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15.05.2012 – 08:47

adesso AG

EANS-Interim Report: adesso AG

  Intermediate report of the management pursuant to section 37x of the WpHG
  transmitted by euro adhoc. The issuer is responsible for the content of this
Restrained start to 2012 for adesso AG with high investments

* Sales increase by 2% to EUR 27.4 million
* Significant increase in investments as planned
* EBITDA in Q1 of 2012 slightly below Q4 of 2011 at EUR 1.3 million,
significantly below the prior year value of EUR 2.8 million
* Earnings per share EUR 0.12 after three months (prior year: EUR 0.31)
* Guidance is maintained and increased by the value of the majority investment

While the sales of adesso AG continued to increase in the first three months of
2012, higher investments in own solutions and structures for further growth
combined with lower capacity utilisation resulted in reduced earnings compared
to the prior year as well as the preceding quarter.

In a market environment that remains positive overall, adesso increased its
sales to a new quarterly high of EUR 27.4 million with a growth rate of 2%,
which fell short of expectations for the first quarter and did not match the
increase in the number of employees. Sales increased in all core sectors with
the exception of the new target market, the energy and water supply and
distribution sector. Volatile capital market developments did not lead to a
decrease in the banking and insurance business. License sales in the content
solutions segments with the product FirstSpirit matched the favourable values of
the prior year. Positive business developments in Austria confirm the sustained
return to profitability and the earnings budget for 2012. Sales and earnings
once again increased significantly in Switzerland after record values were
already generated last year.

The number of employees increased by 4% to 879 with purely organic growth in the
first quarter of 2012. Compared to the prior year, the number of employees
increased by 18% and therefore far outstripped the growth in sales. 

The adesso Group made higher investments in further growth and its own solutions
in the first quarter of 2012 compared to the prior year, as previously
announced. Development of the dynamic.suite modules for the energy sector is
proceeding rapidly; the impact on earnings increased to EUR 480 thousand with
company-produced and capitalised assets of EUR 192 thousand. Investments in the
development of a mobile solutions product decreased earnings by a further EUR 82
thousand. Furthermore, adesso has developed and expanded the organisation
structure with additional managers at several sites and a number of sectors in
Germany, with the objective of accelerating growth over subsequent years. Hiring
additional billable employees is planned for the coming quarters. In addition to
the planned investments, the lower average capacity utilisation in the first
quarter also had a perceptible negative impact on earnings. This reduction in
capacity utilisation was the result of accelerated hiring as well as a reduction
of activity in the energy and water supply and distribution sector, with a
decrease in earnings of more than EUR 0.5 million compared to the prior year.

Operating earnings (EBITDA) decreased by a total of 53% to EUR 1.3 million
compared to the first quarter of 2011, the best quarter of the adesso Group to
date (prior year: EUR 2.8 million). EBITDA fell slightly by EUR 0.1 million
compared to the fourth quarter of 2011. The EBITDA margin was 4.8% (prior year:
10.3 %).

With depreciation and amortisation of EUR 552 thousand (prior year: EUR 499
thousand) and financial earnings of EUR 26 thousand (prior year: EUR -47
thousand), this led to pre-tax earnings (EBT) of EUR 0.8 million compared to EUR
2.2 million in the prior year and EUR 0.9 million in the fourth quarter of 2011.
Consolidated earnings for the shareholders of adesso AG totalled EUR 0.7 million
for the first three months of 2012 compared to EUR 1.7 million in the prior
year. Earnings per share fell by 60% to EUR 0.12 (prior year: EUR 0.31).

adesso holds liquid assets of EUR 19.5 million as of the reporting date on 31
March 2012 (prior year: EUR 14.7 million), which is EUR 3.0 million less
compared to 31 December 2011. The net liquidity is EUR 15.2 million (prior year:
EUR 8.4 million). Cash flows related to the acquisition of ARITHNEA GmbH
occurred after the reporting date. The equity ratio remains at 49%. adesso
therefore has a solid balance sheet structure with a favourable financial

Notwithstanding the slow start to the year, the original targets for 2012 are
being maintained. The takeover of 51% of the shares in ARITHNEA GmbH is included
in the consolidated accounts beginning with the second quarter of 2012. This
acquisition results in the following changes to the guidance for 2012: sales
revenues of EUR 118 to 120 million (previously: EUR 110 to 112 million); EBITDA
EUR 8.3 to 8.6 million (previously: EUR 7.2 to 7.5 million) and pre-tax earnings
unchanged at EUR 5.0 million. Due to short-term depreciation and amortisation
from the acquisition of the company and the minority interests in the earnings
of ARITHNEA, a positive effect of the acquisition on earnings per share is not
expected until 2013.

The adesso Group is stepping up investments in products and further growth in
2012 compared to the prior years. This will benefit adesso in the form of
additional market share and rising profits in coming years.

These and additional indicators for Q1 2012 are available in table form under
Investor Relations on the adesso website:

The Executive Board

end of announcement                               euro adhoc 

issuer:      adesso AG
             Stockholmer Allee 24
             D-44269 Dortmund
phone:       +49 231 930-9330
FAX:         +49 231 930-9331
sector:      Computing & Information Technology
ISIN:        DE000A0Z23Q5
indexes:     CDAX
stockmarkets: free trade: Berlin, München, Hamburg, Düsseldorf, Stuttgart,
             regulated dealing/general standard: Frankfurt 
language:   English

Original content of: adesso AG, transmitted by news aktuell

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