M+M continues record-hunting in spite of Corona

Wessling, April 21, 2020 – Mensch und Maschine Software SE (MUM - ISIN DE0006580806), a CAD/CAM specialist company, remained on the record-hunting course during the first quarter of 2020: The previous year’s momentum was continued, with +24.5% sales and +34% net profit growth, mainly due to the high demand for the Autodesk maintenance to subscription offer and for BIM solutions, in spite of certain Corona retarding effects.

Sales increased to a new record EUR 78.63 mln (PY: 63.17 / +24.5%), with EUR 20.48 mln (PY: 18.40 / +11%) from Software and EUR 58.15 mln (PY: 44.77 / +30%) from the VAR Business. 

Operating profit EBIT grew strongly to a record EUR 11.08 mln (PY: 8.16 / +36%). Software contribution was EUR 5.47 mln (PY: 4.79 / +14%), while the VAR Business achieved EUR 5.61 mln (PY: 3.37 / +66%). 

Net profit after minority shares jumped by 34% to EUR 6.62 mln (PY: 4.95), or 39 Cents (PY: 29) per share. Operating cash flows more than doubled to EUR 13.64 mln (PY: 6.61), also reaching a new record level.

The Corona crisis had approx. EUR 1-2 mln negative effect on sales / gross margin and approx. EUR 0.8-1.5 on EBIT, mainly in the CAM and Training Courses business. The overall impact is bearable, however, just preventing an even higher record result.

While CEO Adi Drotleff is prepared for more retarding effects, he remains confident: ‘We are expecting more significant retarding effects from Corona, mainly in Q2, and it cannot be precisely predicted how rapidly economic recovery will evolve afterwards. Nevertheless we see good chances that the comfortable buffer from Q1 will be sufficient to meet our goals for the full year 2020, which had been set rather conservatively relative to the organic growth in 2019. Therefore we are still aiming to increase net profit by +18-24% to 117-123 Cents per share and 100-105 Cents dividend after 85 Cents to be paid out for 2019.’