Ctac N.V. — Interim / Quarterly Report 2005

Nov 3, 2005

Ctac

Total number of pages: 4

PRESS RELEASE

's-Hertogenbosch, 3 November 2005

Ctac continues growth in third quarter

In the third quarter of 2005, SAP provider Ctac continued the growth it showed in the first half of 2005. Third quarter turnover amounted to EUR 5.6 million (2004: EUR 2.9 million), a 90% increase. The autonomous growth for this quarter amounted to 42%.

Net profit over the third quarter amounted to EUR 0.1 million (2004: EUR 0.1 million loss). The results of the fourth quarter 2005 are expected to surpass those of the third quarter 2005, barring unforeseen circumstances.

	Q3 2005	Q3 2004	9 months 2005	9 months 2004
Turnover (x EUR m.)	5.6	2.9	15.4	9.0
Operating result (x EUR m.)	0.3	- 0.2	0.9	- 0.2
Net result (x EUR m.)	0.1	- 0.1	0.4	- 0.1

Wil Huijben, Chairman of Ctac's Board of Management: "Our SAP Powerhouse strategy increasingly yields results. With SAP specialist expertise areas, including SMB, Retail and Business Intelligence, we are committed to delivering customer-specific solutions. By further extending the Powerhouse, we broaden our customer base and increasingly generate 'cross-selling opportunities'. The growth that started in the first half of 2005 continued during the third quarter. Additionally, we were able to secure a number of sizable orders. This has reinforced the foundation for further expansion of our Powerhouse."

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Ctac

Turnover and results

During the first nine months of 2005, the ICT market for medium-sized businesses recovered, which generated more interest in Ctac's specialist SAP expertise. This caused an increase in turnover of 71% to EUR 15.4 million (9 months 2004: EUR 9.0 million).

Traditionally, the third quarter tends to be weak for Ctac due to the holiday period. This implies that the utilisation rate was at a lower level than in the two previous quarters. The number of consultants increased within all units. Turnover grew by 90% in the third quarter when compared to the same period last year, amounting to EUR 5.6 million (third quarter 2004: EUR 2.9 million).

Over the first nine months, the operating result amounted to EUR 0.9 million (9 months 2004: EUR 0.2 million loss). The operating result in the third quarter amounted to EUR 0.3 million (2004: EUR 0.2 million loss).

During the third quarter, the operational margin was slightly lower than in the first half of 2005. This is due to a lower utilisation rate during the holiday period and the induction period of the newly recruited employees, which cannot be fully invoiced. The operational margin over the first nine months amounts to 6%.

Net profit over the first nine months amounted to EUR 0.4 million after deduction of third party interests (in connection with the 51% participation in mYuice, Re-Spect and Alphalogic). Net profit in the third quarter amounted to EUR 0.1 million.

Developments per business unit

Application Management & Improvements

Turnover in SAP management and optimisation activities grew over the past period. Various management orders were renewed. In the third quarter, new orders were secured from a number of clients, including Mammoet Holding, NIKO Group, Sekisui S-Lec, Beton Son BV, Mastervolt, Sanoma Magazines B.V. and Klaas Puul.

Integration Management

The growing need for integration of systems and organisations has resulted in an increased demand for integration tools. Ctac Integration management looks back on a healthy third quarter, with a satisfactory utilisation rate.

Business Intelligence

The activity level in the Business Intelligence expertise field also increased during the third quarter. The utilisation rate was acceptable in running projects. Ctac has noted an increase in customer interest for the Business Intelligence realm. An implementation order for KAS BANK was acquired during the third quarter.

mYuice

The activities of mYuice, specifically focusing on SAP solutions for small and mid-size companies by means of SAP All in One and SAP Business One implementations, were further reinforced. MYuice acquired the Business One activities of Merzaan (a company in the southwest of the Netherlands), thus strengthening its own Business One activities. MYuice

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Ctac

meanwhile has 26 employees. During the third quarter, various new orders came in for both All in One and Business One implementations. mYuce was selected as a partner by Deloitte and SAP for the Food and Beverage markets. This strengthens mYuce's growth perspectives.

Re-Spect

Re-Spect, established on 1 January 2005, has shown excellent development rates over the first nine months of 2005. Re-Spect exclusively focuses on SAP solutions for retailers. The consultants worked on running projects during the third quarter.

Alphalogic

Alphalogic, specifically focusing on SAP SCM solutions for medium-sized and large businesses, won orders from Campina Valess, DHL and Nedac Sorbo and others during the third quarter.

New activities

Ctac acquired the SAP system integration activities of PDM Group ("PDM") as per 1 September 2005. The acquired SAP activities were set up in a business unit focusing on engineering, maintenance and services. This constitutes the seventh business unit within Ctac's SAP Powerhouse model. The acquired activities are highly complementary to the other activities within Ctac, reinforcing optimisation possibilities between the various business units.

The new group of professionals can boast unique expertise in the area of engineering and maintenance, and has been one of very few SAP-certified partners to build up a strong track record in this discipline over the past few years. In 2004, the acquired activities generated sales of approximately EUR 1.0 million. The activities have been included in the accounts as of 1 September.

Outlook

For the fourth quarter of 2005, Ctac expects further recovery of the ICT market for medium-sized businesses. During the fourth quarter of 2005, Ctac will continue to focus on further reinforcement of its market positions and result improvement. The results of the fourth quarter of 2005 are expected to surpass those of the third quarter, barring unforeseen circumstances.

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Profile Ctac

Ctac is an ICT services provider specialising in SAP solutions. Activities include implementation, integration and management of SAP systems and related activities such as system upgrades and system optimisations. The company is a SAP Service Partner and the largest SAP reseller for medium-sized enterprises in the Netherlands. Ctac's clients include more than 120 organisations in trade and industry, business services, (semi) government organisations and universities.

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Ctac

Ctac employed 182 people at 30 September 2005. The company is based in 's-Hertogenbosch (the Netherlands).

Ctac is listed on the Eurolist by Euronext Amsterdam and included in the Next Economy segment of Euronext.

For more information:

Ctac N.V. Goudsbloemvallei 30 P.O. Box 773 5201 AT 's-Hertogenbosch Tel. +31 (0)73-6920692 Internet: www.ctac.nl E-mail: info@ctac.nl Contact: Wil Huijben - CEO

Important dates:

Press Release, Annual Figures 2005 : Thursday 9 March 2006 General Meeting of Shareholders : Thursday 18 May 2006 Press Release Q1 2006 : Thursday 18 May 2006 Press Release Half Year Results 2006 : Thursday 31 August 2006 Press Release Q3 2006 : Thursday 2 November 2006

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