Commerzbank Sector Conference - Technology, Media & Telecoms -

Transcription

1 Commerzbank Sector Conference - Technology, Media & Telecoms - August 29, 2012 Arnd Zinnhardt, CFO

2 August 29, Safe-Harbor-Statement This presentation contains forward-looking statements based on 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.

3 August 29, Software AG Track Record Total revenue ( m) 1, FCF ( m) ,5 EPS ( ) 0,6 Dividend ( ) 2,0 1, , ,0 0,5 0, ,2 0,

4 August 29, Revenue Split Well Balanced Product Revenue by Region* Product Revenue by Industry** PIIGS < 4% 13% 8% 45% Retail Transport & Logistics Telecos Others 21% Financial Sector 33% Manufacturing 20% Public Sector Associations BRICS 13% IT Americas EMEA (ex Germany) Germany Asia Pacific *Based on product revenue (H1 2012) / **Q2 2012

5 August 29, Q Actual versus Expectation (yoy in %) BPE ETS IDSC Total revenue (in m) Consensus (pre Q2; in m) Licenses +46% +20% Maintenance +16% -1% Product revenue +29% +6% Services & other -21% +4% -32% Total revenue +9% +6% -31%

6 August 29, Outlook FY 2012 (in m) 2011 Outlook 2012 (as of July 24, 2012) H Product Revenue Group % to +7%* +3.4%* Total Revenue BPE % to +15%* +1.1%* Total Revenue ETS % to -3%* -0.7%* EBIT Margin 24.5% 23.0% to 24.5% 21.8% * Net of currency, yoy

7 Business Lines - Cash Cow feeds Star - Star leads Cash Cow

8 August 29, Revenue by Business Line (Segment) Traditional Business (started 1970) Data Management (ADABAS) Application Modernization (Natural) 37% ETS 13% IDSC 50% BPE New Business (started 2004) Integration Technology Business Process Management (BPM) Real time BI SAP Consulting (acquired 2009 with IDS Scheer Group) (Revenue split based on H1 2012)

9 August 29, BPE New Business Outgrowing Revenue from Traditional Business (Revenue in m) Business Process Excellence Enterprise Transaction Systems

10 August 29, Transformation of Revenue Drivers 1bn ca. 45% ca. 70% New Business Organic Growth BPE Integration Technology Business Process Management Cloud Terracotta / Big Data Partner / Indirect Sales M&A / Strategic Acquisitions ca. 37% ca. 20% Traditional Business Data Management (ETS) ca. 18% ca. 10% SAP Consulting (IDSC) Revenue split as % of Total Revenue 2015: according to mid-term plan

11 Strategy based on Technology

12 August 29, Growth Strategy Growth based on three pillars Organic Growth leverage technology leadership in enterprise infrastructure software Fast integration middleware High speed process automation High performance data management Innovation addressing Mega Trends for enterprise IT Cloud Big Data Mobile Collaboration Selective M&A in related business segments, e.g. Data Management Process Automation Analytics

13 August 29, Innovation through own R&D as well as Acquisitions 26% 26% 24% 27% Strategic Acquisitions 22% 22% 19% 18% % 9% 9% 8% BPE R&D cost + amortization of acquired IPR/products in % of product revenue 2011 BPE R&D cost (all expensed) ETS R&D cost (all expensed) Technology Tuck Ins

14 August 29, Top-ranked Technology Leader in All Major Segments BPMS SOA Governance Application Integration SOA Infrastructure Business Process Analysis Enterprise Architecture Tools B2B Gateway Comprehensive Integration Solutions BPMS ESB EA Management Suites Integrated SOA Governance SOA Service Life-cycle Management Elastic Caching Platforms

15 Innovation for IT Megatrends August 29,

16 August 29, Terracotta: Innovation Big Data & In-Memory Without BigMemory With BigMemory Data in Database Memory Speed up Save Costs Data In Memory Database SLOW 100x FASTER than retrieving data from database SCALEABLE capacity for terabytes of data and 100,000s of transactions per second EXPENSIVE COMPLEX COST REDUCTION maximize utilization of RAM and reduce load on database SIMPLE to deploy, easy to install, plug & play HIGH PERFORMING - lower latency enables higher throughput and boost high volume transactions REALTIME access to business critical data in microseconds enables new business models

17 Thank you Please contact: Investor Relations Uhlandstrasse Darmstadt Germany phone: +49 (0) 6151 / fax: +49 (0) 6151 / web: softwareag.com investor.relations@softwareag.com