SimCorp upgrades financial guidance for 2019*
Inside information, Company announcement no. 39/2019
Based on the current business environment, the results for H1 2019, the performance so far in Q3 2019, and the pipeline for the remainder of 2019, SimCorp upgrades its expectations announced on June 6, 2019.
SimCorp now expects revenue growth measured in local currencies for 2019 to be between 12% and 17% (previously 10%-15%), of which approximately 2% is related to the acquisition of AIM Software, and EBIT margin measured in local currencies for 2019 to be between 25.0% and 28.0% (previously 24.5%-27.5%), including a 1%-point negative impact from the acquisition of AIM Software.
Based on exchange rates prevailing at July 31, 2019, SimCorp estimates reported revenue to be positively impacted from currency fluctuations by around 1.5% (unchanged from previous reporting). The impact from currency fluctuations on reported EBIT margin is expected to be positive by around 0.4%-points (0.2%-points in previous reporting).
SimCorp will provide the H1 2019 performance and revised full-year outlook in its H1 2019 interim report, which will be published later today. SimCorp’s Executive Management Board will present the interim report at a conference call on Friday, August 23, 2019 at 11:00 am (CET).
Enquiries regarding this announcement should be addressed to:
Investor contacts:
Klaus Holse, Chief Executive Officer, SimCorp A/S (+45 3544 8800, +45 2326 0000)
Michael Rosenvold, Chief Financial Officer, SimCorp A/S (+45 3544 8800, +45 5235 0000)
About SimCorp
SimCorp provides integrated, best-in-class investment management solutions to the world’s leading asset managers, fund managers, asset servicers, pension and insurance funds, wealth managers, banks and sovereign wealth funds. Regardless of how you deploy it, SimCorp’s core solution, SimCorp Dimension®, and its life-cycle services support the entire investment value chain and range of instruments, all based on a market-leading IBOR. SimCorp invests around 20% of its annual revenue in R&D, helping clients develop their business and stay ahead of ever-changing industry demands. Listed on Nasdaq Copenhagen, SimCorp is a global company, regionally covering all of Europe, North America, and Asia Pacific. For more information, please visit www.simcorp.com.
* This announcement contains certain forward-looking statements and expectations in respect of the 2019 financial year. Such forward-looking statements are not guarantees of future performance, and involve risk and uncertainty, and actual performance may deviate materially from that expressed in such forward-looking statements due to a variety of factors. Readers are warned not to rely unduly on such forward-looking statements, which apply only as at the date of this announcement. The Group’s revenue is expected to continue to be impacted by relatively few but large system orders, and such orders are expected to be won at relatively irregular intervals. The terms agreed in the individual license agreements will determine the impact on the order book and on license income for any specific financial reporting period. Accordingly, license revenue is likely to vary considerably from one quarter to the next. Unless required by law or corresponding obligations SimCorp A/S is under no duty and undertakes no obligation to update or revise any forward-looking statement after the distribution of this document, whether as a result of new information, future events or otherwise.