Interim report Orc Group Holding AB January 1 – September 30, 2013

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This interim report refers to Orc Group Holding AB (publ) - (formerly Cidron Delfi Intressenter AB (publ)) - and the Orc Group Holding group for the period from January 1 to September 30, 2013. At the beginning of 2012, Orc Group Holding AB acquired Orc group through a public tender offer directed to the shareholders in Orc Group AB (publ). Following the sale of Orc’s former subsidiaries and sub-groups CameronTec and Neonet, continuing operations in the Orc Group Holding group consist solely of operations in Orc since October 2012. As a result, the comments in the interim reports refers only to developments in Orc. The financial year of the Parent Company, and therefore also the Group, is now the calendar year. The financial statements in the interim report cover the period from July to September 2013 and January to September 2013, as well as the corresponding periods of 2012. The figures in brackets refers to the comparison period from the prior year, unless otherwise stated.

Continued investments in new strategy

  • Operating revenue for the period from July to September 2013 reached SEK 105m (127), a decrease of 17%. Adjusted EBITDA was SEK 54m (60).
  • Operating revenue for the period from January to September 2013 amounted to SEK 325m (393), down by 17%. Adjusted EBITDA was SEK 160m (179).
  • Revenue was down compared to the corresponding periods of last year mainly as a result of declining demand in the global financial markets. The completed rationalization programs and adaptations to the current market conditions resulted in lower operating expenses. Investments in product development continued at an unchanged level.
  • The equity/assets ratio remains strong at 31% (12).

CEO Torben Munch comments:
“The process of implementing Orc’s new strategy continued in the third quarter. This is taking place against a background of ongoing uncertainty in the global financial markets that has affected our customers, and therefore also the revenue, negatively.

Seasonal effects resulted in lower expenses compared to the previous quarter, which offset the drop in revenue so that Orc was able to report a stable EBITDA level for the third quarter of the year.

Our product development initiatives are continuing with sustained high intensity, at the same time that we are working to effectively demonstrate our products’ improved functionality and areas of use for both new and existing customers.

The new members of the Executive Management have quickly assumed their new roles and we are focusing fully – together with all employees – on capitalizing on the short- and long-term opportunities offered by the market.”

About Orc
Orc is a leading provider of technology and services for the global financial industry. Since 1987, Orc delivers trading and market access solutions used by proprietary trading and market making firms, investment banks, hedge funds and brokerage houses worldwide.

Orc develops and provides the tools needed for running profitable trading or brokerage businesses in today’s competitive and ever-changing markets.

With market presence in all major global financial centers, Orc provides sales and support services from its offices across EMEA, the Americas and the Asia-Pacific regions.

Orc is owned by Orc Group Holding AB, which is in turn mainly owned by Nordic Capital Fund VII.

For more information visit: www.orc-group.com

  
Contact Information

CEO Torben Munch, phone: +46 8 506 477 35
CFO Tony Falck, phone: +46 8 506 477 24

  
The information in this interim report is subject to the disclosure requirements of Orc Group Holding AB under the Swedish Securities Exchange and Clearing Operations Act and the Financial instruments Trading Act. The information was released for publication on November 21, 2013, 8:00 a.m. CET.

N.B. The English text is a translation of the Swedish text. In case of discrepancy between the Swedish and the English text the Swedish version shall prevail.