14th Jul 2008 07:00
SDL plc
Trading Update
Maidenhead, U.K. - Monday 14 July 2008 - SDL plc, the leading provider of Global Information Management (GIM) solutions, today announced that revenues and profits for the six months ended 30 June 2008 are expected to be significantly ahead of analyst expectations, which will have a positive impact on the expected result for the full year.
Revenues are expected to be in excess of £75.0m (2007: £54.5m) for the six months ended 30 June 2008, an increase in excess of 37%. Profit before taxation and amortisation of intangible assets ("PBTA") is expected to be in the region of £11.5m (2007: £8.7m). Approximately two thirds of the revenue increase over 2007 is related to organic growth, with the balance of the increase contributed by acquisitions.
Mark Lancaster, Chairman and Chief Executive Officer of SDL commented:
"The exceptionally strong performance in the first half of the year was achieved as a result of the group continuing to make excellent progress with its long term strategy of providing international companies with enterprise wide solutions, enabling them to drive their worldwide business through the effective use of Global Information Management.
"We are very pleased with the performance of both the technology and services business units within the SDL Group. The technology business revenue grew by over 100% due to a mixture of solid organic growth from both Enterprise and Desktop Technology divisions and a full six month's contribution from the Tridion acquisition that was made in May 2007. Idiom Technologies Inc, which was acquired in February 2008, is integrating well into the organisation and, in line with our expectations, is on target to achieve break-even at the operating margin level by the year end. The Translation Services business units' revenue and profit is also expected to be significantly ahead, with organic revenue growth expected to be approximately 20%, due primarily to the strong growth of business process outsourcing deals.
"SDL is a global business and as a Board we monitor the macro-economic conditions that could spill over to SDL's business. However, we have entered the second half of the financial year with both a good order book and pipeline which gives us confidence for the full year."
SDL expects to announce interim results for the six months ended 30 June 2008 on 4 August 2008, when further details will be given.
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Contacts:
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SDL plc |
Tel: 01628 410 127 |
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Mark Lancaster, Chairman and Chief Executive |
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Alastair Gordon, Chief Financial Officer |
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Financial Dynamics |
Tel: 020 7831 3113 |
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Edward Bridges/Juliet Clarke/Haya Chelhot |
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