Nemetschek SE

Quarterly Report • Apr 30, 2010

Quarterly Statement as of March 31, 2010

2 Quarterly Statement as of March 31, 2010

To our Shareholders

Dear shareholders, ladies and gentlemen,

Off to a good start: after a year in which revenue fell as a result of the economic situation, we once again saw an increase in the first quarter. License revenues even increased by around 10 percent – but then this was also where we experienced the greatest losses in 2009. Western and Eastern Europe, areas particularly affected by the crisis, started to recover, and a few non-European markets have also stabilized.

The cost level has remained stable, as planned, and has also been reflected in the results. In the first quarter, we also achieved an important milestone: Nemetschek AG is now free of net debt – the outstanding liabilities of 32 million euros are set against liquid assets of almost 35 million euros. That has confirmed our intention to allow our shareholders to participate in the company's success this year again and to pay out a dividend for 2009.

However, prudence is still required. The year is by no means over and there are many question marks surrounding the economic development. And the growth outlooks for our most important markets are known for their cautiousness.

For 2010, we have planned group-wide growth in the region of three to five percent – and as things look today, this remains realistic. We are going to continue to count on a recovery of license revenues, primarily in the non-German markets. The planned product innovations should also play their part here – all the large companies will again launch substantial innovations on the market in the current fiscal year. At the same time our subsidiaries must continuously increase the proportion of maintenance contracts.

On balance, higher sales revenues will also have a positive effect on earnings, as the non-sales-dependent costs are largely set to remain stable. And we will of course be maintaining the high level of investment in research and development – to ensure corporate management over the long term as we understand it.

Thank you for your trust.

Yours sincerely

Ernst Homolka

CEO

The Share

Steady rise

The Nemetschek share started Q1 2010 at 16.44 euros. The publication of the preliminary financial results for 2009 gave the share fresh impetus: on February 18, the price leapt from 16 euros to 17.80 euros. As a result, the share increased further and cost 18.30 euros at the end of February.

After the announcement of the final annual financial results for 2009, Goldman Sachs and WestLB increased their price targets for the Nemetschek share on March 25 to 27 and 28 euros respectively. For the current fiscal year the analysts anticipate an increase in revenue between three (WestLB) and seven percent (Goldman Sachs) and an EBITDA between 33 and 34.8 million euros.

In the final weeks of the quarter the share increased steadily and closed at 19.45 euros on March 31. The share price was thus 18 percent higher than at the start of the year.

Price development of the Nemetschek Share from March 1, 2009 onward

Nemetschek Group at a glance

Millions of €	March 31, 2010	March 31, 2009	Change
Revenues	35.4	33.6	6%
Gross profit	34.3	33.3	3%
as % of revenue	97%	99%
EBITDA	8.3	7.3	15%
as % of revenue	24%	22%
EBIT	6.0	4.8	24%
as % of revenue	17%	14%
Net income (Group shares) adjusted by PPA effects *)	4.8	3.7	29%
per share in €	0.50	0.39
Net income (Group shares)	3.4	2.3	49%
per share in €	0.35	0.24
Net income	3.6	2.3	52%
Cash flow for the period	7.8	6.8	15%
Cash flow from operating activities	12.9	9.5	36%
Cash flow from investing activities	–1.0	–0.5	93%
Cash and cash equivalents	34.8	22.9	52%
Net debt **)	2.6	–9.3	–128%
Equity **)	84.2	79.6	6%
Equity-quote **)	49%	50%
Headcount as of balance sheet date **)	1,065	1,064
Average number of outstanding shares (undiluted) *) PPA = Purchase Price Allocation	9,625,000	9,625,000	0%

**) Presentation of previous year as of December 31, 2009

Report on the Earnings, Financial, and Asset Situation

Successful start in fiscal year 2010

In the first three months of the year Nemetschek made a good start in 2010 and, compared with the same period in the previous year, improved in all key areas. The revenues in the group increased to 35.4 million euros (previous year: 33.6 million euros), which represents growth of 6 %. The group EBITDA increased by 15 % to 8.3 million euros (previous year: 7.3 million euros). The net income increased by more than 50 % to 3.6 million euros (previous year: 2.3 million euros). The cash flow from operating activities amounted to 12.9 million euros after 9.5 million euros in the first quarter of 2009.

Software revenues up by 10 %

Compared with the same period in the previous year the Nemetschek Group managed to increase revenues from license sales from 15.8 million euros to 17.4 million euros. This is equivalent to 10 % growth. Revenues from maintenance contracts rose 3 % to 15.7 million euros and thus account for 44% of overall revenue (previous year: 45 %).

