ATOSS Software SE
ATOSS Software AG: Munich’s workforce specialist continues to show strong growth and high profitability in the third quarter – guidance for 2023 raised

In the third quarter of 2023, ATOSS Software AG succeeded in maintaining its dynamic growth of the first half of the year, achieving new revenues and earnings record. For example, consolidated revenues increased by a very appreciable 35 percent in the first three quarters, climbing to EUR 110.3 million (previous year: EUR 81.9 million). Operating earnings rose by a overproportionate 70 percent to EUR 36.7 million (previous year: EUR 21.6 million) in connection with an EBIT margin of 33 percent (previous year: 26 percent). Against the background of consistently strong business growth, the Management Board is expecting to again close the 2023 financial year with record results exceeding its forecast for revenues and earnings already lifted after the first half of the year.

Munich, October 23, 2023

ATOSS Software AG can look back on a very successful third quarter with new highs for revenues and earnings. The company’s dynamic growth was again boosted impressively in spite of the downturn in the economic environment. In the first three quarters, consolidated revenues advanced by a very appreciable 35 percent, reaching EUR 110.3 million (previous year: EUR 81.9 million). Of this amount, software revenues contributed a 40 percent increase in revenues totaling EUR 79.0 million (previous year: EUR 56.3 million) and continue to be decisively influenced by the expansion of cloud business. Overall, revenues from the Cloud and Subscriptions were up 60 percent to EUR 38.4 million (previous year: EUR 24.0 million) and now account for a 35 percent share of total revenues (previous year: 29 percent). Moreover, the revenues record in software is also due in particular to the significant increase in non-recurring revenues of on-premises licenses compared with the previous year. Together with the 14 percent rise in software maintenance revenues amounting to EUR 26.5 million (previous year: EUR 23.3 million), total recurring revenues advanced year-on-year by 37 percent, reaching EUR 64.9 million (previous year: EUR 47.3 million). Notwithstanding the strong increase in software license revenues, the share of recurring revenues from cloud and maintenance in total revenues stood at 59 percent (previous year: 58 percent), slightly higher than for the previous year. In the first nine months, consulting services revenues expanded to EUR 24.2 million (previous year: EUR 20.4 million).

The order book of the Munich software specialist for workforce management solutions enjoyed pleasing growth overall. This is based on the orders received for new subscription licenses and non-recurring licenses from new and existing customers which are on par with last year’s high level in spite of the economic downturn. As a result the key indicators for the order book experienced positive growth as a whole. This is reflected in particular in the cloud order backlog of EUR 58.9 million (December 31, 2022: EUR 43.3 million). The cloud order backlog states revenues from contractually secured cloud usage fees within the next 12 months. This cloud indicator also includes Annual Recurring Revenues from the cloud (ARR for short) resulting from current cloud usage fees which increased by 35 percent to a total of EUR 55.3 million (December 31, 2022: EUR 41.0 million) over the final figure as of December 31, 2022. Total ARR (consisting of cloud usage fees and maintenance revenues) grew 22 percent to EUR 91.3 million as of September 30, 2023 (December 31, 2022: EUR 74.8 million). Due to the high realization of non-recurring license revenues, the on-premises order backlog stands at EUR 4.9 million, following EUR 7.3 million as of December 31, 2022.

As of September 30, 2023, the return on revenues in relation to operating profit (EBIT) stands at 33 percent (previous year: 26 percent) – notwithstanding the year-on-year increase in R&D investments resulting from the expansion of technology leadership as well as the continuous general increase in the headcount – which exceeds the figure of around 30 percent forecast by the Management Board for 2023 as a whole and already increased at the six-month mark, mainly due to the sharp rise in non-recurring license revenues. Thanks to its excellent financial development over the last 9 months, Group liquidity also experienced a very significant 56 percent uptrend to EUR 87.8 million (previous year: EUR 56.2 million).

Consistent stability and impressive profitability – combined with extremely positive market forecasts – prove that the growth potential of ATOSS is far from exhausted. The digital transformation of the global economy is in full flow and ATOSS is playing a very special role in these developments with its broad portfolio of solutions for companies of any size and sector as well as its innovative strategy.

Against the background of consistently positive growth forecasts and the impressive growth of the business over the last nine month, ATOSS is now navigating confidently towards its 18th record results in succession. The Management Board currently expects to exceed its forecast for the whole of 2023, increased at the six-month mark, with total revenues of at least EUR 142 million and an EBIT margin of around 30 percent. The Management Board is now assuming total revenues of at least EUR 145 million for the 2023 fiscal year.

CONSOLIDATED OVERVIEW PURSUANT TO IFRS: 9 MONTH COMPARISON IN KEUR

CONSOLIDATED OVERVIEW PURSUANT TO IFRS: QUARTERLY GROWTH IN KEUR

(1) Cash and cash equivalents, other current and non-current financial assets (sight deposits, gold) as of the qualifying date, adjusted to exclude borrowings (loans)

(2) Dividend of EUR 2.83 on 05/04/2023 (KEUR 22,507) Dividend of EUR 1.82 on 05/04/2022 (KEUR 14,475)

(3) at the end of the quarter/year



Upcoming dates:

November 27, 2023 ATOSS at the German Equity Forum

ATOSS

ATOSS Software AG is a provider of technology and consulting solutions for professional workforce management and demand-optimized workforce deployment. Whether time & attendance management, mobile apps, workforce forecasting, sophisticated workforce scheduling or strategic capacity and requirement planning, ATOSS has just the right solution – both in the cloud and on-premises. The modular product families feature the highest level of functionality, technology and platform independence. With around 15,000 customers in more than 50 countries, ATOSS workforce management solutions make a measurable contribution to increased value creation and competitiveness. At the same time, they ensure greater planning fairness and satisfaction at the workplace. Customers include companies such as ALDI SÜD, Coca-Cola, Deutsche Bahn, Douglas, Edeka, HUK-COBURG, Klinikum Leverkusen, Lufthansa, Schmitz Cargobull, Sixt, Stadt Regensburg, thyssenkrupp Packaging Steel and W.L. Gore & Associates. Further information: www.atoss.com

ATOSS Software AG

Christof Leiber / CFO

Rosenheimer Straße 141 h,

D-81671 Munich

Tel.: +49 (0) 89 4 27 71 – 0

Fax: +49 (0) 89 4 27 71 – 100

investor.relations@atoss.com