Profitable IFS announces 96% growth

Profitable IFS announces 96% growth Linköping, Sweden - Industrial & Financial Systems, IFS AB, increased annual sales by 96% (77) during 1998 to SEK 1,238 M (632), representing the largest growth in the industry, which grew by 43%* during 1998. Based on annual sales IFS advanced to 12th place among ERP vendors worldwide, compared with 18th one year ago.* During the last quarter, IFS moved into the top 10, at 9th place.* IFS earnings after net financial items improved by SEK 49 M to SEK 10 M (-39). Fourth-quarter profit amounted to SEK 50 M (26). "Our year-end report reflects our ambition to concentrate on continued strong expansion with increased focus on the company's earnings trend. We intend to continue to expand well above the industry average during 1999. Consequently, we foresee significantly improved earnings as a result of economies of scale," says Bengt Nilsson, president and CEO of IFS AB. "The key to our above-average expansion is the technological edge provided by our product. With the introduction of the new version of IFS Applications in September, we will be the first vendor in the market with the third generation of component-based business solutions. Each generation means enhanced quality, increased functionality and improved performance. Our technology and expansion into new markets mean that we are less affected by the slowdown prior to the turn of the millennium which many of our competitors are experiencing," continues Nilsson. Companies acquired during 1998 accounted for 5% of Group sales. IFS is continuing to grow internationally. "IFS´ growth strategy is based on investing surpluses from mature markets in new markets in order to achieve economies of scale as rapidly as possible," comments Nilsson. IFS has product development centers in Sweden, Sri Lanka, the USA, Norway, Poland, and Indonesia. "The component-based architecture of IFS Applications makes it possible to carry out research simultaneously in several countries, resulting in cost- effective product development and solutions that more closely meet the demands of the different markets," concludes Nilsson. The fastest-growing development unit in IFS is in Sri Lanka, which had 81 (0) employees in December. The total number of employees at the end of the year had increased by 72% to 1,937. *Source: AMR (Advanced Manufacturing Research) About IFS and IFS Applications Industrial & Financial Systems, IFS AB, develops and supplies IFS Applications, which is a complete Enterprise Resource Planning (ERP) system for business processes in medium-to-large-sized companies. It covers manufacturing, distribution, financials, maintenance management, resource management and engineering. The IFS business concept is to increase the freedom of action and competitiveness of companies by offering standardized business systems based on leading technologies. IFS Applications is one of the first business systems in the market developed entirely using a component-based architecture, which means that it can be readily adapted to the needs of individual customers. The system is equipped to handle the Y2K compliance issues and the introduction of the Euro. IFS is the world's fastest-growing company in the ERP and maintenance software market. The company has 2,000 employees and its products are sold in 32 countries around the world. Some of the more than 1,600 major customers include Volvo, NEC, Akzo Nobel, Caterpillar, Saab, Nikon, Kimball, AlliedSignal, Ericsson, International Paper, Sundstrand Corporation and Rover Group. For additional information, contact: Bengt Nilsson, President, IFS Rolf Erichs, Director Corp. Comm., IFS Telephone: +46 13 20 15 00 Telephone: +46 13 13 03 18 Fax: +46 13 20 15 01 Fax: +46 13 12 43 73 E-mail:bengt.nilsson@ifsab.se E-mail: rolf@erichs-com.se IFS' web: http://www.ifsab.com IFS Applications is a trademark of IFS Industrial and Financial Systems. All other referenced company or product names are trademarks or registered trademarks of their respective owners. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/02/25/19990225BIT00660/bit0001.doc