The expansion of the Pironet NDH Group vigorously gained speed in the first half year. The impact of the innovation surge particularly of the last two years paired with the sustained high level of investment willingness on the part of customers is apparent. With additional revenues of well over 30% bringing turnover to 26.7 million euros, new top figures were achieved in both quarters. This good news is all the more impressive considering the steep increase is largely due to organizational effects. The growth dynamics have expanded during the course of the year. The plus amounting to 23% boosted revenues to 12.3 million euros from January to March, yet was topped in April to June by a growth spurt of 38.5% and revenues of 14.4 million euros, the highest ever achieved in the history of the company. The primary revenue driver was the service segment, which rose by 34.2% to 19.2 million euros (14.3 million euros) and thus topped the software sector, which advanced by about 22.9% to 7.5 million euros (6.1 million euros).
There was a robust increase in yields. EBIT rose from 1.1 million euros to the new record of 1.4 million euros. But at the same time the EBIT margin of 5.3% was reduced to 5.1%, since the amortization costs on intangible assets significantly increased by 1.0 million euros to 1.2 million euros in consequence of the 2005/2006 investment offensive. The not insignificant expenditures incurred in connection with the negotiations with the US data pool operator Agentrics affected results as well. Pironet NDH was boosted by the rise in capital market interest rates. In view of the high portion of liquid funds (25.1 million euros), the interest income shot up by 75% to 0.5 million euros. In addition to a first-time profit from the results of the associated companies amounting to about 0.1 million euros (previous year -0.1 million euros), this comes to an EBT of 2.0 million euros, which means an increase of about 58% compared to the previous year's value of 1.3 million euros.
A new record was also set in results after taxes. The previous year's value was exceeded by 60% with a surplus after minorities of around 1.6 million euros. This corresponds to a result per share of 11 cents, against 7 cents in the comparison period.
Pironet NDH looks confidently into the future. The company has a broad base, offers innovative and competitive products and with the exception of agentes AG is growing at 2-digit rates. The most distinctive dynamic growth developed within the Pironet NDH Group in the current year once again came from the interactive service provider nexum. Commissions from several large-scale mandates (including ThyssenKrupp, o2, Lufthansa Worldshop, Bankverlag Köln) have put the company in a good position to continue its success story in 2007 as well. According to the "New Media Service Ranking", nexum AG's jump in sales volume from 145% in 2006 distinguishes it as the strongest growth enterprise among the 80 largest providers in the industry.
SINFOS AG has managed to further expand the data pool. It gained 150 new customers in the first half year. The company now supports about 2,600 companies in 10 countries and is thus the market leader in Europe. However, its mission is even more ambitious: currently SINFOS is involved in cooperative venture negotiations with the US enterprise Agentrics. Such a cooperation would result in the world's largest master data pool and lead to the company's rising to a new dimension in size and importance.
The tempo of expansion has also stepped up in the ITC outsourcing sector. The degree of utilization of our highly modern computing center will rise further due to the high volume of incoming contracts. Since its acquisition in 2003, this has increased to more than 20%, whereby the highly attractive takeover conditions already ensure the achievement of a profitable basis at a degree of utilization of under 10%. The ITC outsourcing business division is outstandingly positioned and faces the second half year of 2007 with complete confidence.
The business with minority holdings has also developed very successfully. Of these, Advertimes/Advertools has made the greatest progress. The experts for digital sales promotion are in the meantime active in 12 European countries and are now operating in the profit zone.
The Executive Board of Pironet NDH AG assumes there will be a significant improvement in business volume and revenue for the entire year. Exceeding the "sound barrier" of 50 million euros is still aspired, as is a disproportionately great development of results. If there are no fundamental changes to this scenario and no special effects have a negative impact, we assume that 13 years after the founding of the company, we will be able to submit a dividend distribution proposal to the Supervisory Board and Stockholders Meeting for the first time.
There was a robust increase in yields. EBIT rose from 1.1 million euros to the new record of 1.4 million euros. But at the same time the EBIT margin of 5.3% was reduced to 5.1%, since the amortization costs on intangible assets significantly increased by 1.0 million euros to 1.2 million euros in consequence of the 2005/2006 investment offensive. The not insignificant expenditures incurred in connection with the negotiations with the US data pool operator Agentrics affected results as well. Pironet NDH was boosted by the rise in capital market interest rates. In view of the high portion of liquid funds (25.1 million euros), the interest income shot up by 75% to 0.5 million euros. In addition to a first-time profit from the results of the associated companies amounting to about 0.1 million euros (previous year -0.1 million euros), this comes to an EBT of 2.0 million euros, which means an increase of about 58% compared to the previous year's value of 1.3 million euros.
A new record was also set in results after taxes. The previous year's value was exceeded by 60% with a surplus after minorities of around 1.6 million euros. This corresponds to a result per share of 11 cents, against 7 cents in the comparison period.
Pironet NDH looks confidently into the future. The company has a broad base, offers innovative and competitive products and with the exception of agentes AG is growing at 2-digit rates. The most distinctive dynamic growth developed within the Pironet NDH Group in the current year once again came from the interactive service provider nexum. Commissions from several large-scale mandates (including ThyssenKrupp, o2, Lufthansa Worldshop, Bankverlag Köln) have put the company in a good position to continue its success story in 2007 as well. According to the "New Media Service Ranking", nexum AG's jump in sales volume from 145% in 2006 distinguishes it as the strongest growth enterprise among the 80 largest providers in the industry.
SINFOS AG has managed to further expand the data pool. It gained 150 new customers in the first half year. The company now supports about 2,600 companies in 10 countries and is thus the market leader in Europe. However, its mission is even more ambitious: currently SINFOS is involved in cooperative venture negotiations with the US enterprise Agentrics. Such a cooperation would result in the world's largest master data pool and lead to the company's rising to a new dimension in size and importance.
The tempo of expansion has also stepped up in the ITC outsourcing sector. The degree of utilization of our highly modern computing center will rise further due to the high volume of incoming contracts. Since its acquisition in 2003, this has increased to more than 20%, whereby the highly attractive takeover conditions already ensure the achievement of a profitable basis at a degree of utilization of under 10%. The ITC outsourcing business division is outstandingly positioned and faces the second half year of 2007 with complete confidence.
The business with minority holdings has also developed very successfully. Of these, Advertimes/Advertools has made the greatest progress. The experts for digital sales promotion are in the meantime active in 12 European countries and are now operating in the profit zone.
The Executive Board of Pironet NDH AG assumes there will be a significant improvement in business volume and revenue for the entire year. Exceeding the "sound barrier" of 50 million euros is still aspired, as is a disproportionately great development of results. If there are no fundamental changes to this scenario and no special effects have a negative impact, we assume that 13 years after the founding of the company, we will be able to submit a dividend distribution proposal to the Supervisory Board and Stockholders Meeting for the first time.
