15. Juli 2008

InVision Software AG Publishes its Figures for the First Nine Months of 2007

  • Group Revenues Almost Double
  • Operating Earnings Grow Considerably
  • Outlook for 2007 Confirmed

InVision Software AG (ISIN: DE0005859698), one of the leading international providers of enterprise-wide workforce management solutions, increased its revenues in the first nine months of 2007 to EUR 10.5 million, which represents a 96 percent increase over its revenues for the same period of the previous year. Above all, a major order procured from the public sector in Great Britain during the third quarter contributed significantly to the revenue increase. The principal sources of revenue in the first nine months was licence sales, which totalled EUR 5.8 million and were 133 percent higher than the revenues from license sales generated during the same period of the previous year.

The development of revenues in the regions illustrates the success of the Group’s internationalisation strategy. Although revenues in Germany, Austria and Switzerland (EUR 3.3 million) remained constant during the first three quarters compared to the same period of the previous year, the revenues generated by the other foreign locations rose by 248 percent to EUR 7.2 million, which represents 69 percent of total revenue. Revenues from those other foreign locations were only 39 percent of total revenue in the first nine months of 2006.

The Group’s favourable performance is also clearly evident from its operating result (EBIT). The EBIT for the first nine months of 2007 was EUR 1.3 million, which corresponds to a 12.5 percent margin. During the same period of the previous year, the Group still faced an operating loss of approximately EUR 0.9 million. The Group results improved from EUR -0.4 million to EUR 1.7 million, and the earnings per share after nine months was EUR 0.75 compared to EUR -0.18 at the end of the same period of the previous year.

Peter Bollenbeck, CEO of InVision Software AG, explained: “The solid business performance in the first nine months of 2007 was primarily the result of our stronger sales and service capacities. Having now successfully completed several pilot projects, we expect substantial licence revenues for the current quarter as well and are adhering to our forecast of significant revenue growth and disproportionately higher earnings increases for the entire 2007 year.”

The key event impacting the Company’s financial condition and net assets as of 30 September 2007 was the capital increase made in connection with the Company’s initial public offering in June of this year. The balance sheet total grew from EUR 5.7 million at the end of 2006 to EUR 27.7 million at the end of the third quarter of 2007. The equity capital ratio increased during the same period from 4 percent to 82 percent. Cash and cash equivalents equal EUR 17.4 million. Operating cash flow was EUR -2.8 million, which may be attributed above all to the increase in trade receivables from newly executed orders as well as a proportionate repayment of liabilities. The number of employees rose from 119 at the end of 2006 to 155 as of 30 September 2007.

The detailed report regarding business developments during the first nine months of 2007 will be published, as announced, on 14 November 2007.