secunet posts record sales in 2008

During the 2008 financial year, the secunet Group posted sales of EUR 52 million, an increase of 26% from 2007 (EUR 41.3 million). The largest increases in sales came in the second quarter (+32%) and the fourth quarter (+33%).

Corporate earnings were not able to match the increase in sales, a trend that was identified as far back as the second quarter. This is a result of incurring substantial costs in relation to preparatory work for major projects, which impacted corporate earnings throughout the 2008 financial year. In particular, these included higher distribution costs and costs for third-party services in relation to replacing operational staff who were involved in the preparation of offers. In addition, customers deferred a number of projects, which would otherwise have been concluded and invoiced by year end. As a result, the company's earnings before interest and taxes (EBIT) amounted to EUR 1.9 million, down from EUR 3.5 million in the previous year, a decrease of 46%. In total, secunet won major orders and framework agreements worth over EUR 100 million in 2008.

“The record sales we generated in 2008 were just reward for our outstanding achievements in developing and marketing our products and services”, noted Rainer Baumgart, CEO of secunet Security Networks AG. “We are in an excellent position and are therefore very confident going into the new financial year.”

The high order volume (firm orders) of EUR 31.1 million at year end supports this optimistic view for the future. As is the case with sales, this figure is also at a record level, up 85% on the previous year.