|By PR Newswire||
|November 29, 2012 05:01 AM EST||
RAMSEY, the Isle of Man, November 29, 2012 /PRNewswire/ --
Please refer to the relevant legal information at the end of this document
IBS Group Holding Limited (IBSG:GR; IBSGq.DE), a leading software development and IT services provider in Central and Eastern Europe, today announced its preliminary unaudited operating results for the second quarter and six months ended September 30, 2012 (2Q and 1H FYE March 31, 2013) .
1H FYE March 31, 2013 highlights
- Consolidated revenues totaled US$378.0 mn, a 6.0% increase y-o-y, driven by a pickup in activity in both segments.
- Revenues in the IT Services segment increased by 1.8% in US$ terms and 12.4% in Russian ruble terms, whereas revenues in the Software Development segment saw a 13.5% increase in US$ terms.
- Revenues generated in Europe and North America amounted to US$137.4 mn, and now account for 36.3% of consolidated Group revenues against 34% a year ago.
- Total headcount rose to 8,372 employees, an increase of 7.1% y-o-y; mostly due to an increase of IT professionals in the Software Development segment.
- Total debt amounted to US$67.4 mn, a decline of US$4.3 mn y-o-y; the net debt position didn't change significantly from the previous year.
- Consolidated revenues growth guidance for FYE March 31, 2013 has been updated to be in the range of 9-13%.
Consolidated revenues by segment *
2Q 1H 1H FYE FYE FYE 2Q FYE March March March March 31, 31, Change 31, 31, Change US$ mn 2013 2012 y-o-y 2013 2012 y-o-y Consolidated revenues 212.6 180.0 18.1% 378.0 356.6 6.0% IT Services segment 122.3 97.7 25.2% 200.8 197.3 1.8% IT Services segment, 2 6 5 RUB mn 3 876.9 997.0 29.4% 376.8 672.3 12.4% Software Development segment 74.1 66.1 12.1% 145.1 127.9 13.5% Corporate, eliminations, and other 16.2 16.2 0% 32.1 31.4 2.2%
* Source: management accounts.
Consolidated revenues for the second quarter of FYE March 31, 2013 amounted to US$212.6 mn, an increase of 18.1% y-o-y driven by solid performance in both segments. Consolidated revenues for the first half of FYE March 31, 2013 came to US$378 mn, an increase of 6.0% y-o-y.
IT Services segment revenues for the first half of FYE March 31, 2013 amounted to US$200.8 mn, representing an increase of 1.8% y-o-y. Ruble revenues for the same period totaled RUB 6,376.8 mn, up 12.4% y-o-y. OOO Borlas Group's revenues, disposed in February 2012, amounted US$18.9 mn in the first half of FYE March 31, 2012. Adjusted to account for the disposal of OOO Borlas Group, the segment's revenues in Russian rubles increased by 24.4% y-o-y in the first half of FYE March 31, 2013. The increased number of IT infrastructure projects was the key driver behind revenue growth in the segment during the reported period.
Software Development segment revenues during the first half of FYE March 31, 2013 rose to US$145.1 mn, an increase of 13.5% y-o-y. Automotive&transport and financial services verticals showed the fastest growth in the reported period. The segment's revenues in constant currency* increased by 17.5% and 19.6% y-o-y respectively in the second quarter and first half of FYE March 31, 2013.
* Constant currency revenues are calculated based on a weighted average of actual daily exchange rates for previous periods.
Consolidated revenues by geography *
1H FYE Share Share Change March of 1H FYE of in 31, total March 31, total absolute US$ mn 2013 revenue 2012 revenue result Revenues generated in Russia and the CIS 240.6 63.7% 235.3 66.0% 2.3% Revenues generated in Europe 70.1 18.5% 64.1 18.0% 9.4% Revenues generated in North America 67.3 17.8% 57.2 16.0% 17.7%
* Source: management accounts, customer geography determined based on the location of clients' key decision maker.
Revenues from Russian operations totaled US$240.6 mn, representing an increase of 2.3% y-o-y. During the same period, revenues generated in Europe totaled US$70.1 mn, an increase of 9.4% y-o-y, and now account for 18.5% of the Group's revenues. Revenues in North America rose to US$67.3 mn, up 17.7% y-o-y and now account for 17.8% of the Group's revenues. The progress in Europe and North America is attributable to business growth in the Software Development segment.
