press releases

secunet Security Networks AG: Annual Financial Statements 2014, Distribution of Profits, Forecast for 2015

- Revenue and EBIT for 2014 at record level- Distribution of profits expected to grow- Forecast for 2015: Consolidation at a high level[Essen, 18 March 2015] secunet Security Networks AG (ISIN DE0007276503, WKN 727650), a leading German supplier of high-quality, reliable IT security and an IT security partner of the Federal Republic of Germany, today publishes its Annual Financial Statements and Annual Report for the financial year 2014.

In the 2014 financial year, the revenue of the secunet Group grew by 18.3 million euros or 29%, from 63.9 million euros in the previous year to 82.2 million euros. This revenue performance was influenced particularly positively by a strong increase in the product business (revenues from trade goods, licences, maintenance and support), which was also due to the effects of recovery from postponed projects from the previous year. At the same time, revenues from services (the consulting business) remained almost constant.

The Public Sector contributed the majority of revenues of the secunet Group in the 2014 financial year with 84% (previous year: 78%). Compared to the previous year, revenues in the Public Sector rose by 38%, from 50.1 million euros to 68.9 million euros. The Public Sector business unit offers its customers SINA encryption products as well as a wide range of products and services relating to cyber security for public clients. Customers from the public sector in Germany and abroad, as well as from international organisations, therefore continue to constitute the focus target group of secunet. At the same time, revenues in the Business Sector (services and solutions for the specific requirements of companies in the private sector) fell slightly from 13.8 million euros in the previous year to 13.3 million euros.

As a result of the significantly higher revenues in the Public Sector, the contribution of the Business Sector to the Group revenues fell by 22% in 2013 to 16% in the past 2014 financial year.

In relation to the strong increase in revenue, the costs in the secunet Group increased slightly by 26%. This resulted in an increase in earnings before interest and taxes (EBIT) of the secunet Group by 79% or 2.9 million euros compared to the previous year, rising from 3.7 million euros to 6.6 million euros. The secunet Group generated a Group net income of 4.4 million euros in the 2014 financial year, which corresponds to an increase of 2.0 million euros or 84% compared to the previous year (2.4 million euros). Diluted and undiluted earnings per share in 2014 stood at 0.68 euros, compared with 0.37 euros in the previous year.

The dividend payment to shareholders is expected to increase. Net income for the year for secunet Security Networks AG increased from 2.5 million euros in 2013 to 4.3 million euros in 2014. In the Annual General Meeting, due to take place on 13 May 2015 in Essen, Germany, the Management Board and the Supervisory Board of secunet Security Networks AG will recommend that a dividend of 0.27 euros be paid out for each no-par value share that is entitled to dividend (previous year: 0.15 euros).

"We achieved record results in the 2014 financial year: Our excellent solutions in the area of cyber security contributed significantly to this success", says Dr Rainer Baumgart, Chairman of the Management Board of secunet Security Networks AG.

The order book of the secunet Group in accordance with IFRS is 37.5 million euros at the end of 2014 and has therefore decreased by 7% compared to the amount of 40.3 million euros as at 31 December 2013. In the long-term growth trend of secunet Security Networks AG, as history has shown, a year of strong growth is regularly followed by stabilisation at the higher level reached. Against this background, the Management Board is expecting revenues and the EBIT for the 2015 financial year to remain at around the same level as for the previous year.

The Annual Report for secunet Security Networks AG is available to download at www.secunet.com under Investor Relations > News and Publications. Next dates in the financial calendar: 25 March 2015 Analysts' Conference in Frankfurt am Main, 6 May 2015 3-Month Report 2015.

Financial Reports

Disclaimer
This press release contains prospective statements. Prospective statements are statements which do not describe actual facts from the past; they also comprise of statements about our suppositions and expectations. Every statement in this press release which reflects our intentions, suppositions, expectations or forecasts (together with the suppositions which give rise to such views) constitutes a prospective statement. These statements refer to plans, estimates and forecasts which the management of secunet Security Networks AG currently dispose of. Thus prospective statements only refer to the day on which they were made. We shall accept no obligation to further develop such statements in the light of new information or future results.