2013-02-14 19:03:01 -
Annual Results for the year 2012
February 15, 2013 - SYSTRAN, the leading provider of language translation
technologies, today announced its consolidated financial results for the year
ended December 31, 2012.
----------------------------------------+---------+---------+---------------
Consolidated and Audited Accounts (*) | 2012 | 2011 | Annual Change
(in K€) | (IFRS) | (IFRS) | 2012 / 2011
----------------------------------------+---------+---------+---------------
Sales
| 10,180 | 10,587 | - 3.8 %
----------------------------------------+---------+---------+---------------
Current Operating Income (Loss) | 82 | 1,069 | NA
----------------------------------------+---------+---------+---------------
% | 0,8 % | 10.1 % |
----------------------------------------+---------+---------+---------------
Net Income (Loss) - Group's Share | 745 | 698 | + 6.7 %
----------------------------------------+---------+---------+---------------
% | 7.3 % | 6.6 % |
----------------------------------------+---------+---------+---------------
(*) On February 12, 2013 the Board of Directors approved the Financial
Statements for the year 2012.
SYSTRAN's consolidated sales amounted to 10.18 million Euros in 2012, a decrease
of 3.8% as compared with 2011. This decrease is for the most part due to the
slowdown of the activity of SYSTRAN Software Inc., which is partially offset by
the favorable impact of the Euro-US Dollar foreign exchange rate.
In 2012, salaries and wages increased by 3.3% mainly due to the expansion of the
sales team in France. Consolidated other expenses increased by 6.7% and can be
attributed to our US subsidiary and the negative impact of Euro-US Dollar
foreign exchange rate. During this period a tax credit for research activities
accounted for 774 thousand Euros versus 1,011 thousand Euros in 2012.
Considering the above, current operating profit amounted to 82 thousand Euros as
compared with 1,069 thousand Euros in 2011.
The operating income amounted to 14 thousand Euros as compared with 841 thousand
Euros in 2011. The Company recorded positive financial income from gains and
interest earned on investments totaling 567 thousand Euros. Consolidated net
income amounted to 745 thousand Euros versus 698 thousand Euros in 2011.
Total shareholders' equity amounted to 14.8 million Euros as compared with 15.2
million Euros as of December 31, 2011. The Company has no significant debts and
the Company's net cash position amounted to 22.9 million Euros at December
31, 2012, as compared with 22.3 million Euros on December 31, 2011. Group debt
amounts to 0.4 million Euros as compared with 0.2 million Euros as of December
31, 2011.
Year 2012 Activities
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In % In % Annual Change
Consolidated Accounts 2012 of total 2011 of total 2012/2011
(in K€)
--------------------------------------------------------------------------------
Software Publishing 5,051 49.6% 6,138 58.0% -17.7%
Professional Services 5,129 50.4% 4,449 42.0% +15.3%
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Consolidated Sales 10,180 100.0% 10,587 100.0% -3.8%
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SYSTRAN's consolidated sales amounted to 10.2 million Euros in 2012, a decrease
of 3.8% as compared with 2011, divided between 5.1 million Euros for Software
Publishing and 5.1 million Euros for Professional Services.
During the year, license sales totaled 5.1 million Euros and represent 50% of
total sales. This is a decrease of 18% as compared with 2011, attributable to
the decline in sales of Desktop and Server Products to corporate customers and
the US Government.
Professional Services sales totaled 5.1 million Euros and represent 50% of total
sales. This is an increase of 15.3% as compared with 2011, largely due to the
increase of the co-funded research and development activity in France.
Professional Services sales to corporate customers and the US Government are
increasing despite the slowdown in the US.
More than half of all sales are generated in North America. Sales are
distributed as follows:
-----------------------------------------+-----------+-----------
By geographical area of asset location | Year 2012 | Year 2011
(in thousands of Euros) | |
-----------------------------------------+-----------+-----------
Europe | 4,474 | 4,103
-----------------------------------------+-----------+-----------
North America | 5,706 | 6,484
-----------------------------------------+-----------+-----------
Total Sales | 10,180 | 10,587
-----------------------------------------+-----------+-----------
Outlook
In 2013 SYSTRAN plans to expand the sales team to develop revenue in all
business segments. SYSTRAN will also launch new cloud services to complement its
line of products and services for corporate customers.
As of December 31, 2012 unearned revenue from license sales amounted to 1.5
million Euros as compared with 0.9 million Euros at December 31, 2011.
As of December 31, 2012 total work orders for Professional Services amounted to
1.8 million Euros as compared with 2.0 million Euros at December 31, 2011.
SYSTRAN also expects a decrease of Professional Services from the US Government
and co-funded projects in France.