September September Change June 30, Change Number of employees 30, 2012 30, 2011 y-o-y 2012 q-o-q Group headcount 8 372 7 817 7.1% 8 363 0.1% IT Services segment 2 456 2 560 -4.1% 2 526 -2.8% Software Development segment 5 568 4 936 12.8% 5 528 0.7% Corporate and other 348 321 8.4% 309 12.6%
* Source: management accounts.
The Group's total headcount amounted to 8,372 employees, an increase of 7.1% y-o-y, mainly due to the expansion of delivery centers in the software development segment. In the IT Services segment, we disposed Expertek in July 2012 (former IT Services subsidiary focused on niche solutions for retail business) which further decreased the number of IT professionals q-o-q to 2,456. No significant change in the segment's number of employees is expected before the end of the fiscal year. In the Software Development segment, the number of employees amounted to 5,568, an increase of 12.8% y-o-y, we expect headcount to resume growth by the end of the fiscal year.
June Change September September Change 30, US$ mn 30, 2012 30, 2011 y-o-y 2012 q-o-q Total debt 67.4 71.7 -4.3 62.4 5.0 Current debt 45.8 48.0 -2.2 42.0 3.8 Non-current debt 21.6 23.7 -2.1 20.4 1.2 Net debt 53.7 53.0 0.7 40.9 12.8
* Source: management accounts.
The Group's total debt decreased by US$4.3 mn y-o-y to US$67.4 mn. Over the last quarter the Group's debt position increased by US$5.0 mn, and the net debt position increased by US$12.8 mn - both are attributable to the short-term seasonal working capital financing of IT Services segment.
Full year revenues outlook
We have updated our outlook for the Group's consolidated revenues growth, which is now expected to be in the range of 9-13% in USD terms. In the IT Services segment revenues growth is expected to be in the range of 6-10% in US$ terms, and we add revenues growth outlook for the segment in ruble Russian terms to be in the range of 13-17%. In the Software Development segment we expect revenues growth to be in the range of 16-21% in US$ terms.
Anatoly Karachinsky, President of IBS Group commented,
"IBS Group has met its targets and performed according to expectations in the preliminary forecasts for the first half of the year. As such, we can view these results as positive. This year has brought robust growth in the IT Services segment. Turnover in rubles for the segment has grown by more than 24% y-o-y, after factoring in the disposal of part of the business last year. The growth in this segment mainly stems from our success in bringing new solutions to the Russian market during implementation of IT infrastructure projects, including cloud technologies and Big Data. The Software Development segment has also grown rapidly owing to our continuing success in financial and automotive verticals. Overall, the outcomes have been affected by the global economic instability, especially fluctuations in the currency markets. This is reflected in our updated growth forecasts of 9-13% for the Group's turnover in the current financial year."
About IBS Group Holding Limited
IBS Group is a leading software development and IT services provider in Central and Eastern Europe. Through its two principal subsidiaries, Luxoft and IBS IT Services, it offers a wide variety of information technology services, such as software development and IT services outsourcing, IT infrastructure and business applications implementation. IBS Group has business operations in Russia, Ukraine, Romania, Poland, Germany, Switzerland, the UK, the USA, Vietnam and Singapore. IBS Group employs more than 8,300 people worldwide. In the year ended March 31, 2012, the Group reported US GAAP consolidated revenues of US$816.3 million. IBS Group's Global Depositary Receipts are listed on the Regulated Market (General Standard) at the Frankfurt Stock Exchange (Bloomberg: IBSG:GR; Reuters: IBSGq.F)
The information contained in this release is not for publication, distribution or release, directly or indirectly, in the United States of America (including its territories and possessions, any states of the United States and the District of Columbia) or any other jurisdiction where such distribution is unlawful. Such release does not constitute an offer for the sale of securities in the United States of America, Canada, Australia, Japan or in any other jurisdiction in which an offer is subject to legal restrictions.
The information communicated in this document contains certain statements that are or may be projections or forward looking. These statements typically contain the words "anticipate", "believe", "intend", "estimate", "expect", "plan", "project" and words of similar meaning. By their nature, forward-looking statements are not statements of historical fact and reflect the current assessments, views, assumptions and beliefs made by the Company's management according to the information available at the time made about future events, operating performance, financial condition, business strategy, the Company's plans and objectives for future operations and the industry in which the Company operates. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors, any of which can lead to the actual results of operations, profitability, performance, profits or achievements of the Company to be materially different from the results of operations, profitability, performance, profits or achievements of the Company expressed or implied by these forward-looking statements. Factors that could cause the actual results to differ materially from those contained in projections or forward-looking statements of the Company may include, among others, general economic and competitive environment conditions in the markets in which the Company operates as well as many other risks affecting the Company and its operations. In view of these risks, uncertainties and other factors, you should not place undue reliance on these forward-looking statements.
