DGAP-News: Mensch und Maschine Software SE / Key word(s): Quarter Results Mensch und Maschine Software SE discloses half year report 24.10.2013 / 09:13 --------------------------------------------------------------------- Q3 slightly better than Q2, but not quite as expected - Gross margin increased disproportionate to sales - EBITDA up 109% purely operating - cash flows 10 mln above PY Wessling, October 24, 2013 - Mensch und Maschine Software SE (MUM - ISIN DE0006580806), a CAD/CAM specialist company, accounted for a solid Q3/2013, which was slightly better than Q2, but not quite within expectations. However, the adjusted operating result nearly reached the level of the extraordinarily strong Q3 in the previous year when there had been high demand for Autodesk software subscription renewals before a price increase, resulting in 11% more revenue than this year. The increase in nine months sales thus significantly slowed down to just 5.8% at EUR 93.46 mln (PY: 88.30), with Software contributing EUR 25.58 mln (PY: 23.86 / +7.2%) and the VAR Business contributing EUR 67.88 mln (PY: 64.44 / +5.3%). Gross margin increased disproportionate to sales by 8.3% to EUR 49.81 mln (PY: 46.00), with contributions of EUR 23.91 mln (PY: 21.56 / +11%) from Software and EUR 25.91 mln (PY: 24.44 / +6.0%) from the VAR Business. Gross yield climbed from 52.1% to 53.3% in the first nine months and from 48.2% to 55.4% in the third quarter. Other operating income decreased to EUR 5.80 mln (PY: 8.85), as the contribution from the sale of Distribution business, closed in 2011, was only EUR 3.0 mln (PY: 6.0), according to plan. Operating profit EBITDA before depreciation, amortization, interest and taxes amounted to EUR 3.85 mln (PY: 3.57 / +7.8%) for Software and to EUR 1.52 mln (PY: 3.57) for the VAR Business. Group EBITDA amounting to EUR 5.37 mln (PY: 7.13) nominally came in below previous year. Purely operating, adjusted by the contributions from the sale of Distribution, it rose by a remarkable 109%. Net profit after minority shares amounted to EUR 1.30 mln (PY: 2.55), or 8.5 Cents (PY: 17) per share (undiluted). Group headcount at Sept 30, 2013, was 707 (PY: 662 / +6.8%). Adjusted by the 25 employees from acquisitions, the increase was just 3.0%. In the VAR Business, due to the cost consolidation since mid 2012, headcount decreased by 14 positions. Operating cash flows, which had been negative during 2012 due to the business model transition with its working capital changes, strongly returned to the black, amounting to EUR 4.36 mln (PY: -1.14). Operating cash flows, which had been strongly negative during 2012, due to the business model transition with its changes to working capital, returned to the black. This amounted to EUR 2.79 mln (PY: -7.22) - an improvement of approx. EUR 10 Million. With respect to the end of year business, M+M CEO Adi Drotleff is quite optimistic: 'As customer demand is still high, we expect a strong final quarter, and are only slightly reducing our ambitious targets for the full fiscal year 2013. We now target sales between EUR 130 and 135 mln (PY: 118.80) and EBITDA at about EUR 9.0 mln (PY: 9.97), which adjusted by the contributions from the sale of the Distribution business would equal approx. EUR 4 mln operating progress. Net profit is estimated at previous year's EUR 3.62 mln or 24 Cents per share level. An unchanged 20 Cents per share dividend payment (tax free) is planned.' The detailed nine months report can be accessed under http://www.mum.de/Investor Click the button 'English Version' End of Corporate News --------------------------------------------------------------------- 24.10.2013 Dissemination of a Corporate News, transmitted by DGAP - a company of EQS Group AG. The issuer is solely responsible for the content of this announcement. DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: Mensch und Maschine Software SE Argelsrieder Feld 5 82234 Wessling Germany Phone: +49 (0)815 3933-0 Fax: +49 (0)815 3933-100 E-mail: [email protected] Internet: www.mum.de ISIN: DE0006580806 WKN: 658 080 Listed: Freiverkehr in Berlin, Düsseldorf, Hamburg, München (m:access), Stuttgart; Frankfurt in Open Market (Entry Standard) End of News DGAP News-Service --------------------------------------------------------------------- 235981 24.10.2013