Temenos Q4 Trading Statement
21 January 2004
Temenos exceeds Q2 targets and increases earnings and revenue outlook for 2006
GENEVA, Switzerland – 7 July, 2006 - TEMENOS Group AG (SWX: TEMN), a provider of integrated core banking software, is pleased to announce that it has exceeded its Q2 licensing revenue targets. During Q2 we signed two large and strategic T24 and TCB deals with Tier 1 and Tier 2 Banks.
As a result of these deals, our outlook for 2006 License Revenues is raised to US$ 85-90 million from US$ 80-85 million (2005: US$ 62 million), up 41% compared to the prior year. Our outlook for 2006 Revenues is therefore revised to between US$ 205 million and US$ 210 million compared to our previous outlook of approximately US$ 200 million (2005: US$ 168.7 million), up 23% on the prior year. Our 2006 earnings outlook is correspondingly increased to at least US$ 45 cents per fully diluted share (2005 reported fully diluted EPS: US$ 32 cents per fully diluted share), a growth in excess of 40% from the prior year compared to our previous outlook of fully diluted EPS growth in excess of 30% on 2005.
Andreas Andreades, Chief Executive of TEMENOS, stated:
“We have just completed an outstanding quarter exceeding our targets and previous forecasts. During Q2, we signed a major T24 deal with a Global Tier 1 European Bank and, in addition, we have signed a significant TCB deal. This leaves us in an excellent position to deliver beyond our targets for the full year and I am delighted to be able to increase our
outlook statement for a second time this year. Business momentum into the second half of the year continues strong.
As we continue to build our Tier 1 and Tier 2 business we improve our revenue and earnings visibility into future years given the multi-year earnings and revenue profiles of these relationships. TEMENOS is now in excellent shape with product superiority, global sales coverage, domain expertise and a strong management team. Our market is experiencing
accelerating growth and it is time to capitalise on our strong competitive position. We now target organic revenue to grow at an accelerated rate for the next few years and complemented by a successful acquisition model.
I look forward to providing further information with our Q2 results announcement on the 26th July.”
-ENDS-
About Temenos
Founded in 1993, Temenos Group AG is a provider of integrated modular core banking systems to over 590 financial institutions in 110 countries worldwide. Temenos software provides banks with a single, real-time view of the client across the enterprise, enabling banks to maximize returns while streamlining costs. Whether providing 24/7 functionality to the wholesale, retail and private or universal banking sectors, partnering with central banks on core system replacement, or working with the World Bank on solutions for the emerging markets, Temenos knows banking. The company has a transparent approach to its operations and brings to bear its experience, expertise, commitment and professionalism on every project. Headquartered in Geneva, Switzerland, the company has 43 offices in 33 countries and is listed on the main segment of the SWX Swiss Exchange (TEMN). For more information please visit www.temenos.com
For more information, contact:
Max Chuard
Temenos Director
Corporate Finance & IR
Member of the Executive Board
Tel: +41 (0) 22 708 1157
Email: mchuard@temenos.com
Ben Robinson
Temenos Investor Relations Manager
Tel: +44 (0) 207 290 3012
Email: brobinson@temenos.com
Bianca Morgan
Temenos PR Manager
Tel: +44 (0) 207 423 3751
Email: bmorgan@temenos.com
Chris Patmore
Team 660
Metia for TEMENOS
Tel: +44 (0) 20 3100 3596
Email: chris.patmore@metia.com