Dispute with the European Commission
On March 4, 2011, the European Commission brought an appeal before the Court of
Justice against the judgment of the General Court which was delivered on
December 16, 2010 (case T-19/07). On November 8, 2011, the Court informed the
parties that the written procedure was closed and a hearing took place on April
19, 2012.
On November 15, 2012, the Advocate General proposed that the Court of Justice
should set aside the judgment of the General Court by which that court ordered
the Commission to pay SYSTRAN a lump-sum amount of 12 million Euros as
compensation for the material damage sustained by it. The Advocate General
proposes that the Court of Justice should, primarily, set aside the judgment of
the General Court and itself give judgment in the case, declaring that the
action based on non-contractual liability brought by SYSTRAN and its subsidiary
is inadmissible. In the alternative, he proposes that the Court of Justice
should set aside the judgment of the General Court and refer the case back to
it. As of today, the Court has not provided any further information on the
judgment date.
About SYSTRAN
SYSTRAN is the market leading provider of language translation software products
and solutions for the desktop, enterprise and Internet.
Use of SYSTRAN products and solutions enhance multilingual communication and
increase user productivity. SYSTRAN delivers real-time language solutions for
search, content management, online customer support, intra or intercompany
collaboration, and eCommerce.
With the ability to facilitate communication in 52+ language combinations and in
20 vertical domains, SYSTRAN's software is the choice of leading global
corporations, portals and public agencies.
SYSTRAN has been pioneering advances in machine translation for over four
decades. Its latest achievement, SYSTRAN Hybrid MT, combines the predictability
and language consistency of rule-based machine translation with the fluency of
statistical MT.
SYSTRAN is headquartered in Paris, France with a North American office located
in San Diego, California, USA.
SYSTRAN (Code ISIN FR0004109197, Bloomberg: SYST NM, Reuters: SYTN.LN) is listed
on EuroNext Paris, Compartiment C.
For more information, visit www.systransoft.com
Contact
Dimitris SABATAKAKIS, Chairman & CEO
Telephone: +33 (0)1 44 82 49 00 Fax: +33 (0)1 44 82 49 01
Email:
sabatakakis@systran.fr
Revenue for the first quarter 2013 ending on March 31, 2013 will be announced on
May 3, 2013.
This Press Release is available for download at:
www.systransoft.com/systran/investors/press-releases
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(In K€) Year 2012 Year 2011 Year 2010 Year 2010
(12 months) (12 months) (12 months) (12 months)
Restated ((1)) Published
( )
--------------------------------------------------------------------------------
Net sales 10 180 10 587 8 934 8 934
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Cost of sales and other (3 272) (2 874) (3 189) (3 189)
external expenses
Wages and salaries (7 089) (6 860) (5 521) (5 521)
Taxes and duties (235) (224) (207) (207)
Depreciation and amortization (342) (346) (311) (311)
(net)
Other income / (expenses) 840 886 768 (102)
((2))
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Current operating income 82 1 069 474 (396)
--------------------------------------------------------------------------------
Other operating income 26 0 12 332 12 332
Other operating expenses (94) (228) (12 563) (12 563)
--------------------------------------------------------------------------------
Operating income 14 841 243 (627)
--------------------------------------------------------------------------------
Net cost of debt 528 346 130 130
Other financial income 55 7 86 86
Other financial expenses (16) (46) (76) (76)
--------------------------------------------------------------------------------
Net financial income 567 308 140 140
--------------------------------------------------------------------------------
Profit before tax 581 1 148 383 (487)
--------------------------------------------------------------------------------
Income tax expenses ((1)) 164 (450) (301) 569
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Profit from operations 745 698 82 82
--------------------------------------------------------------------------------
Minority interest 0 0 0 0
--------------------------------------------------------------------------------
Net income / (loss) - Group's 745 698 82 82
share
--------------------------------------------------------------------------------
Earning / (loss) per share
On the basis of the average Year 2012 Year 2011 Year 2010 Year 2010
number of shares in
circulation:
- Number of common shares 7,663,145 7,845,088 8,054,870 8,054,870
- Euros per share 0.10 0.09 0.01 0.01
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(1) Restated presentation of the tax credit for research activities (from
«income tax expenses» to « other income »).
(2) A tax credit for research activities in the amount of 1,011 thousand
Euros was accounted for at December 31, 2011 in other current revenues, whereas
the tax credit for research was accounted for in corporate taxes in the previous
financial consolidated statements.
SYSTRAN - Annual results for the year 2012:
hugin.info/141962/R/1678331/547730.pdf
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: SYSTRAN via Thomson Reuters ONE
[HUG#1678331]
