DGAP-News: MAGIX presents nine-month report 2010/2011
(firmenpresse) - DGAP-News: MAGIX AG / Key word(s): Interim Report/Quarter Results
MAGIX presents nine-month report 2010/2011
30.08.2011 / 07:00
---------------------------------------------------------------------
Berlin, August 30, 2011 - This Tuesday, Germany's leading manufacturer of
multimedia software, Berlin-based MAGIX AG (ISIN DE 0007220782), released
its quarterly report after the first nine months of the 2010/2011 financial
year. As previously announced by the company at the end of July, company
revenue of MAGIX dropped by 4% to kEUR 25,193 in the reporting period
lasting from October 2010 to June 2011. Earnings before interest and taxes
(EBIT) dropped by 27% to kEUR 1,893.
Due to the annual release cycle, revenue at MAGIX is distributed rather
heterogeneously across the quarters. Compared to the first and the forth
quarters, the second and third quarters are comparatively weak in terms of
sales. This also appears to hold true for 2010/2011. After a strong first
quarter in which revenue increased by 13% to kEUR 10,736, Group revenue
remained below the previous year's levels in both of the subsequent
quarters: It amounted to kEUR 8,343 in the second quarter, thus 5% below
the previous year's level and to kEUR 6,114 in the third quarter, which is
23% below last year's level.
Very high quantities of goods returned by retail, particularly in the
German-speaking region, can be seen as a decisive reason for the poor
results in the third quarter. As a result, revenue in the B2C Indirect
division, where MAGIX generates revenues with consumers indirectly via
retailers and online retailers, dropped by 41% to kEUR 2,103. After nine
months, revenue in this division amounted to kEUR 11,409, which is 8% below
the previous year's value.
In the nine months from October 2010 to June 2011, the customer base grew
from 12.0 million to 12.9 million registered users. At the same time, the
conversion rate (registered users to direct customers) increased from 8.9%
to 9.5%. The B2C Direct division benefited from this development. So far,
MAGIX has generated 48% of the company revenue in 2010/2011 via the company
websites; this exceeds revenue generated with retail and online business in
the B2C Indirect division, which amounted to 45%. Direct revenue increased
by 3% to kEUR 3,683 in the third quarter and by 4% to kEUR 12,025 after
nine months.
Business in the B2B division is generally more volatile than the consumer
business, as B2B revenue depends on comparatively few deals with business
clients. The division was noticeably weaker in the third quarter,
generating revenue that, at kEUR 328, was 60% below the previous year's
level. On the one hand, revenue generated by Samplitude/Sequoia dropped due
to the fact that the new versions of this professional audio software are
released in the fourth quarter of the financial year. On the other hand,
OEM customers were very cautious. After nine months, revenue in this
division amounted to kEUR 1,759, which is 25% below the previous year's
value.
After the gross margin experienced a slight drop in the first quarter
against the background of growing revenue, it increased in both of the
subsequent quarters. It rose to 88% in the third quarter (previous year:
86%), thus amounting to 86% after nine months (previous year: 85%).
Compared to kEUR 6,876 in the previous year, the absolute gross margin
amounted to kEUR 5,374 in the third quarter. After nine months, it thus
amounted to kEUR21,657, which is 4% below the previous year's value.
Within the nine months, operative costs and write-offs rose only slightly
from kEUR 19,853 to kEUR 20,210. Write-offs rose from kEUR 2,571 to kEUR
2,906, while operative costs remained almost unchanged at kEUR 17,304
(previous year 17,282). Although operative selling and distribution costs
rose more noticeably in the third quarter, they were only 3% above the
previous year's value after nine months at kEUR 8,756. Operative costs in
the administrative area were reduced considerably in all three quarters and
were thus 19% below the previous year's value after nine months at kEUR
3,179. In contrast, expenditures for research and development increased
steadily. Operative costs in this area rose to kEUR 5,369 (+11%) within the
reporting period.
Similar to the revenue development, the earnings development was very
different in the three quarters. The first two quarters generated clearly
positive earnings before interest and taxes: Against the background of
strong growth, EBIT in the first quarter amounted to kEUR 1,985 (+65%),
while the subsequent quarter experienced a slight slowdown, generating EBIT
of kEUR 1,188 (-9%). Compared to the very positive result of kEUR 92 in the
previous year, the third quarter generated negative EBIT at kEUR -1,280. As
a result, the EBIT margin dropped to 8% (previous year: 10%) in the first
nine months of 2010/2011.
Against the background of declining private consumption and the resulting
revenue development especially in the third quarter in German-speaking
retail, the Group's management expects revenue to drop moderately in the
current financial year. Revenue in the fourth quarter of 2010/2011 is
expected to reach the previous year's level at approximately EUR 10.8
million. The annual revenue is thus estimated to amount to approximately
EUR 36.0 million and EBIT to approximately EUR 4.2 million. With growing
revenue, a correspondingly higher result is expected for the upcoming year.
The complete nine-month report can be downloaded from Deutsche Börse (the
German Stock exchange) or at ir.magix.com after 9.30 am.
This document contains forward-looking statements. Forward-looking
statements are statements that do not describe historical facts, but use
terms such as 'believe', 'assume', 'expect', 'presume', 'estimate', 'plan',
'intend', 'could', or similar expressions. By nature, these forward-looking
statements are subject to risks and imponderability as they refer to future
events and are based on current assumptions and estimations of MAGIX AG,
which may not turn out to be true at all or may turn out differently than
expected. Therefore, they are no guarantee for future results or future
performance of MAGIX AG; the actual financial situation, the results
achieved by MAGIX AG as well as the overall economic development and legal
framework may deviate considerably from the expectations that are taken as
a basis implicitly or explicitly in the forward-looking statements and may
not fulfill them. Investors are therefore warned not to use the
forward-looking statements outlined here as a basis for their investment
decisions related to MAGIX AG.
MAGIX AG assumes no obligation to update or correct forward-looking
statements or to adapt forward-looking statements according to future
events or developments provided that there is no legal obligation to do so.
About MAGIX
MAGIX is an internationally operating provider of software, online services
and digital content for using multimedia products and services for personal
and business communication, and is listed on the Prime Standard of the
German stock exchange. MAGIX offers private and professional users a
technologically demanding and at the same time user-friendly range of
software, online services and digital contents for designing, editing,
presenting and archiving digital photos, videos, music, documents and
websites.
According to retail sales figures, MAGIX is the market leader in the field
of multimedia software in Germany and in the most important European
markets, and it is also seen as one of the most successful market
participants in the USA. 15 years of market activity and more than a
thousand awards worldwide are proof of the company's innovative power.
15 years of MAGIX - 15 years of passion for innovation
End of Corporate News
---------------------------------------------------------------------
30.08.2011 Dissemination of a Corporate News, transmitted by DGAP - a
company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
Language: English
Company: MAGIX AG
Friedrichstraße 200
10117 Berlin
Germany
Phone: +49 (0)30- 29 39 2-280
Fax: +49 (0)30- 29 39 2-415
E-mail: ir(at)magix.net
Internet: www.magix.com
ISIN: DE0007220782
WKN: 722078
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, München, Stuttgart
End of News DGAP News-Service
---------------------------------------------------------------------
137366 30.08.2011
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 30.08.2011 - 07:00 Uhr
Sprache: Deutsch
News-ID 60275
Anzahl Zeichen: 3343
contact information:
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 266 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"DGAP-News: MAGIX presents nine-month report 2010/2011"
steht unter der journalistisch-redaktionellen Verantwortung von
MAGIX AG (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
