) Dividends of 0.24 € per share paid
on April 27, 2007

(4) at the end of the quarter

About ATOSS

For more than 20 years ATOSS Software AG has specialized in flexible,
demand-oriented staff deployment, offering integrated solutions which
encompass consulting, software and professional services. With the ATOSS
Staff Efficiency Suite, ATOSS Startup Edition and ATOSS Time Control
systems, modular software packages are available to meet all of the
requirements of undertakings of all sizes and in all sectors. The software
employs the latest technologies and can be integrated into existing IT
landscapes without great expense. With 192 employees at eight locations,
ATOSS is represented in Germany, Austria and Switzerland. Meanwhile, the
deployments of over two million workers employed by more than 3,500
customers are managed with ATOSS solutions. The company’s software products
are in use in nine countries and eight languages.

ATOSS Software AG, Am Moosfeld 3, D-81829 München

Christof Leiber / Member of the Management

Tel.: +49 (0) 89 4 27 71 – 265; Fax: +49 (0) 89 4 27 71 – 100

investor.relations@atoss.com
25.10.2007 Financial News transmitted by DGAP

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Language: English
Issuer: ATOSS Software AG
Am Moosfeld 3
81829 München
Deutschland
Phone: +49 (0)89 4 27 71-0
Fax: +49 (0)89 4 27 71-100
E-mail: revolution-in-time@atoss.com
Internet: www.atoss.com
ISIN: DE0005104400
WKN: 510440
Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Stuttgart, München, Hamburg, Düsseldorf

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