Revenues abroad show significant growth

In its foreign markets the Nemetschek Group managed to increase revenues by 8 % to 21.0 million euros. In the previous year these amounted to 19.6 million euros. Revenues from abroad thus accounted for 59 % of overall revenue, after 58 % in the previous year. Domestic revenues increased from 14.0 million euros to 14.3 million euros. This is equivalent to 3 % year-on-year growth.

Profitable segments with increased revenues

The Design and Multimedia business units managed to grow in comparison with the same period in the previous year. In the Design segment the revenue increased by 5 % to 28.9 million euros. The EBITDA in this business unit amounted to 6.0 million euros (previous year: 5.7 million euros), which represents an operating margin of 21% like in the previous year. The Multimedia business unit increased significantly: revenues here were up by 27 % from 1.8 million euros to 2.3 million euros (previous year: 1.8 million euros). The EBITDA increased to 0.9 million euros (previous year: 0.4 million euros), the operating margin thus amounted to 38 % after 20 % in the first quarter of 2009.

The Build segment managed to largely maintain the high revenue level of the previous year's quarter and achieved revenues of 3.2 million euros (previous year: 3.3 million euros). The EBITDA increased further to 1.3 million euros after 1.1 million euros; the EBITDA margin thus amounted to 41 % (previous year: 32 %). The Manage segment achieved revenues of 1.0 million euros like in the previous year and an EBITDA of 0.1 million euros (previous year: 0.2 million euros).

Earnings per share of 0.35 euros

Thanks to the increase in revenues and the ongoing keenly pursued cost management the group achieved an EBITDA of 8.3 million euros in the first three months of the year (previous year: 7.3 million euros), which represents an operating margin of 24% (previous year: 22 %). The operating costs sank again marginally from 30.3 million euros to 30.1 million euros.

Following amortization from purchase price allocation of 1.8 million euros and interest of 1.2 million euros from the bank loans, the net income was 3.6 million euros (previous year: 2.3 million euros). The financial result contains the interest expenses of 0.6 million euros, which are due to the negative market valuation of the interest hedge concluded as part of the financing of the Graphisoft acquisition. The earnings per share (consolidated shares, basic) are 0.35 euros (previous year: 0.24 euros).

Nemetschek plans dividend payout

As part of the annual general meeting on May 26, 2010, Nemetschek AG will propose a dividend payout of 4.8 million euros to the shareholders. This is 0.50 euros per share. Based on the final share price in 2009 it is equivalent to a dividend yield of 3.1 percent.

Strong cash flow from operating activities

The positive result of the first three months of the current fiscal year is also reflected in the cash flow. The cash flow from operating activities rose by 3.4 million euros to 12.9 million euros (previous year: 9.5 million euros). The cash flow for the period reached 7.8 million euros (previous year: 6.8 million euros). The cash flow from investment activities amounted to – 1.0 million euros (previous year: – 0.5 million euros) and mainly comprises the replacement of fixed assets. The cash flow from financing activities amounted to – 0.4 million euros (previous year: – 0.6 million euros) and consists of interest payments only.

Group free of net debt

The group increased cash and cash equivalents compared with December 31, 2009, by 11.9 million euros to 34.8 million euros. After deduction of the remaining loan from the Graphisoft acquisition in the amount of 32.2 million euros the group is free of net debt. In the second quarter further scheduled and special repayments of the loan are planned. Current assets increased by 12.6 million euros to 65.4 million euros (December 31, 2009: 52.8 million euros), largely as a result of the increase of cash. The long-term assets were reduced to 105.4 million euros (December 31, 2009: 106.5 million euros). This was primarily the result of planned amortization of asset values from purchase price allocation.

Equity ratio of 49 %

8.9 million euros of the current liabilities relate to the current portion of the bank loan (including interest share) from the Graphisoft acquisition. 23.5 million euros of the non-current liabilities relate to the longterm portion of the bank loan. The balance sheet total was 170.9 million euros on March 31, 2010 (December 31, 2009: 159.4 million euros). This is largely attributable to the increase in liquid assets and the increase in deferred revenues of 9.2 million euros as a result of the maintenance fees invoiced at the beginning of the year. Equity amounted to 84.1 million euros (December 31, 2009: 79.6 million euros) and the equity ratio is 49 % (December 31, 2009: 50 %).

Events after the end of the reporting period

There were no significant events after the end of the reporting period.

Employees

On March 31, 2010, the Nemetschek Group employed 1,065 people (December 31, 2009: 1,064).

Shares owned by the board members

As of March 31, 2010, there is no change in the share ownership of the board members: Professor Georg Nemetschek (supervisory board) owns 1,411,322 shares; Ernst Homolka (CEO) owns 225 shares.