The Company undertakes no obligation to review, update, amend or revise any of its forward-looking statements, whether as a result of new information, future events or developments or otherwise, or to reflect actual results, changes in assumptions or changes in factors affecting these statements. There may be additional material risks that are currently not considered to be material or of which the Company and its advisors or representatives are unaware. All subsequent written and oral forward-looking statements attributable to the Company, and those acting on its behalf, are expressly qualified in their entirety by the foregoing.
SYS-CON Events announced today that SOA Software, an API management leader, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. SOA Software is a leading provider of API Management and SOA Governance products that equip business to deliver APIs and SOA together to drive their company to meet its business strategy quickly and effectively. SOA Software’s technology helps businesses to accel...
Oct. 23, 2014 02:15 PM EDT Reads: 1,225
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic • Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff hap...
Oct. 23, 2014 01:45 PM EDT Reads: 1,277
SYS-CON Events announced today that Utimaco will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Utimaco is a leading manufacturer of hardware based security solutions that provide the root of trust to keep cryptographic keys safe, secure critical digital infrastructures and protect high value data assets. Only Utimaco delivers a general-purpose hardware security module (HSM) as a customiz...
Oct. 23, 2014 01:45 PM EDT Reads: 1,259
Samsung VP Jacopo Lenzi, who headed the company's recent SmartThings acquisition under the auspices of Samsung's Open Innovaction Center (OIC), answered a few questions we had about the deal. This interview was in conjunction with our interview with SmartThings CEO Alex Hawkinson. IoT Journal: SmartThings was developed in an open, standards-agnostic platform, and will now be part of Samsung's Open Innovation Center. Can you elaborate on your commitment to keep the platform open? Jacopo Lenzi: S...
Oct. 23, 2014 01:00 PM EDT Reads: 1,921
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
Oct. 22, 2014 09:00 PM EDT Reads: 1,165
SYS-CON Events announced today that ElasticBox is holding a Hackathon at DevOps Summit, November 6 from 12 pm -4 pm at the Santa Clara Convention Center in Santa Clara, CA. You can enter as an individual or team of up to 10 developers. A New Star Is Born Every Month! All completed ElasticBoxes will then be sent to a judging panel - 12 winners will be featured on the ElasticBox website in 2015. All entrants will receive five full enterprise licenses for one year + ElasticBox headphones + Elasti...
Oct. 22, 2014 01:00 PM EDT Reads: 1,446
Once the decision has been made to move part or all of a workload to the cloud, a methodology for selecting that workload needs to be established. How do you move to the cloud? What does the discovery, assessment and planning look like? What workloads make sense? Which cloud model makes sense for each workload? What are the considerations for how to select the right cloud model? And how does that fit in with the overall IT tranformation? In his session at 15th Cloud Expo, John Hatem, head of V...
Oct. 22, 2014 12:00 PM EDT Reads: 1,462
Cloud services are the newest tool in the arsenal of IT products in the market today. These cloud services integrate process and tools. In order to use these products effectively, organizations must have a good understanding of themselves and their business requirements. In his session at 15th Cloud Expo, Brian Lewis, Principal Architect at Verizon Cloud, will outline key areas of organizational focus, and how to formalize an actionable plan when migrating applications and internal services to...
Oct. 22, 2014 11:45 AM EDT Reads: 1,463
SAP is delivering break-through innovation combined with fantastic user experience powered by the market-leading in-memory technology, SAP HANA. In his General Session at 15th Cloud Expo, Thorsten Leiduck, VP ISVs & Digital Commerce, SAP, will discuss how SAP and partners provide cloud and hybrid cloud solutions as well as real-time Big Data offerings that help companies of all sizes and industries run better. SAP launched an application challenge to award the most innovative SAP HANA and SAP ...
Oct. 22, 2014 07:00 AM EDT Reads: 1,550
Ixia develops amazing products so its customers can connect the world. Ixia helps its customers provide an always-on user experience through fast, secure delivery of dynamic connected technologies and services. Through actionable insights that accelerate and secure application and service delivery, Ixia's customers benefit from faster time to market, optimized application performance and higher-quality deployments.
