IFRS Revenues (€ millions) 2009 2010 % change % change at constant exchange rates
Southern Europe 74.5 65.5 (12.0%) (12.0%)
Northern Europe 31.2 27.4 (12.1%) (15.3%)
North America 35.5 40.1 13.1% 7.7%
Asia 3.4 3.2 (6.2%) (10.4%)
Total 144.5 136.2 (5.7%) (7.8%)
Rounded, unaudited figures
Neuilly-sur-Seine, France, 8 February 2011 – 5.45 pm: Linedata (LIN:FP), the global solutions provider dedicated to the investment management and credit industry, realised revenues of € 136.2 million in 2010, a decline of 5.7% at current exchange rates, which reflects a positive exchange rate impact of € 3.1 million (revenues are down 7.8% at constant exchange rates).
Revenue trends varied in 2010, with a marked decline throughout Europe and a much more buoyant performance in the US.
Recurring revenues increased by € 2.1 million and represented 73% of total revenues for the year. In 2009, this percentage was 67%.
Over the fourth quarter the Group posted revenues of € 33.1 million, a decline of 13.6% at current exchange rates and 16.9% at constant exchange rates.
Performance analysis by geographic region:
SOUTHERN EUROPE (Q1: € 17.9 million, down 9.1%; Q2: € 18.3 million, down 5.2%; Q3: € 14.1 million, down 10.5%; Q4: € 15.2 million, down 22.8%)
The Southern Europe region, which had shown some resilience in the 1st half of 2010, experienced a sharper decline in business at the end of the financial year. In the fourth quarter of 2010, revenues decreased by 22.8% compared to 2009 due in particular to the planned completion of a Linedata Master-I implementation project.
NORTHERN EUROPE (Q1: € 6.9 million, down 11.5%; Q2: € 6.4 million, down 20.1%; Q3: € 8.3 million, down 0.3%, Q4: € 5.8 million, down 17.6%)
The Northern Europe region posted a 12.1% decline in revenues in the 2010 financial year. The unfavourable business environment created by the UK elections and a low sales order backlog at the start of the year contributed to this fall in revenues. However, business activity improved in the fourth quarter thanks to the signing of several revenue-enhancing deals for 2011.
NORTH AMERICA (Q1: € 8.5 million, down 1.7%; Q2: € 10.0 million, up 7.6%; Q3: € 9.9 million, up 50.6%, Q4: € 11.7 million, up 7.0%)
US operations benefited throughout the year from the commercial success of the Linedata Longview and Linedata Compliance front and middle office products and a favourable €/USD exchange rate.
In a very competitive environment, the superior performance of these products enabled Linedata to sign major contracts and benefit from a strong revenue base that has experienced regular growth since the 2nd quarter of 2010.
ASIA (Q1: € 0.9 million, up 20.5%; Q2: € 0.8 million, down 19.4%; Q3: € 1.1 million, up 7.3%; Q4: € 0.4 million, down 40.0%)
In spite of its still modest size, Asia is a focus for growth for Linedata. The Company recently launched a product line dedicated to hedge fund start-ups, which should be favourably received, especially in this region.
Confirmed substantial increase in profitability in 2010 and confidence in a business recovery for 2011.
Linedata is forecasting, as announced, a significant improvement in profitability in 2010. The Group is totally debt-free and had net cash of approximately € 2 million at its disposal at the end of December 2010.
Linedata is beginning a new financial year with strengthened fundamentals: investments in sales and marketing made in 2010 and the continuation of key R&D projects should enable the Group to enjoy renewed growth in 2011.
At 1 January, the sales order book to be fulfilled in 2011 had increased by 4% compared to the same period of 2010.
Shareholders’ agenda: publication of 2010 annual results on 16 March 2011 after close of trading.
Linedata is a global solutions provider with 700 clients operating in 50 countries. With more than 800 employees across the globe, Linedata is dedicated to the investment management and credit community. Linedata has been at the service of the financial industry from day one, and applies its market and client insight to provide innovative and tailored mission-critical software and services that help its clients grow. As a pioneer for over 10 years with the set up of ASP infrastructure for the financial industry, Linedata has preached and spread this model throughout the global financial community, for its full range of products. Headquartered in France, Linedata achieved revenues of EUR 136.2 million in 2010. This company is listed on Euronext Paris FR0004156297-LIN – Reuters LDSV.LN – Bloomberg LIN:FP.
For further information, please contact:
+33 (0)1 47 77 68 25
Gilles Broquelet / Olivier Paria
+33 (0)1 80 81 50 00