The total revenues in Q4/06 ended at MNOK 78,9 compared to MNOK 66,1 in Q4/05, up 19,4%.
The EBIT is MNOK 18,5 compared to MNOK 15,3 in Q4/05, an increase of 21,3% The EBIT margin in Q4/06 is 23,5% compared to 23,1% in Q4/05.
The total operating revenues increased by 10% to MNOK 274,4 in 2006 compared to MNOK 249,4 in 2005. The EBIT for 2006 is MNOK 57,9 compared to MNOK 53,8 in 2005.
There is a positive development in all major markets, and the export share is above 70%.
SuperOffice’s financial position is very strong.
SuperOffice has during 2006 reached its main strategic objectives related to growth in sales of new licenses, the focus on an extended partner channel, development of SuperOffice software and strengthened the organisation related to sales and development. The organisation of the parent company is strengthened by the appointment of a new CFO and Director of Partner Relations. There are no changes to SuperOffice strategy related to what has been communicated earlier, and it is still the ambition that SuperOffice shall be a leading supplier of CRM solutions in Europe.
In line with the company’s dividend policy, the Board of Directors of SuperOffice ASA will propose that the Annual General Meeting should approve a dividend of NOK 2.00 per share, equivalent to MNOK 42 in total.
COMMENTS TO THE OPERATION
The main areas of business for SuperOffice are revenues from software licenses and software maintenance. Q4/06 has been a very good quarter for the main business areas with a growth of respectively 24,5% and 18,6%. The focus on the partners and new system integrators had a positive influence on the quarter, especially in Norway. All parts of the group are focused on making SuperOffice the preferred CRM provider in Europe.
The financial position of SuperOffice is still very strong. The net positive cash flow from operations for 2006 is MNOK 50,8 compared to MNOK 43,0 for 2005. The development of accounts receivable is in accordance with the increased turnover, and the bad debt losses are still on a very low level. The liquidity balance at December 31, 2006 amounts to MNOK 53,4, and is mainly related to cash and bank deposits. Further, listed shares owned by the Company amounts to MNOK 16,0 at the end of 2006. The Company has as of December 31, 2006 no interest bearing debt.
As Europe’s leading CRM vendor, SuperOffice aims at growth and continuously analyzes possibilities to improve its international position. In this context, SuperOffice wishes to take financial positions in companies which are considered to contribute with added value, improved market position and profitable business to SuperOffice. As part of this strategy SuperOffice has during 2006 acquired 4,8% of the shares in update software AG, an Austrian company listed on Deutsche Börse in Frankfurt. SuperOffice has in the beginning of 2007 acquired additional shares to a total ownership share of 8,2% of the shares. The position gives SuperOffice the opportunity to analyze update software AG further.
PRODUCT DEVELOPMENT
The development of the company’s products has continued in accordance with the predefined plans, and two new solutions have been released during the quarter.
SuperOffice CRM Ribbons for Office 2007
SuperOffice has since the beginning been closely integrated with the so called Office programmes. With the new product SuperOffice Ribbons we take a quantum leap in seamless integration and offer direct access to SuperOffice functions and information directly from Microsoft Office 2007 programmes Word, Excel, PowerPoint and Outlook. SuperOffice is a Premium Launch Partner during the launch of Microsoft Office 2007 and Vista, and there will be several marketing events in cooperation with Microsoft. SuperOffice Ribbons is included in the SuperOffice server product, and will as such be automatically available for existing and new customers.
SuperOffice Learning Online (SOLO)
SOLO is a web based interactive e-learning system that gives the users the possibility to perform learning in a flexible and cost efficient manner. The solution is offered both as a “hosted service” and implemented in the customer’s intranet.
During 2007 SuperOffice will continue to aggressively develop the company’s solutions. During the first half of 2007 SuperOffice 6.web and SuperOffice 6.1 for Windows will be launched. The new web-client of SuperOffice is based on a new architecture and technology. This technology offers a rich and efficient user interface as well as scalability and flexibility that previously was not possible in web based applications. SuperOffice 6.web ia based on the latest technologies such as Web 2.0, Ajax and Service Oriented Architecture (SOA). Together with the launch of SuperOffice 6.web the company will launch a software developer kit that makes further integration and customization of the application possible. In addition to the fact that SuperOffice 6.web represents a user friendly and flexible solution for both customers and partners, the application provides a platform for introducing Software as a Service (On Demand) solution.
FUTURE EXPECTATIONS
There are no changes to SuperOffice’ strategy from what has been communicated earlier. External market analysts still expect the CRM market to grow, and based on the SuperOffice product portfolio it is the company’s goal to become the leading supplier of CRM solutions in Europe.
SuperOffice has dedicated employees, and considerable resources are invested in the employees through development and motivation programmes.
An important part of the Company’s strategy is the focus on the establishment of an extended partner channel in all markets. The strategy has provided positive results in 2006, and the strategy is an important part of the continued success in all markets in 2007. It is expected that the sales through the extended partner channel will increase in 2007.
As mentioned, SuperOffice will continuously consider taking financial positions in companies which are considered to contribute with added value, improved marked position and profitable business to SuperOffice. This strategy will be further pursued in 2007.
SuperOffice ASA has during the last 4 years shown a positive development in both revenue and profits, and the ambition is to continue this trend in 2007
The Company has during 2006 repurchased 94 600 shares for MNOK 2,4, at an average price of NOK 25,49. SuperOffice ASA has no outstanding share option programmes.
The quarterly financial statement is presented according to IAS 34 and the accounting principles described in the Annual Report for 2005. There are no changes to the accounting principles applied in 2006.
The quarterly report for Q1/07 will be released April 20.
The Board of Directors of SuperOffice ASA
Oslo, February 15 2006