PARIS, March 26, 2002 (PRIMEZONE) -- Linedata Services (Paris Stock Exchange: LDSV) reported a 47% rise in sales to E79.1 million in 2001, exceeding its initial target by E2.1 million. Organic growth is 15.0%, in line with expectations. At December 31, 2001, the Asset Management area accounted for 54% of total sales, Credit Finance 23% and Employee Saving 23%. More than 22% of sales now comes from business outside France, compared with 9% in 2000.
E million 2000 2001 change Sales 53.7 79.1 + 47% Operating profit (1) 8.1 12.6 + 55% Operating margin 15.2% 16% Net profit before goodwill 4.5 6.8 + 53% Net margin before goodwill 8.3% 8.6% (1) before profit sharing
One percentage point increase in operating margin
Linedata Services saw another sharp improvement in operating profitability, due to growth and the smooth integration of its acquisitions. The operating margin widened to 16%, or 0.8 percentage points above forecast. This performance is particularly remarkable because it was achieved with a steep increase in R&D spending to 6.7% of sales, compared with 5.7% in 2000. Net profit before goodwill rose 53% to E6.8 million.
Growth set to continue in 2002
Visibility for 2002 is good in all three core businesses. Linedata Services will rely on the high level of recurring sales -- more than 65% of sales is generated from ASP business -- and has identified several sources of growth:
-- numerous opportunities for cross-selling in the Asset
Management area
-- faster Europe-wide growth in Credit Finance
-- new French legislation favourable to Employee Savings
(the Fabius Act)
On the current consolidation structure, the group expects sales of E95 million in 2002, a rise of 20.1%, and an operating margin of 16%.
Furthermore, following the acquisition in January of the asset management business of IAS II in the U.K., Linedata Services is now investigating different opportunities for strategic acquisitions in order to increase its leadership position in Europe.
First-quarter 2002 sales will be announced on May 2.
Linedata Services
Under the guidance of its chairman, Anvaraly Jiva, Linedata Services has become a key European player in the financial data processing market. As a software publisher, solutions integrator and operating services provider, Linedata Services has a full product offering for the finance industry. Its core business lines are Asset Management, Employee Saving and Credit Finance. Linedata Services was listed on the Nouveau Marche of Euronext Paris in May 2000.
For more information, visit www.linedata.com, Euroclear: 7579; Reuters: LDSV.LN; Bloomberg: LDSV