Consolidated statement of comprehensive income

for the period from January 1 to March 31, 2010 and January 1 to March 31, 2009

Thousands of €	1st Quarter 2010	1st Quarter 2009
Revenues	35,379	33,550
Own work capitalized	276	54
Other operating income	431	1,512
Operating Income	36,086	35,116
Cost of materials / cost of purchased services	–1,751	–1,816
Personnel expenses	–15,599	–15,496
Depreciation of property, plant and equipment and amortization of intangible assets thereof amortization of intangible assets due to purchase price allocation	–2,355 –1,762	–2,442 –1,818
Other operating expenses	–10,402	–10,538
Operating expenses	– 30,107	– 30,292
Operating results (EBIT)	5,979	4,824
Interest income	34	107
Interest expenses	–1,183	–1,723
Income from associates	83	57
Earnings before taxes	4,913	3,265
Income taxes	–1,359	–929
Net income for the year	3,554	2,336
Other comprehensive income:
Difference from currency translation	987	–451
Total comprehensive income for the year	4,541	1,885
Net income for the year attributable to:
Equity holders of the parent	3,388	2,274
Minority interests	166	62
Net income for the year	3,554	2,336
Total comprehensive income for the year attributable to:
Equity holders of the parent	4,375	1,823
Minority interests	166	62
Total comprehensive income for the year	4,541	1,885
Earnings per share (undiluted) in euros	0.35	0.24
Earnings per share (diluted) in euros	0.35	0.24
Average number of shares outstanding (undiluted)	9,625,000	9,625,000
Average number of shares outstanding (diluted)	9,625,000	9,625,000

There are no significant changes compared to the information provided in the consolidated financial statements as per December 31, 2009.

Opportunity and risk report

Please see the consolidated financial report of December 31, 2009 for details on the most significant opportunities and risks for the prospective development of the Nemetschek Group. There have been no major changes in the meantime.

Report on forecasts and other statements on prospective development

Considering the development of the license revenues in the group, initial recovery tendencies could be made out in the first quarter of 2010 in individual regions in Western and Eastern Europe that had previously suffered especially hard in the crisis. The situation in Germany, Switzerland and Austria remained pleasingly steady.

With this background in mind the Nemetschek Group continues to expect revenue growth for 2010 in the region of three to five percent. With largely stable non-sales-dependent costs the growth in revenues has a positive impact on earnings so that the EBITDA margin of 2009 (22 percent) can be maintained.

Consolidated statement of financial position

as of March 31, 2010 and as of December 31, 2009

Assets Thousands of €	March 31, 2010	December 31, 2009
Current assets
Cash and cash equivalents	34,755	22,861
Trade receivables, net	21,029	21,141
Inventories	618	827
Tax refunded claims for income taxes	2,592	2,286
Current financial assets	536	537
Other current assets	5,889	5,181
Current assets, total	65,419	52,833
Non-current assets
Property, plant and equipment	3,695	3,632
Intangible assets	46,125	47,529
Goodwill	52,233	51,958
Associates / investments	742	660
Deferred tax assets	1,232	1,344
Non-current financial assets	746	763
Other non-current assets	670	640
Non-current assets, total	105,443	106,526

The interest expense will continue to decrease as a result of the ongoing reduction in liabilities from the Graphisoft acquisition, even if the valuation of the interest hedge made in this context at any one time can slightly dull this effect. The net income at any rate will also increase in 2010 thanks to lower interests.

With respect to the economic outlook and the forecasts for the building industry in 2010, please refer to the forecast in the consolidated financial statement of December 31, 2009.

Notes on the Quarterly Statement based on IFRS

The Nemetschek Group's quarterly statement is compiled in accordance with the International Accounting Standards Board's (IASB) International Financial Reporting Standards (IFRS). The quarterly statement on March 31, 2010, has not been audited and has not undergone an audit review. It is based on the same accounting, appraisal and calculation methods as the consolidated financial statement dated December 31, 2009. The group of companies is the same as on December 31, 2009.

Equity and liabilities Thousands of €	March 31, 2010	December 31, 2009
Current liabilities
Short-term loans and current portion of long-term loans	8,932	8,731
Trade payables	3,238	5,007
Payments on account	78	164
Provisions and accrued liabilities	9,258	9,371
Deferred revenue	23,954	14,774
Income tax liabilities	3,439	2,431
Other current liabilities	3,426	4,868
Current liabilities, total	52,325	45,346
Non-current liabilities
Long-term loans without current portion	23,558	23,556
Deferred tax liabilities	5,907	6,564
Pension provisions	204	200
Non-current financial obligations	4,085	3,490
Other non-current liabilities	657	618
Non-current liabilities, total	34,411	34,428
Equity
Subscribed capital	9,625	9,625
Capital reserve	41,611	41,611
Revenue reserve	52	52
Currency translation	–2,817	–3,804
Retained earnings	34,031	30,643
Equity (Group shares)	82,502	78,127
Minority interests	1,624	1,458
Equity, total	84,126	79,585
Total equity and liabilities	170,862	159,359

