DGAP-Adhoc: Mensch und Maschine Software SE discloses nine months figures

Mensch und Maschine Software SE / Quarter Results

27.10.2008 

Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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Good profit growth in third quarter
- Q3: Operating profit EBITA +20% / Net profit +26%
- Strong Q4 expected with 50% plus in operating profit

Wessling, October 27, 2008 – With a solid third quarter, Mensch und
Maschine Software SE (MUM - ISIN DE0006580806), a CAD/CAM specialist
company listed on the Prime Standard, remained on a profitable growth path
after the first nine months of fiscal year 2008. Sales accelerated to EUR
170.8 mln (PY: 159.4 / +7%), operating profit EBITA was EUR 7.73 mln (PY:
7.24 / +7%), while net profit excluding minority shareholdings came in at
EUR 4.62 mln (PY: 4.19 / +11%).

Higher growth in local currencies
After adjustment of currency exchange effects, negatively impacting group
sales, accounted in Euro, by nearly five million, growth in local
currencies amounted to approx. 10 percent. In particular, this was due to
the British Pound weakness, as approx. one fifth of M+M group sales are
achieved in UK. On the operating profit level, the negative currency impact
is smaller, amounting to approx. half a million Euro, as most of the
expenses are accounted in local currencies, resulting in approx. 14%
operating profit growth after currency adjustment.

Q3 with disproportionate profit growth
The sales contribution of third quarter was EUR 51.20 mln (PY: 49.23),
representing a moderate 4% increase (7% after currency adjustment). Due to
a good margin mix, EBITA climbed disproportionately to EUR 1.69 mln (PY:
1.42 / +20%), with net profit excluding minority shareholdings increasing
by 26% to EUR 0.91 mln (PY: 0.72).

M+M software still driving growth 
As seen in the second quarter, M+M’s own software business continued to be
the main growth driver during the summer months at +18% in Q3 and +14% for
nine months.

German business staying strong 
At 14% growth rate during the first three quarters, the domestic business
contributed significantly better to growth, although the nominal 4.5% rate
in international business was heavily loaded by currency volatility,
doubling to approx. 9% after adjustment of these effects. In the third
quarter, domestic and international sales moved head to head at approx. 7%
after currency adjustment.

Very positive balance sheet development
The operating cashflow as of Sept 30, 2008 reached a new record at EUR
12.69 mln (Sep 30, 2007: 12.29). Net bank debt decreased to EUR 10.9 mln
(Dec 31, 2007: 16.0). Additionally, the remaining amount of EUR 1.1 mln of
the 2004 convertible loan was paid back in July. Shareholders’ equity
climbed to EUR 26.4 mln (Dec 31, 2007: 24.4). The capital ratio was
increased to 32.1% (Dec 31, 2007: 30.3%).

Sale of ecscad technology on Oct 15, 2008
On August 20, we announced the sale of our electrical engineering software
technology ecscad to the Autodesk group. The agreed purchase price
represents approximately 2.5 times the annual sales generated by ecscad in
the past. This disinvestment, closed on October 15, generated approximately
EUR 2.5 mln net cash inflow for the M+M group ex minority shares and
escrow. The non-recurring disinvestment profit before taxes in Q4/2008 is
expected to be in the range of EUR 2.0 mln. As the M+M group will continue
to actively market ecscad as an Autodesk product, it does therefore not
expect a material impact on future sales and operating earnings as a result
of this transaction.

Strong Q4 expected with 50% plus in operating profit
For Q4/2008, M+M actually expects sales amounting to EUR 64.3 mln. Compared
to the relatively weak EUR 53.6 mln sales in Q4/2007, this goal represents
approx. 20% growth. For the full fiscal year, the resulting sales target is
approx. EUR 235 mln (PY: 212.9 / +10%), representing 13% growth in local
currencies. The expected operating profit EBITA in Q4 is approx. EUR 4.3
mln (PY: 2.8). In line with the sales level, the relatively weak quarter in
the previous year results in a disproportionate growth opportunity of more
than 50%. With Q4 being on target, the 2008 EBITA would be EUR 12 mln,
representing +20%.

While sales and operating profit targets for 2008 are slightly lower than
the original EUR 240 mln and EUR 13 mln, mainly due to currency effects,
the original EUR 0.62 (PY: 0.47 / +32%) target for net profit per share
could even be slightly exceeded due to the ecscad disinvestment.
DGAP 27.10.2008 
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Language:     English
Issuer:       Mensch und Maschine Software SE
              Argelsrieder Feld 5
              82234 Wessling
              Deutschland
Phone:        +49 (0)815 3933-0
Fax:          +49 (0)815 3933-100
E-mail:       investor-relations@mum.de
Internet:     www.mum.de
ISIN:         DE0006580806
WKN:          658 080
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Stuttgart, München, Hamburg, Düsseldorf
End of News                                     DGAP News-Service
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