USU Software AG: Annual Result 2003 and Outlook
Möglingen (ots)
- Sales development within expectations - Non-recurring effect through goodwill amortisation - Significant reduction of net loss of the year - Cash and capital investments at EUR 47.8 million - Positive result scheduled for the 2004 financial year
USU Software AG achieved consolidated sales of EUR 19.1 million (PY: EUR 19.5 million, pro forma* PY: EUR 24.0 million) in the 2003 financial year, in line with guidance. EBITDA improved considerably to EUR -3.3 million (PY: EUR -22.1 million, pro forma* PY: EUR -23.6 million) as a result of a lower cost basis. Taking into account non-cash goodwill amortisation of EUR 5.0 million (PY: EUR 15.2 million), the net loss of the year amounted to EUR -7.2 million (PY: EUR -38.4 million, pro forma* PY: EUR -43.8 million). At the end of the reporting period the Group's cash and cash equivalents and long-term financial investments totalled EUR 47.8 million (PY: EUR 55.3 million). The Management Board confirmed its forecast for the 2004 financial year, according to which sales are to amount to between EUR 16.0 million and EUR 18.0 million, and the net result is to be between EUR 1.0 million and EUR 1.5 million.
USU Software AG and its subsidiaries posted consolidated sales of EUR 19.1 million (PY: EUR 19.5 million) in the 2003 financial year. Whilst sales improved to EUR 16.8 million (PY: EUR 15.2 million) with consultation, maintenance and other revenues, the weak investment climate in the IT sector led to a decline of the licensing business to EUR 2.3 million (PY: EUR 4.3 million). EUR 11.0 million (PY: EUR 11.9 million) was generated by Business Solutions and EUR 8.1 million (PY: EUR 7.7 million) by IT-Controlling.
Due to the concentration process of holding and Group structures initiated in the previous year, as well as the concentration of the Group portfolio through divestments, disposals or the discontinuation of activities by USU Software AG and its subsidiaries, sales declined as against the pro forma* sales of the previous year (pro forma* PY: EUR 24.0 million). At the same time, the Company reduced its cost basis significantly as a result of additional structural adjustments and the continuation of the cost savings programme. EBITDA improved against the previous year to EUR -3.3 million (PY: EUR -22.1 million, pro forma* PY: EUR -23.6 million).
Due to the structural adjustments in the Group and the reduced sales level, in particular in licensing, the goodwill of the USU Software Group underwent impairment testing at the end of the 2003 financial year. This identified a goodwill amortization requirement of EUR 5.0 million (PY: EUR 15.2 million). Other amortization and depreciation included in this amount totalled EUR 1.0 million (PY: EUR 3.8 million). Including this non-cash amortization and depreciation, EBIT amounted to EUR -9.3 million (PY: EUR -41.1 million, pro forma* PY: EUR -44.2 million).
The net loss of the year totalled EUR -7.2 million (PY: EUR -38.4 million, pro forma* PY: EUR -43.8 million). Thus, USU Software AG considerably improved its result as against the previous year, despite the negative general conditions and the necessary structural adjustments within the Group. With an average of 17,043,581 (PY: 15,753,608, pro forma* PY: 16,940,339) shares, earnings per share increased to EUR -0.42 (PY: EUR -2.44 per share, pro forma PY: EUR -2.58 per share).
On a quarterly basis, USU Software AG improved EBITDA to EUR -0.3 million (PY: EUR 1.1 million) with sales of EUR 4.3 million (PY: EUR 5.5 million) in Q4 2003. As a result of goodwill amortization of EUR 5.0 million, this resulted in an EBIT of EUR -5.4 million (PY: EUR -0.7 million) and a quarterly result of EUR -5.0 million (PY: EUR 0.1 million).
As at the end of the reporting period the Group had secured financial resources of EUR 47.8 million (PY: EUR 55.3 million). Cash and capital investments increased slightly as against Q3. The sound financial situation is also reflected in an equity ratio of 88.5% (PY: 84.4%).
The Management Board anticipates sales of between EUR 16.0 million and EUR 18 million for the 2004 financial year. In addition, the Company is striving to achieve a net income of the year for 2004 of between EUR 1.0 million and EUR 1.5 million. Also, the Company's comprehensive capital funds have resulted in additional acquisition potential.
* The 2003 reporting period covers the twelve months from January 1 to December 31, 2003. Correspondingly, the comparative period for the prior year covers the twelve months from January 1, 2002 to December 31, 2002. USU AG, Möglingen, the major subsidiary was consolidated for the first time on March 11, 2002.
In order to allow comparison of the disclosures for the 2003 reporting period with those of the prior period, additional pro forma disclosures on the consolidated income statement have been made to reflect the situation that would have eventuated had USU AG been consolidated on January 1, 2002.
USU Software AG
As a software and solutions provider, we have been offering our customers value-added oriented IT products and customised application solutions for more than 25 years. Analysts consider USU a European market leader in IT-Controlling. We support customers in generating a transparent control of the efficiency of their IT, in the context of a comprehensive controlling. The new product suite Valuemation addresses competence issues such as IT Asset Management, IT Finance Management or Service/Change Management. As a solution provider, USU successfully combines IT expertise and specialist competence to form tailor-made systems in Business Solutions. Established knowledge management products supplement the broad portfolio with our own process models and the expertise gained in large projects. Longstanding customer relationships connect USU with market leaders in all areas of the economy. On 31 December 2003, the USU Group employed 212 staff at 6 locations. Further information can be found on the internet at www.usu-software.de
ots Original Text Service: USU Software AG Internet: http://www.presseportal.de
Contact:
USU Software AG
Corporate Communications
Dr Thomas Gerick
Phone: +49 (0) 71 41 / 48 67 440
Fax: +49 (0) 71 41 / 48 67 909
E-mail: t.gerick@usu-software.de
USU Software AG
Investor Relations
Falk Sorge
Phone: +49 (0) 71 41 / 48 67 351
Fax: +49 (0) 71 41 / 48 67 108
E-mail: f.sorge@usu-software.de
Original-Content von: USU Software AG, übermittelt durch news aktuell