STABLE SIX-MONTH REVENUE AND CONTINUED FOCUS ON COST CONTROL
> Operating revenue for the period from April to June 2014 was SEK 99m (109), a decrease of 9% compared to the same period of 2013 that is mainly due to the challenging market conditions. In comparison with Q1 2014 revenue has grown by SEK 1m, which is explained by higher revenue from Professional Services. System revenue has stabilized and is unchanged compared to the previous quarter.
> Adjusted EBITDA was SEK 41m (52) and adjusted EBITDA-CAPEX was SEK 14m (22). Operating expenses and CAPEX are on a level with the corresponding period of last year and the previous quarter. Income for the period is on par with the past two quarters.
COMMENTS FROM CEO TORBEN MUNCH:
“Revenue stabilized in the second quarter, following an extended declining trend. Our customers are still experiencing an uncertain outlook, however, resulting in delays or postponement of investment decisions. At the same time, we are increasingly seeing signs that our strategy is correct, a conviction that is also reinforced by positive customer feedback.
Orc’s continuous cost focus was reflected in a cost level in line with the previous quarter. A strong cost culture has been established throughout the company in recent years, with clearly positive results. In addition, during the quarter Orc’s office in Brazil was closed as part of the efficiency program.
Market participants are positioning themselves to tackle future challenges, for the financial sector in general and for software vendors in particular. As market leaders in our segment, we have continued confidence in our vision; to offer innovative solutions that address a wider range of the needs and challenges facing our existing and new customers.”
Orc is the global market leader in trading technology for listed derivatives. Building on our commitment to long term partnerships and technology innovation that delivers results, Orc serves the trading and electronic execution needs of clients worldwide.
Leading trading firms, market makers, banks and brokers depend on Orc to provide robust solutions that deliver concrete value, ensuring that they achieve their business goals in the world’s increasingly dynamic and competitive markets.
With nearly 200 customer sites in more than 30 countries, access to over 150 trading venues and offices in each of the world’s key financial centers, we offer true global capabilities.
Combining our technology and financial industry expertise, including a solid understanding of regulatory issues, Orc also provides expert advice and services that help reduce complexity and cost, while enabling clients to stay focused on value creation in their core businesses.
Orc is owned by Orc Group Holding AB which in turn is owned mainly by Nordic Capital Fund VII.
For more information visit: orc-group.com
CEO Torben Munch, phone: +46 8 506 477 35
CFO Tony Falck, phone: +46 8 506 477 24
The information in this interim report is subject to the disclosure requirements of Orc Group Holding AB under the Swedish Securities Exchange and Clearing Operations Act and the Financial Instruments Trading Act. The information was released for publication on Aug 21, 2014, 8:00 a.m. CEST.
N.B. The English text is a translation of the Swedish text. In case of discrepancy between the Swedish and the English text the Swedish version shall prevail.