Oct. 21, 2014 09:00 PM EDT Reads: 1,454
SYS-CON Events announced today that Calm.io has been named “Bronze Sponsor” of DevOps Summit Silicon Valley, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Calm.io is a cloud orchestration platform for AWS, vCenter, OpenStack, or bare metal, that runs your CL tools puppet, Chef, shell, git, Jenkins, nagios, and will soon support New Relic and Docker. It can run hosted, or on premise and provides VM automation / expiry, self-service portals,...
Oct. 21, 2014 08:45 PM EDT Reads: 1,378
In her General Session at 15th Cloud Expo, Anne Plese, Senior Consultant, Cloud Product Marketing, at Verizon Enterprise, will focus on finding the right mix of renting vs. buying Oracle capacity to scale to meet business demands, and offer validated Oracle database TCO models for Oracle development and testing environments. Anne Plese is a marketing and technology enthusiast/realist with over 19+ years in high tech. At Verizon Enterprise, she focuses on driving growth for the Verizon Cloud pla...
Oct. 21, 2014 07:30 PM EDT Reads: 1,454
SYS-CON Events announced today that Aria Systems, the recurring revenue expert, has been named "Bronze Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Aria Systems helps leading businesses connect their customers with the products and services they love. Industry leaders like Pitney Bowes, Experian, AAA NCNU, VMware, HootSuite and many others choose Aria to power their recurring revenue bu...
Oct. 21, 2014 06:00 PM EDT Reads: 1,366
The Internet of Things (IoT) is going to require a new way of thinking and of developing software for speed, security and innovation. This requires IT leaders to balance business as usual while anticipating for the next market and technology trends. Cloud provides the right IT asset portfolio to help today’s IT leaders manage the old and prepare for the new. Today the cloud conversation is evolving from private and public to hybrid. This session will provide use cases and insights to reinforce t...
Oct. 21, 2014 05:15 PM EDT Reads: 1,424
As Platform as a Service (PaaS) matures as a category, developers should have the ability to use the programming language of their choice to build applications and have access to a wide array of services. Bluemix is IBM's open cloud development platform that enables users to easily build cloud-based, creative mobile and web applications without having to spend large amounts of time and resources on configuring infrastructure and multiple software licenses. In this track, you will learn about the...
Oct. 21, 2014 05:00 PM EDT Reads: 1,441
Blue Box has closed a $10 million Series B financing. The round was led by a strategic investor and included participation from prior investors including Voyager Capital and Founders Collective, as well as the Blue Box executive team. This round follows a $4.3 million Series A closed in December of 2012 and led by Voyager Capital. In May of this year, the company announced general availability of its private cloud as a service offering, Blue Box Cloud. Since that release, the company has dem...
Oct. 21, 2014 01:45 PM EDT Reads: 1,550
SYS-CON Events announced today that Verizon has been named "Gold Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Verizon Enterprise Solutions creates global connections that generate growth, drive business innovation and move society forward. With industry-specific solutions and a full range of global wholesale offerings provided over the company's secure mobility, cloud, strategic network...
Oct. 21, 2014 09:30 AM EDT Reads: 1,610
SimpleECM is the only platform to offer a powerful combination of enterprise content management (ECM) services, capture solutions, and third-party business services providing simplified integrations and workflow development for solution providers. SimpleECM is opening the market to businesses of all sizes by reinventing the delivery of ECM services. Our APIs make the development of ECM services simple with the use of familiar technologies for a frictionless integration directly into web applicat...
Oct. 20, 2014 10:00 PM EDT Reads: 1,700
The only place to be June 9-11 is Cloud Expo & @ThingsExpo 2015 East at the Javits Center in New York City. Join us there as delegates from all over the world come to listen to and engage with speakers & sponsors from the leading Cloud Computing, IoT & Big Data companies. Cloud Expo & @ThingsExpo are the leading events covering the booming market of Cloud Computing, IoT & Big Data for the enterprise. Speakers from all over the world will be hand-picked for their ability to explore the economic...
Oct. 20, 2014 07:00 PM EDT Reads: 2,042
Cloudwick, the leading big data DevOps service and solution provider to the Fortune 1000, announced Big Loop, its multi-vendor operations platform. Cloudwick Big Loop creates greater collaboration between Fortune 1000 IT staff, developers and their database management systems as well as big data vendors. This allows customers to comprehensively manage and oversee their entire infrastructure, which leads to more successful production cluster operations, and scale-out. Cloudwick Big Loop supports ...
Oct. 20, 2014 05:45 PM EDT Reads: 1,707