Prodware Delivers Record 1st Half Year Results

PARIS, September 20, 2011 -

• Operating margin: + 108 % to 8.9 M€
• Record Operating Margin: 18.9%
• Net Income: +146% to 10.6 M€

                          1er
    IFRS Norms      Half-year 1er Half year   Variation
    (in MEUR,
    non-audited)         2011          2010
    Turnover             47.3          39.7         19%
    EBITDA               12.7             7         81%
    in % of the
    turnover            26.90%        17.60%
    Operating
    Margin                8.9           4.3        108%
    in % of the
    turnover            18.90%        10.80%
    Operating
    Profit                8.6           4.2        103%
    in % of the
    turnover            18.10%        10.60%
    Group share net
    income               10.6           4.3        146%
    in % of the
    turnover            22.30%        10.80%

Prodware, vendor, integrator and hoster of IT solutions for businesses, shows very strong earnings growth, with a doubling of its Operating Profit to € 8.9 M, in the first half-year of 2011 and a significant increase in Operating Margin to 18.9%. (versus 10.8% in the 1st half year of 2010).

This performance is a result of the strong growth (+19% consolidated, +7% on a comparable basis) and the evolution of the product mix, driven by the success of the industry and vertical business applications and solutions, as well as the sales growth of the hosting and SaaS offers.

Also contributing to this performance is the successful integration of the new subsidiary Prodware ID, acquired almost 1 year ago and the good results of the Sage products and services.

Vendor Margins

The margins attained are a consequence of the ISV industry solution strategy initiated in 2005 and accelerated as of 2008, a strategy that has benefitted from the evolution of the publically funded research support program. This confirms the Group’s ability to generate a significant and recurring profitability.

The Prodware teams have made the right product choices, both with respect to platforms and also markets and use the leverage of the internet and outsourcing to acceleratethe sales of our solutions.

A healthy financial position
On June 30th, net financial debts (excluding € 12.1 million of convertible bonds) stood at € 18.1 million (versus € 23.4 million on June 30^th, 2010), the equity capital 62.0 M€ (44.3 M€ on June 30^th, 2010).
Liquidity stood at approximately € 9.3 million, compared to €1.6 million on June 30^th, 2010.

Outlook

Within an innovative solution offer and an efficient distribution network able to reach different customer segments in France and internationally, Prodware expects a continued organic growth. This growth will be reinforced by the strategic alliance with Qurius, of whom Prodware has become the industrial shareholder of reference with 17.1% of the share capital, that will create a leader in IT solutions and services in the EMEA zone.

Concerning Prodware

Founded in 1989, PRODWARE (www.prodware.fr) creates, integrates and hosts IT solutions for businesses. Prodware acts in a

sector where success requires a combination of strong IT expertise and industry know-how.

PRODWARE serves more than 17,500 active clients, and is a key actor and partner for the installation and management of

global IT solutions and applications. Present in 10 countries and internationally through strong strategic alliances

the Group supports companies in their international expansion.

As a corporate responsible company, Prodware assists its customers in their progress towards achieving sustainable

development with its GreenITude® offer of solutions and services. (www.greenitude.fr)

ALTERNEXT - ISIN FR0010313486 - ALPRO - FTSE 972 Services informatiques

Prodware is eligible FCPI - As a responsible company, Prodware is a member of the Global Compact

CONTACTS
PRODWARE
Sandra Chokron
Head of Corporate Legal Affairs
T : +33-979-999-005
investisseurs@prodware.fr

PRESS
Marie-Anne Garigue / Grégory Bosson
CALYPTUS
T : +33-1-53-65-68-63 / +33-1-53-65-37-90

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