Leipzig, May 15, 2006 - PC-Ware AG, one of Europe's leading IT service enterprises, succeeded in maintaining its forward momentum in the 2005/6 financial year. Operating within a solid growth market, PC-Ware AG propelled revenues to approx. EUR 591 million (approx. +17% year on year). As in the past, all business segments contributed to growth, which was driven by organic expansion as well as by corporate acquisitions. The company's foreign subsidiaries once again recorded exponential growth. This encouraging performance is reflected in EBITDA, which totalled approx. EUR 12.1 million (+22% year on year). This result is above the company's target range of EUR 10-12 million. Similarly, EBIT rose to approx. EUR 9.3 million (approx. +35% year on year), thus underlining the company's solid level of operational growth.
In contrast to last year's finance income, the company recorded finance cost of EUR 1.7 million in the financial year just ended. This was attributable mainly to the negative performance of swap transactions, which impinged on the net finance result with costs of around EUR 2.2 million. Against this backdrop, EBT is expected to be EUR 7.7 million (-7% year on year), while consolidated net profit is estimated at around last year's level of EUR 4.4 million.
As part of preparations for year-end reporting, the company has come to the conclusion, as until March 27, 2006, that the former accounting policy of disclosing swap transactions merely in the notes to the financial statements requires rectification. Therefore the ad hoc announcements pertaining to the results of the first, second and third quarters of the 2005 financial year, as published on August 25, 2005, November 22, 2005, and February 28, 2006, via HUGIN IR Services and additionally on the website of PC-Ware Information Technologies AG (at www.ir.pc-ware.de) shall be adjusted as follows: earnings before taxes and net profit for the first quarter amounted to EUR 1.9 million and EUR 1.4 million respectively (as opposed to the reported EUR 2.1 million and EUR 1.5 million), earnings before taxes and net profit for the second quarter amounted to EUR 0.4 million and EUR 0.0 million respectively (as opposed to the reported EUR 1.3 million and EUR 0.5 million) and earnings before taxes and net profit for the third quarter amounted to EUR 5.1 million and EUR 3.4 million respectively (as opposed to the reported EUR 5.7 million and EUR 3.6 million).
In order to limit the risks associated with swap transactions and prevent any further impact on earnings as a result of such transactions, the company has made the decision to close all open swap positions effective from the end of the financial year. In line with the financial policy promulgated by Dr. Tillmann Blaschke, who joined the Management Board in March as the executive responsible for commercial activities, the company will desist from deploying financial derivatives which are not used solely for the purpose of hedging.
Given the favourable market outlook, the company's stronger position in all three business segments both in Germany and abroad and the changes to the Management Board, PC-Ware can look forward with confidence. On this basis, it believes that it can exceed the revenue threshold of EUR 700 million and EBITDA of EUR 15-17 million in the 2006/7 financial year (April 1, 2006 - March 31, 2007).
Committed to a consistent dividend policy, the Management Board and Supervisory Board of PC-Ware have proposed a dividend of EUR 0.50 per share, compared with EUR 0.40 a year ago.
Contact: Investor Relations Dr. Ingmar Ackermann PC-Ware Information Technologies AG Blochstrasse 1 04329 Leipzig Phone: +49 (0)341 25 68-148 [email protected]
WKN: 691090; ISIN: DE0006910904; Index: CDAX, Prime All Share, TECH All Share, GEX; Listed: Regulated Market of the Frankfurt Securities Exchange, Prime Standard of the Frankfurt Securities Exchange, Regulated Unofficial Market (Open Market) Berlin Bremen Stock Exchange, Regulated Unofficial Market (Open Market) Düsseldorf Stock Exchange, Regulated Unofficial Market (Open Market) Lower Saxony Stock Exchange Hanover, Regulated Unofficial Market (Open Market) Stuttgart Stock Exchange;
http://www.pc-ware.de
