adesso AG closes 2011 financial year with new record in sales revenues and operating results / forecast for 2012: further growth on the horizon

Dortmund, 30 March 2012 – With the publication of its annual report and consolidated financial statements, adesso AG has today presented its audited financial figures for 2011 and details of the preliminary results announced on 7 March 2012. The record sales revenues of EUR 106.0 million (previous year: EUR 85.7 million) and consolidated result of EUR 3.9 million (previous year: EUR 2.5 million) have prompted the Executive and Supervisory Boards to propose to the Annual General Meeting that the dividend to be paid be increased by 20 % to EUR 0.18 per share.

With a 24 % rise in sales revenues, 20 % of which was organic, adesso has made maximum use of the auspicious market environment that presented itself to IT companies in 2011 and increased its market share. The company enjoyed particular success in expanding its product business, with new highs in earnings from its licence and maintenance segments. adesso also boosted its profitability thanks to increased licence revenues, its IT consultants and developers being busier, a rise in average daily rates and modifications to its cost structure. Investments amounting to over EUR 1 million in the development of a new product family for the energy and water industries did not prevent the operating margin rising to 8.1 % from 6.5 % in the previous year. The company’s operating result stands at EUR 8.6 million (previous year: EUR 5.6 million).

Earnings per share increased by 74 % to EUR 0.72 (previous year: EUR 0.42); in this context, it will be proposed to the Annual General Meeting that the dividend paid per share be raised to EUR 0.18 (previous year: EUR 0.15), which translates to a payout ratio of 25 % and a dividend yield of 2.9 %, based on 2010’s closing share price.

adesso is anticipating further growth in 2012, despite expectations that demand will lose momentum. The company’s favourable position in attractive growth markets gives rise to a prediction of organic growth in sales revenues to between EUR 110 million and EUR 112 million. Conversely, the business environment appears not to be positive enough to support a further increase in licence revenues in continuation of the record-breaking performance seen in 2011. The company expects a lower operating result, in the range of EUR 7.2 million to EUR 7.5 million, due primarily to a renewed substantial increase in investment in its dynamic.suite product family. Nevertheless, earnings before taxes are forecast to reach the high level seen in 2011, at EUR 5 million, without further write-downs on the company value of adesso Austria GmbH.

adesso is upping its investments in the in-house development of software products in order to lay the foundations for additional growth, higher future margins and to further strengthen its leading position in the sectors targeted by its products, accepting a potential temporary negative impact on its margins and results in pursuit of this objective. adesso is expected to continue growing organically at a rate at least double that seen in the market overall. The company’s medium-term planning envisages its entering additional markets, such as that in the US, and making further acquisitions, with the target of achieving sales revenues of EUR 150 million in the year 2014.

You can access the annual report and a year-on-year key figures overview in the Investor Relations area of the company website at www.adesso-group.de.

The Executive Board

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