RIB Software AG (RSTA) increases pre-tax operating profit by 52.0% to EUR 19.3 million
RIB AG was able to significantly increase iTWO software licence revenues by 76.1% to EUR 19.2 million (previous year: EUR 10.9 million) through the strong demand for iTWO BIM 5D and the increase in Phase II/III contracts from 8 to 14. The pre-tax operating profit increased by 52.0% to EUR 19.3 million (previous year: EUR 12.7 million). Including one-off special effects1 the pre-tax profit even increased to EUR 28.8 million compared with EUR 13.0 million in the previous year (+ 121.5%).
- Net sales increased by 22.8% to EUR 70.0 million (previous year: EUR 57.0 million)
- Revenues from iTWO software licences and cloud increase by 62.5% to EUR 28.6 million (previous year: EUR 17.6 million)
- Operating EBITDA increases by 38.9% to EUR 25.7 million (previous year: EUR 18.5 million)
- Operating profit after tax increases by 60.2% to EUR 14.1 million (previous year: EUR 8.8 million)
- Cash flow from business operations rises to EUR 20.7 million (previous year: EUR 16.4 million)
STUTTGART, GERMANY, 31 March 2015. RIB Software AG (ISIN DE000A0Z2XN6), today published its financial figures for the financial year 2014 and the outlook for 2015.
New Technology - New Thinking - New Working Method
RIB is able to look back on another very successful financial year, once again. With the iTWO 5D platform, RIB has established a new technology and paved the way for a new way of thinking, moreover, with the 5D LAB it has created a new working method. In the meanwhile, for all those involved in a project, the iTWO 5D technology as well as "running together" in a 5D Lab has become highly respected "best practice" for building construction. With iTWO PCI, RIB, together with Munich Re, has created a new insurance concept, based on iTWO 5D technology, which could revolutionise building, as it enables almost risk-free investments to be made in construction projects worldwide for the first time.
Through new technologies, new ways of thinking and new methods of working, RIB is making an active contribution to modernising the traditional building industry. In the age of Industry 4.0, RIB's iTWO 5D solution currently represents by far the most developed end-to-end software generation for virtual planning and building.
All goals that we set and announced at the start of the year were achieved or exceeded:
- 100% growth (>EUR 10 million) for an iTWO company licence (previous year: >EUR 5 million)
- Increase in "large deals" Phase II/III from 8 to 14
- at least 50% growth in iTWO licence and Cloud sales
- at least 100% growth in pre-tax profit
Due to an extremely successful 4th quarter, the RIB Group (ISIN 000A0Z2XN6) was able to increase net sales by 22.8% to EUR 70.0 million (previous year: EUR 57.0 million).
Recurring sales reach 44.4% of the total revenue
Maintenance revenues increased to EUR 21.7 million compared with EUR 19.1 million (+ 13.6%). Cloud revenues increased by 40.3% to EUR 9.4 million (previous year: EUR 6.7 million). This increase is largely due to the inclusion of Byggeweb in the consolidated financial statements for the first time, but at the same time highlights the growing demand for cloud-based solutions. Maintenance revenues increased by 13.6% to EUR 21.7 million (previous year: EUR 19.1 million). Recurring maintenance and cloud sales accounted for 44.4% of the total sales of EUR 70.0 million.
Operating profit after tax increases by 60.2%
Particularly due to the strong growth of the high-margin iTWO software licences by 76.1% to EUR 19.2 million (previous year: EUR 10.9 million), the pre-tax operating profit was able to increase by 52.0% to EUR 19.3 million (previous year: EUR 12.7 million). The operating EBITDA reached EUR 25.7 million compared with EUR 18.5 million in 2013 (+38.9%). The margin increased to 36.7% (previous year: 32.5%). Due to special effects from FX (2014: EUR +3.7 million /2013: EUR -1.5 million) and from the adjustment of purchase price liabilities (2014: EUR +5.9 million / 2013: EUR +1.8 million), the EBITDA increased by 87.2% to EUR 35.2 million (previous year: EUR 18.8 million). The operating profit after tax grew by 60.2% to EUR 14.1 million (previous year: EUR 8.8 million). The profit after tax incl. special effects increased by 128.6% to EUR 20.8 million (previous year: EUR 9.1 million).
RIB network continues to grow
In 2014, the RIB company network continued to grow, too. With the acquisition of the Danish company BYGGEWEB A/S, based in Copenhagen, a leading online platform for facility management was integrated into the RIB Group. Furthermore, 75% of the shares in an e-commerce platform provider were also acquired. From 2015, the platform will be marketed under the brand name xTWO and will be gradually expanded into a comprehensive e-commerce platform for all types of construction products. Together with both of these new group companies, the RIB Group now has around 700 employees in more than 30 locations worldwide.
First iTWO PCI (Project Cost Insurance) conference together with Munich Re
The first iTWO PCI conference in Munich, which was held jointly with Munich Re on 26 March 2015 at the Munich Re premises in Munich, was met with very strong interest with more than 40 participants and generated initial movement towards pilot projects.
Continued growth forecast
The Executive Board and the Supervisory Board will propose a dividend of EUR 0.16 to the annual general meeting of RIB for voting. RIB AG anticipates continued growth for 2015. The "large deals" with iTWO 5D are expected to increase by 80% to 25 contracts, whereby 2 Phase III contracts with a licence value of EUR 5 million each are planned. In light of this increase in Phase II/III contracts, we predict total sales of between EUR 85 million and EUR 95 million, as well as an EBITDA of between EUR 29 million and EUR 36 million.
|EUR million ||12M|
|∆ in %||Q4 |
|∆ in %|
|Software licenses||23.1||16.2||+42.6 %||12.8||4.7||+172.3%|
|of which iTWO||19.2||10.9||+76.1%||11.8||3.3||+257.6%|
|Software as a Service/Cloud||9.4||6.7||+40.3 %||3.7||1.4||+164.3%|
|Margin||50.3%||33.0%|| ||49.3%||43.9%|| |
|Margin||36.7%||32.5%|| ||50.0%||38.1%|| |
|Consolidated net profit of the year ||20.8||9.1||+128.6%||7.3||3.0||+143.3%|
|Result per share (in Euro)||0.52||0.24||+116.7%||0.17||0.08||+112.5%|
|Operating consolidated net profit of the year²||14.1||8.8||+60.2%||7.5||2.3||+226.1%|
|Cash flow from operating activities||20.7||16.4||+26.2%||10.5||2.3||+356.5%|
|Liquid funds and available-for-sales securities||137.9||82.1||+68.0%||137.9||82.1||+68.0%|
|Equity ratio||85.0%||80.2%|| ||85.0%||80.2%|| |
The complete 2014 annual report is available for download on the RIB Group website under investor relations.
About RIB Group
RIB Software AG is an innovator in construction business. The company creates, develops, and offers iTWO³ - new thinking, new working method and new technology - for construction projects across various industries worldwide. iTWO today is the world's first Cloud / License based Big Data 5D BIM enterprise solution for construction companies, industrial companies, developers and investors. Since its inception in 1961, RIB Software AG has been the pioneer in model-based construction, exploring and bringing in new thinking, new working method and new technology to enhance construction productivity, and transforming the construction industry into the most advanced and digitalized industry in the 21st century. RIB is headquartered in Stuttgart, Germany, and listed in Prime Standard Frankfurt Stock Exchange since 2011. With about 700 talents located in over 30 offices worldwide, RIB is serving 100,000 clients including construction contractors, sub-contractors, developers, owners, investors and governments, in the field of building construction, infrastructure, EPC sector and more.