DGAP-News: ATOSS Software AG / Key word(s): 9 Month figures/Quarter Results ATOSS Software AG: Pace of growth sustained on the way to 16th record year in succession - especially dynamic growth in the cloud 2021-10-25 / 08:00 The issuer is solely responsible for the content of this announcement.

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ATOSS Software AG remains on its growth trajectory and is once again reporting record figures according to provisional numbers. In the first three quarters, group sales were up by 14 percent to EUR 69.5 million. Operating earnings increased to EUR 18.6 million (previous year: EUR 17.4 million) with an EBIT margin of 27 percent (previous year: 28 percent). In the third quarter of 2021, Group sales even grew by 16 percent by comparison with the same quarter in the previous year with an EBIT margin of 28 percent. Against the background of an excellent order book marked above all by strong growth in the company's cloud business, the Management Board is again reinforcing its sales and earnings forecast for fiscal 2021 made at the start of the year, and is convinced that ATOSS will once again close the year with record results.

Munich, October 25, 2021

In the third quarter of the current fiscal year, ATOSS Software AG has also been outstandingly successful in maintaining the pace of its growth in the market for workforce management and further expanding its strong competitive position. Above all, it has once again posted a significant increase in its important cloud business. For example, both cloud sales and the key indicator for cloud business "Annual Recurring Revenue" continued to show very strong growth. And the demand for innovative, customer-oriented solutions to the strategic management of employees has remained unbroken given the existing shortcomings in the area of digitization in many of today's companies. This is impressively underlined by the quarterly figures unveiled today.

Total software sales in the period from January to September 2021 was up appreciably by 20 percent, climbing to EUR 47.0 million (previous year: EUR 39.0 million). This equates to a 68 percent share of the Group's total sales (previous year: 64 percent). Special mention here must be made of the successful expansion of sales from Cloud and Subscriptions which showed sustainable 50 percent growth, rising to EUR 13.8 million (previous year: EUR 9.2 million). The growth in software maintenance which has been positive for years, also continued. Sales here rose 9 percent to EUR 21.6 million (previous year: EUR 19.7 million). Overall, the proportion of recurring revenue in total sales - and thus the central, key factor in the company's future growth - continued to grow in line with the budget and has now reached 51 percent (previous year: 46 percent). Sales from consulting services advanced to EUR 18.1 million (previous year: EUR 17.5 million) - starting from the previous year's figure which was already very high.

Notwithstanding the significant year-on-year increase in expenses, particularly for R&D as part of the continuous refinement of ATOSS software solutions as well as higher staff costs resulting from the international expansion of capacity in sales - the 27 percent return on sales for the first three quarters (relative to EBIT) is at the level forecast by the Management Board for fiscal 2021. As of September 30, 2021, earnings per share increased by 6 percent to EUR 1.59 (previous year: EUR 1.50). However, this positive growth of the business is also reflected in further key Group performance indicators. For example, operating cash flow increased by 7 percent year on year, rising to EUR 24.0 million. As a result, liquidity increased from EUR 40.7 million to EUR 49.1 million. The consistently high demand for software-based solutions for personnel management and cost optimization from ATOSS is also reflected not least in the strong Q3 order book figures. The dynamic increase in Annual Recurring Revenue (ARR for short) which has again posted a double-digit increase of 78 percent to EUR 20.5 million (previous year: EUR 11.5 million) must be highlighted in this context. Furthermore, the company succeeded in significantly expanding the proportion of orders received for Cloud & Subscriptions in total orders for software to over 70 percent. By comparison: in fiscal 2020, the proportion of cloud orders received still stood at 42 percent. Consequently, ATOSS is taking giant strides in the cloud transformation of its business model.

Based on the impressive business developments over the last nine months to date, the consistently positive order book and the unabated excellent growth prospects in the workforce management market, ATOSS is advancing confidently towards a sixteenth record year in succession. With the progress made on implementing its cloud transformation strategy, leading edge technologies and the high levels of staff commitment, ATOSS is ideally positioned to maintain its profitable growth in 2022 and beyond, while gaining market shares at home and abroad.

CONSOLIDATED OVERVIEW PURSUANT TO IFRS: 9-MONTH COMPARISON IN KEUR 


                       01/01/2021 Proportion of   01/01/2020 Proportion of      Change 
                     - 09/30/2021   total sales - 09/30/2020   total sales 2021 / 2020 
 
Sales                      69,533          100%       61,121          100%         14% 
Software                   47,049           68%       39,309           64%         20% 
Licenses                   11,692           17%       10,419           17%         12% 
Maintenance                21,601           31%       19,732           32%          9% 
Cloud & Subscription       13,756           20%        9,158           15%         50% 
Consulting                 18,043           26%       17,523           29%          3% 
Hardware                    3,321            5%        2,753            5%         21% 
Others                      1,120            2%        1,536            3%        -27% 
 
EBITDA                     21,422           31%       20,054           33%          7% 
EBIT                       18,566           27%       17,357           28%          7% 
EBT                        18,769           27%       17,610           29%          7% 
Net profit                 12,674           18%       11,919           20%          6% 
Cash flow                  24,035           35%       22,462           37%          7% 
Liquidity ^(1/2)           49,069                     40,680                       21% 
EPS in euro                  1.59                       1.50                        6% 
Employees ^(3)                612                        540                       13%

CONSOLIDATED OVERVIEW PURSUANT TO IFRS: QUARTERLY GROWTH IN KEUR 


                        Q3/21  Q2/21     Q1/21  Q4/20  Q3/20 
 
Sales                  23,807 22,775    22,951 24,932 20,486 
Software               16,127 15,562    15,360 16,736 13,156 
Licenses                3,615  3,708     4,369  6,090  3,021 
Maintenance             7,517  7,222     6,862  6,868  6,734 
Cloud & Subscriptions   4,995  4,631     4,130  3,779  3,401 
Consulting              5,924  5,831     6,288  6,580  5,881 
Hardware                1,262  1,056     1,003  1,162    965 
Others                    495    326       299    453    485 
 
EBITDA                  7,571  6,898     6,953  9,705  6,711 
EBIT                    6,590  5,815     6,161  8,808  5,825 
EBIT margin in %          28%    26%       27%    35%    28% 
EBT                     6,774  5,856     6,139  8,588  5,747 
Net profit              4,416  4,113     4,145  5,795  3,667 
Cash flow              15,981    960 7,094^(4)    744 10,610 
Liquidity ^(1/2)       49,069 33,808    46,567 40,488 40,680 
EPS in euro              0.55   0.52      0.52   0.73   0.46 
Employees ^(3)            612    588       571    557    540

(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 1.67 on 05/05/2021 (KEUR 13,282; previous year: KEUR 10,140) (3) at the end of the quarter/year (4) Figure corrected in the press release of 07/26/2021 to the press release of 04/26/2021 Upcoming dates: November 22 -24, 2021 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 conventional time management, mobile apps, detailed 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 very highest level of functionality, browser-based high-end technology and platform independence. With around 10,000 customers in 52 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, MEYER WERFT, 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

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2021-10-25 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de

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