USU Software AG — Earnings Release 2003

May 28, 2003

News Details

Ad-hoc | 28 May 2003 08:30

USU-Openshop AG english

Three-month figures: USU-Openshop on track Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Despite difficult conditions, in the first quarter of 2003 USU-Openshop continued the development of the fourth quarter of 2002 and posted an EBIT result of EUR -0.8 million (PY: EUR -3.2 million, PY: pro forma*: EUR -6.3 million). In particular in a comparison to the first quarter of 2002, these figures show the sustained impact of the restructuring measures and the resulting reduction of the cost burden in the group. In the reporting period it was particularly operating costs such as marketing and selling costs, research and development and general administrative expenses which were considerably down on the previous year at EUR 2.9 million (PY: EUR 4.2 million, PY pro forma: EUR 8.1 million). In the first quarter of 2003 sales of EUR 5.6 million were generated (PY: EUR 1.9 million, PY pro forma: EUR 6.3 million). The year-on-year decline on a pro forma basis resulted from the portfolio streamlining and necessary staff reduction, including in the consultancy area. By division, USU-Openshop generated EUR 2.4 million sales in IT-Controlling division and EUR 3.2 million in the Business Solutions division. As a result of the stable sales situation in the core business and the considerably reduced cost basis, the net loss of the period of EUR -0.2 million was considerably less that that of the previous year with a loss of EUR -2.5 million (PY pro forma: EUR -7.8 million). As a result with an average number of 17,211,186 shares (PY and PY pro forma: 11,299,277 shares), the result improved from EUR -0.22 per share in the first quarter of 2002 (PY pro forma: EUR -0.69 per share) to EUR -0.01 per share in the reporting period. As of 31 March 2003 liquid funds and investments totalled EUR 52.0 million. For the second quarter the Board of Management is still expecting a negative result to be posted. However, for the second half of the year the company anticipates a more positive business trend and expects to post a profit for the whole year. *The reporting period covers the first three months 2003. The comparative period of the previous year relates to the three months 2002. USU was consolidated in the previous year on 11 March 2002. To secure comparability of the figures with those of the following periods, additional pro forma information on the profit and loss account has been provided, showing a pro forma consolidation of USU AG as of 1 January 2002. end of ad-hoc-announcement (c)DGAP 28.05.2003 Issuer’s information/explanatory remarks concerning this ad-hoc-announcement: Three-month figures: USU-Openshop on track – Q1 2003 net result considerably up on previous year – Cost savings program starts to impact The reporting period at USU-Openshop covers the first three months of the financial year of the company from January to March 2003. The comparative period of the previous year relates to the three months 1 January to 31 March 2002. USU was consolidated in the previous year on 11 March 2002. To secure comparability of the figures with those of the following periods, additional pro forma information on the profit and loss account has been provided, showing a pro forma consolidation of USU AG as of 1 January 2002. Möglingen, 28 May 2003. In the first three months of the 2003 financial year, USU-Openshop generated sales of EUR 5.6 million (PY pro forma: EUR 6.3) and with a net loss of the quarter of EUR -0.2 million considerably reduced the loss to the same period in the previous year as scheduled (pro forma: EUR -7.8 million). An optimised cost structure and the focussed portfolio of products and services are making a positive impact for the first time, and together with a stable order situation form the basis for the targeted profit for the year as a whole. Liquid funds and investments at the company total EUR 52.0 million. Despite difficult general conditions, USU-Openshop continued the develop-ment of the fourth quarter of 2002 and in the period between January and March 2003 posted EBIT of EUR -0.8 million (PY pro forma: EUR -6.3 million). Selling and marketing expenses, research and development and general administrative expenses were reduced significantly to EUR 2.9 million (PY pro forma: EUR 8.1 million). The considerable reduction of the net loss of the quarter to just under EUR -0.2 million (PY pro forma: EUR -7.8 million) is equivalent to earnings per share of EUR -0.01 (PY pro forma: EUR -0.69). Due to portfolio streamlining and restructuring measures implemented last year, the sales of EUR 5.6 million generated in the reporting period were slightly down on the previous year (PY pro forma: EUR 6.3 million). The IT-Controlling division generated sales of EUR 2.4 million and the Business Solutions division EUR 3.2 million. Of particular interest is the positive development of the Knowledge Business solutions which make knowledge-intensive core flows in companies quicker and more productive. The order situation remains negatively impacted by ongoing restraint by companies regarding investments, but remains stable. As of 31 March 2003 the number of employees was down to 245 (31.December 2003: 283 staff). At the end of the reporting period the company had liquid funds of EUR 52.0 million, equity capital of EUR 72.6 million and an equity ratio of 87.6 percent. In the last two quarters, USU-Openshop has posted a significant improvement in the result in comparison to the comparable periods of the previous year. Cost saving programs and the concentration on the modern core port-folio are already impacting and also form the basis for a successful development in the rest of the year. For the second quarter the Board of Management is stilling expecting a negative result to be posted. However, for the second half of the year the company anticipates a more positive business trend and to post a profit for the whole year. As already reported, USU-Openshop is planning the full take-over of USU AG within the framework of a squeeze-out in the current quarter. It is planned to acquire the bearer shares of the USU AG minority shareholders against a cash payment of EUR 6.35 for each bearer share of USU AG. This press release can be downloaded at http://www.usu-openshop.com. USU-Openshop Following the maxim “Knowledge means business”, USU-Openshop develops and markets holistic solutions which integrate knowledge and processing in a company, thus contributing to a sustained value-added. USU-Openshop supports its clients in managing their IT costs transparently and making company knowledge productive. The company, which evolved in March 2002 as the merger of Openshop Holding AG and USU AG, offers strategies, products and services for this in its business areas Knowledge Business and IT-Controlling. With these core competences, the company, listed in the Prime Standard, holds a leading position in German-speaking countries. Longstanding customer relationships connect USU- Openshop with market leaders in all areas of German business. As of March 31, 2002 the USU-Openshop Group currently employs 245 staff at nine locations. Further information can be obtained on the Internet at www.usu-openshop.com Contact: USU-Openshop Corporate Communications Dr. Thomas Gerick Tel.: 0 71 41 / 48 67 440 Fax: 0 71 41 / 48 67 909 E-mail: t.gerick@usu-openshop.com USU-Openshop Investor Relations Falk Sorge Tel.: 0 71 41 / 48 67 351 Fax: 0 71 41 / 48 67 108 E-mail: f.sorge@usu-openshop.com ——————————————————————————– WKN: 780470; ISIN: DE0007804700; Index: Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Düsseldorf, Hamburg, Hannover, München und Stuttgart 280830 Mai 03