CIMdata PLM Industry Summary Online Archive
13 February 2008
Financial News
CENIT Preliminary Results 2007; Order situation promises a considerable increase in sales and earnings for 2008
Essential decisions with far-reaching consequences as for important investments in expanding internationalisation and recruiting of skilled personnel as well as the enlargement of the software area define the previous financial year of CENIT. And even though the past quarters’ delays in product related business and software sales, could not be compensated in the 4th quarter, we continue to look favourably into the future, due to the identified potential. In 2007, CENIT has successfully set on its way from a local consulting services and software provider to a global acting group. In the future this strategic decision will ameliorate sustainably the operating performance and profitability of the group.
In 2007, according to preliminary uncertified figures, the CENIT group generated sales of 77.0 million € (2006: 82.4 million €/ -7%). Gross profit amounts 58.5 million € (2006: 59.0 million €/ -1%). EBITDA reached 9.7 million € (2006: 11.1 million €/ -13%). In the reporting period, EBIT decreased to 8.6 million € (2006: 10.2 million €/ -16%). EBT is 9.4 million € (2006: 10.0 million €/ -6%). Earnings per share (EPS) amounts 0.78 € (2006: 1.0 €/ -21%) which is negatively affected by an obvious higher tax rate. The earnings decline is based on the missing PLM software revenues as well as delays in IBM product sales for our FileNet System Monitor software solution.
In 2007 the number of staff increased again by 10% and totals 636 (2006: 576) across the group – a gratifying development despite skills shortage.
Outlook
In 2008 we expect a significant increase in group sales and in 2009 a growth in line with the market. In particular, increasing revenues for the sale of CENIT proprietary software and the worldwide distribution cooperation for our software solution with our partners IBM, SAP and Dassault Systèmes should contribute to increasing the groups’ earnings. In the aerospace industry we expect a higher demand in PLM consultancy. The Enterprise Information Management area has already grown in 2007 stronger than the market and will benefit in 2008 too from a positive investment climate for EIM solutions. Our objective is to ameliorate the groups’ operative performance in 2008 and 2009 sustainably.
In the coming years we will expand our USA activities, particularly in the software area together with SAP, Dassault Systèmes and starting 2008 also with Right Hemisphere. The worldwide available sales agreement with Right Hemisphere in the SAP environment offers additional potential in the US American and European market, which will positively affect CENIT sales with third-party software and related services.
By establishing our subsidiary for software development and Application Management Outsourcing services in Romania we made another important step to improve our future competitiveness.
With the integration of cad scheffler we moreover gain important new customers and market shares in the PLM environment. In 2008 the integration will be a basic challenge for CENIT and should contribute positively to the group performance in the following years.
Our new subsidiary in France builds a bridge to our major customer EADS. At and with this location, we are planning on setting new standards for the future. Due to a positive investment climate through our markets we intend to increase our staff by 10% again. Should the trend continue, a further expansion in staff numbers is also to be expected in 2009. This expansion takes place in all subsidiaries and will lead to increased personnel expenses.
Certified results and figures of the financial year 2007 will be announced on occasion of our annual press conference on financial statements at March 31, 2008.
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