Consolidated cash flow statement

for the period from January 1 to March 31, 2010 and January 1 to March 31, 2009

Thousands of €	2010	2009
Profit (before tax)	4,913	3,265
Depreciation and amortization of fixed assets	2,355	2,442
Change in pension provision	4	13
Other non-cash transactions	592	1,158
Income from associates	–83	–57
Losses from disposals of fixed assets	18	10
Cash flow for the period	7,799	6,831
Interest income	–34	–107
Interest expenses	1,183	1,723
Change in other provisions and accrued liabilities	–113	–921
Change in trade receivables	115	–894
Change in other assets	46	1,066
Change in trade payables	–1,769	–2,929
Change in other liabilities	6,153	5,312
Interest received	34	106
Income taxes received	225	225
Income taxes paid	–751	–949
Cash flow from operating activities	12,888	9,463
Capital expenditure	–980	–584
Cash received from the disposal of fixed assets	14	63
Cash flow from investing activities	– 966	– 521
Repayments of borrowings	0	–17
Interest paid	–375	–593
Cash flow from financing activities	– 375	– 610
Changes in cash and cash equivalents	11,547	8,332
Effect of exchange rate differences on cash and cash equivalents	347	37
Cash and cash equivalents at the beginning of the period	22,861	23,227
Cash and cash equivalents at the end of the period	34,755	31,596

Consolidated Segment Reporting

for the period from January 1 to March 31, 2010 and January 1 to March 31, 2009

2010	Thousands of €	Total	Elimination	Design	Build	Manage	Multimedia
Revenue, external		35,379		28,915	3,244	950	2,270
Intersegment revenue		0	–108	0	1	2	105
Total revenue		35,379	– 108	28,915	3,245	952	2,375
EBITDA		8,335		6,036	1,342	96	861
Depreciation / Amortization		–2,355		–2,260	–33	–14	–48
Segment Operating result (EBIT)		5,980		3,776	1,309	82	813

2009 Thousands of €	Total	Elimination	Design	Build	Manage	Multimedia
Revenue, external	33,550		27,429	3,299	1,039	1,783
Intersegment revenue	0	–144	0	3	4	137
Total revenue	33,550	– 144	27,429	3,302	1,043	1,920
EBITDA	7,266		5,672	1,092	150	352
Depreciation / Amortization	–2,442		–2,347	–34	–14	–47
Segment Operating result (EBIT)	4,824		3,325	1,058	136	305

Statement of changes in group equity

for the period from January 1 to March 31, 2010 and January 1 to March 31, 2009

	Equity attributable the parent company's shareholders
Thousands of €	Subscribed capital	Capital reserve	Revenue reserve	Currency translation	Retained earnings	Total	Minority interests	Total equity
As of January 1, 2009	9,625	41,611	52	– 3,042	18,413	66,659	1,245	67,904
Difference from currency translation				–451		–451		–451
Net income of the year					2,274	2,274	62	2,336
Total comprehensive income for the year	0	0	0	– 451	2,274	1,823	62	1,885
As of March 31, 2009	9,625	41,611	52	– 3,493	20,687	68,482	1,307	69,789
As of January 1, 2010	9,625	41,611	52	– 3,804	30,643	78,127	1,458	79,585
Difference from currency translation				987		987		987
Net income of the year					3,388	3,388	166	3,554
Total comprehensive income for the year	0	0	0	987	3,388	4,375	166	4,541
As of March 31, 2010	9,625	41,611	52	– 2,817	34,031	82,502	1,624	84,126

Financial Calendar 2010

Publication Annual Report
Capital Market Conference Baden-Baden
Quarterly Statement 1 / 2010
AGM
First-Half Report 2010
Quarterly Statement 3 / 2010
German Equity Forum Frankfurt / Main

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Nemetschek AG Investor Relations Konrad-Zuse-Platz 1 81829 Munich

Contact: Regine Petzsch Head of Corporate Communications and Investor Relations Tel.: + 49 89 92793-1219 Tel.: + 49 89 92793-5404 E-Mail: rpetzsch@nemetschek.com

NEMETSCHEK Aktiengesellschaft Konrad-Zuse-Platz 1 81829 Munich Germany Phone + 49 89 92793 – 0 Fax + 49 89 92793 – 5200 investorrelations@nemetschek.com www.nemetschek.com