DGAP-Ad hoc: Software AG

DGAP-Adhoc: Software AG: Preliminary Financial Results for Q1 2016

Software AG / Key word(s): Quarter Results/Preliminary Results

12.04.2016 22:24

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.

---------------------------------------------------------------------------

AD-HOC-RELEASE ACCORDING TO § 15 WPHG

Software AG: Preliminary Financial Results for Q1 2016

Darmstadt, Germany, April 12, 2016 - Software AG (Frankfurt TecDAX: SOW) pre-announces its preliminary financial figures (IFRS, preliminary) for the first quarter 2016:

- The Company's profit before interest and taxes EBIT improved by 55 percent to EUR 45.3 (Q1 2015: EUR 29.3) million.

- The Group's operating earnings (EBITA, non-IFRS) increased by 23 percent to EUR 59.1 (Q1 2015: EUR 48.1) million; accordingly the operating earnings margin (EBITA, non-IFRS) reached 29 (Q1 2015: 25) percent.

- Software AG's total revenue improved by 9 percent at constant currency to EUR 206.2 million.

- The Company's license sales increased by 31 percent at constant currency to EUR 59.1 million.

- The Group's product revenue (license & maintenance) increased by 11 percent at constant currency to EUR158.0 million.

- The revenue in the database business line Adabas & Natural (A&N) improved by +20 percent at constant currency to EUR 63.6 million.

- Total sales of the Digital Business Platform (DBP) improved by +6 percent at constant currency to EUR 94.6 million.

- Additionally, the order entry in the cloud business increased by more than 150 percent. Including this development, the digital new business (DBP licenses + Cloud order entry) recorded double-digit growth.

- The revenue in the Consulting business line increased by 2 percent at constant currency to EUR 48.0 million

- Based on the positive business development in the first quarter, the executive management board of Software AG confirmed the outlook for the full year 2016.



in EUR millions Q1/2016 Q1/2015 ? in % ? in % as stated net of currency Total revenue 206.2 194.1 +6 +9 Product revenue 158.0 146.2 +8 +11 Maintenance revenue 98.9 99.7 -1 +2 License revenue 59.1 46.5 +27 +31 Digital Business Platform 94.6 91.0 +4 +6 as % of total revenue 46% 47% DBP maintenance 61.9 59.9 +3 +5 DBP licenses 32.7 31.1 +5 +7 Adabas & Natural 63.6 55.4 +15 +20 as % of total revenue 31% 29% A&N maintenance 37.0 39.8 -7 -4 A&N licenses 26.4 15.5 +70 +79 Consulting 48.0 47.7 +1 +2 as % of total revenue 23% 25% EBIT* 45.3 29.3 +55 as % of total revenue 22% 15% Operating Earnings (EBITA, 59.1 48.1 +23 non-IFRS) ** as % of total revenue 29% 25%



* = consolidated net income + income tax + other tax + financial result ** = EBITA adjusted for reduction of acquisition-related product revenue by purchase price allocation, other acquisition effects, share-based payment, restructuring/severance payments and operating income of divested units

Please note: On April 13th, 2016 at 09:00 am CET, Software AG will hold a conference call for investors, analysts and journalists. Dial-in details can be found on the Corporate Website in the Investor Relations section.

12.04.2016 The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de

--------------------------------------------------------------------------- Language: English Company: Software AG Uhlandstraße 12 64297 Darmstadt Germany Phone: +49 (0)6151 92-1900 Fax: +49 (0)6151 92-34 1899 E-mail: Investor.Relations@softwareag.com Internet: www.softwareag.com ISIN: DE0003304002 WKN: 330400 Indices: TecDAX Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart; Terminbörse EUREX End of Announcement DGAP News-Service ---------------------------------------------------------------------------