SOFTWARE AG THE NEW GROWTH DRIVER KARL-HEINZ STREIBICH CEO SOFTWARE AG DBACCESS BERLIN CONFERENCE JUNE 8, 2018

Transcription

1 SOFTWARE AG THE NEW GROWTH DRIVER KARL-HEINZ STREIBICH CEO SOFTWARE AG DBACCESS BERLIN CONFERENCE JUNE 8, 2018

2 SAFE-HARBOR-STATEMENT This presentation includes forward-looking statements based on the beliefs of Software AG management. Such statements reflect current views of Software AG with respect to future events and results and are subject to risks and uncertainties. Actual results may vary materially from those projected here, due to factors including changes in general economic and business conditions, changes in currency exchange, the introduction of competing products, lack of market acceptance of new products, services or technologies and changes in business strategy. Software AG does not intend or assume any obligation to update these forward-looking statements. This presentation constitutes neither an offer nor recommendation to subscribe or buy in any other way securities of Software AG or any of the companies that are members of the Group at present or in the future, nor does it form part of such an offer and it should not be understood as such. This presentation does not constitute an offer of sale of securities in the United States of America. Securities may not be offered or sold in the United States of America without registration or exemption from registration in accordance with the U.S. Securities Act of 1933 in its currently valid form. 2

3 2017 WAS ONE OF THE MOST SUCCESSFUL YEARS IN SOFTWARE AG S HISTORY 31.8% Operating margin 223 m operating EBIT IoT Portfolio ready 879 m Group Revenue Cloud order entry +75% 52% Digital product revenues (Percentage of Group Revenue) Recurring Revenue from software products 63% 3

4 2018 TURNING POINT / DIGITAL BUSINESS DRIVING GROWTH 100% License Revenue 100% Maintenance Revenue 80% % % 60% 40% 40% 20% 20% 0% 0% 100% Segment Result 80% 60% 40% 20% 0% 2018e Digital Business Platform Adabas & Natural 4

5 STRONG STARTING POSITION FROM ENTERPRISE IT TO OPERATIONAL IT (INDUSTRY) Platform economy Internet of Things Industrie 4.0 Process automation and transparency 5

6 SOFTWARE AG IOT PLATFORM CAPABILITES ACQUISITIONS TO CATER THE IOT NEEDS IoT Acquistions Strategic decision for IoT Big Data & Streaming Analytics Machine Learning Device Connectivity Blockchain Artificial Intelligence Edge Computing 6

7 ESSENTIAL CAPABILITIES TO SUCCEED IN IOT Artificial Intelligence Big Data & Streaming Analytics Edge Computing IoT Machine Learning Device Connectivity Blockchain 7

8 MARKET AWARENESS OF LEADERSHIP IS BUILDING UP BEST IOT TECHNOLOGY PARTNER IN THE MARKET The Forrester Wave : HYBRID INTEGRATION (SAG WebMethods) Gartner Magic Quadrant: Full Life Cycle API Management The Forrester Wave : STREAMING ANALYTICS (SAG Apama) IoT Solutions (SAG Cumulocity*) Source: Gartner, Inc., Magic Quadrant for Full Life Cycle API Management, Paolo Malinverno, Mark O Neill., April 30, 2018 This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from Software AG. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. *Cumulocity is the IoT solution portfolio of Software AG encompassing Hybrid Integration, In-Memory Computing and Streaming Analytics 8

9 CUSTOMER BASE IS MATCHING IOT GROWTH SECTORS IoT demand by Sector ( ) Product Revenue by Sector of Software AG in % 5% 4% 20% 10% 12% 18% 19% Government IT Services Services Transp. & Log. Financial Services Manufacturing Telco & Media Other 9

10 SOFTWARE AG S SUCCESS STORIES IN IOT IOT ECOSYSTEMS INDUSTRY 4.0, TELCOS, AUTOMOTIVE, JV of leading machinery manufactures: DMG MORI, DUERR, ZEISS, ASM, ENGEL, KARL MAYER Transforming auto insurance through behavioral, contextual and driving analytics Strengthening Mindsphere platform across industries enabling powerful industry applications Enabling customers to use geo-sensing alerts, reduce theft and anticipate maintenance needs Leveraging Bosch IoT Cloud platform with Realtime predictive analytics technology KPN (NL), Telstra (AUS), Telia (SWE), Reliance Communications (India), NTT (Japan), Deutsche Telekom (T-Systems), Nokia or Huawei. 10

11 ADAMOS TOTAL VIEW PARTNER ECO SYSTEMS APP FACTORY ALLIANCE NEW NEW APP INNOVATION & CERTIFICATION COUNCIL ADAMOS JV APP MARKET PLACE ADAMOS IoT SUITE Device Connectivity & Management Real-time Analytics & Visualization Enterprise & Cloud Integration Workflow Automation GOVERNANCE (Standards, Interfaces, ) NEW ADAMOS.COM 11

12 EXAMPLE: UM AP Source: Bosch 12

13 OUR ROLE IN THE MINDSPHERE ARCHITECTURE EXTENDS WAYS TO SEND DATA INTO MINDSPHERE Add cloud-based and on-premise data Extends range of IoT devices Simplified integration of IT, OT and cloud applications Combines device identity, asset and software management Extend Data model Integration MindConnect API IoT Extensions Use other customizable software agents on custom devices Combine Machine Data Universal Connectivity 13

14 DATA CENTERED ERA REQUIRES SOFTWARE CENTRICITY Entering the next computing cycle which is centered on data Source: Morgan Stanley Research, The Data Era Becomes Investable, April 9, 2018 Source: Bain & Company, 2017 Software AG is ready to reap proceeds from higher IT investments by providing a comprehensive workbench along the value IT chain. Software AG has singled out a distinct area of growth in (industrial) IoT to leverage its capabilites to the next level. 14

15 THANK YOU VERY MUCH FOR YOUR ATTENTION! Q&A 15

16 Investor Relations Uhlandstrasse Darmstadt Germany T: +49 (0) 6151 / F: +49 (0) 6151 / W: softwareag.com E: investor.relations@softwareag.com 16