Summary
SimCorp signed three new contracts in the third quarter of the year – two related to SimCorp Dimension and one related to SimCorp Coric.
Total revenue for the first nine months of 2014 increased 5% measured in local currencies and 4% in EUR and amounted to EUR 164.1m, EUR 6.5m higher than for the same period last year.
By comparison with last year revenue from additional license sales to existing customers decreased by 31%.
EBIT for the nine-month period was EUR 28.8m, compared with EUR 31.8 for the year-earlier period. Currency exchange rate fluctuations have impacted EBIT positively by EUR 0.8m for the nine-month period.
Net profit for the nine-month period was EUR 21.2m compared with EUR 22.9m for the same period last year.
At 30 September 2014, contracts equaling EUR 210m of the projected 2014 revenue had been secured, EUR 6m more than at the same time last year.
SimCorp revises its guidance for revenue growth measured in local currencies to be around 7% (previously between 8% and 10%) and also revises its guidance for EBIT margin measured in local currencies to be around 24% (previously 24.5%).This is a reflection of the uncertainty in timing of a number of contracts that are in late stage negotiations with new as well as existing customers.
Based on the currency exchange rates at 31 October 2014 SimCorp now expects revenue growth in reported currency to be around 7% (previously between 7% and 9%) mainly driven by the development in the exchange rate in the USD. The reported EBIT margin is revised to be around 24% (previously 24.3%).
Klaus Holse, SimCorp CEO comments: “The growth of SimCorp in 2014 is being built on strong performance in Europe. In the important North American market the successful onboarding of the new leadership assures me that we are on the right track to unlock the long-term potential of SimCorp.“