12th Aug 2009 07:00
Wednesday 12 August 2009
Q1 Interim Management Statement
Micro Focus International plc ("Micro Focus" or "the Group", LSE: MCRO.L), the Enterprise Application Modernisation software company, provides an Interim Management Statement for the three month period to 31 July 2009.
The trading outlook across the Group remains broadly in line with management expectations following the first quarter. Management is confident that the first quarter will provide the platform for a solid first half year performance.
During the quarter, Micro Focus closed the Compuware acquisition on 1 June 2009 for a gross consideration of approximately $80m, and the Borland acquisition on 27 July 2009 for approximately $113m. Both transactions were completed in line with the Group's strict financial criteria and the integration of both acquisitions is well underway. The twelve month run-rate revenue contribution for both acquisitions is expected be in the region of $150m, with combined EBITDA margins of approximately 15% in the first year of ownership. The ambition is for margins of these acquisitions to be expanded over the longer term towards the group target of approximately 40%.
Stephen Kelly, Chief Executive Officer of Micro Focus International plc, commented:
"The relevance of our customer proposition remains strong in this environment and we are satisfied with the performance across the Group in our first quarter of trading. During the quarter we closed the Compuware and Borland acquisitions and both integrations are progressing as planned. We now have a significant foothold in the Testing/ASQ market. Consistent with our strategy, FY10 will benefit from the strong combination of organic and acquired revenues to provide a platform for superior shareholder returns."
Micro Focus will host an equity analyst and investor strategy meeting in London on 28 September 2009.
Enquiries:
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Micro Focus |
Tel: +44 (0)1635 32646 |
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Stephen Kelly, Chief Executive |
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Nick Bray, Chief Financial Officer |
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Tim Brill, Head of Corporate Communications & IR |
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Financial Dynamics |
Tel: +44 (0)20 7831 3113 |
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Charles Palmer/Haya Herbert-Burns/Nicola Biles |
Notes to editors:
About Micro Focus
Micro Focus, a member of the FTSE 250, provides innovative software that allows companies to dramatically improve the business value of their enterprise applications. Micro Focus Enterprise Application Modernization and Management software enables customers' business applications to respond rapidly to market changes and embrace modern architectures with reduced cost and risk. For additional information please visit www.microfocus.com.
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