Corporate | 2 November 2005 07:52

PSI after Nine Months with Constant Sales and Profit Improvement

Corporate-news transmitted by DGAP. The issuer is solely responsible for the content of this announcement. —————————————————————————— PSI after Nine Months with Constant Sales and Profit Improvement The PSI Group had sales of 84.7 million euros (2004: 84.5 million euros) in the first nine months of 2005. The EBIT for the first nine months increased to 0.1 million euros (2004: -9.1 million euros), the Group result to -0.5 million euros (2004: -10.5 million euros). On 30 September 2005, the PSI Group employed 1,047 persons (30 June 2004: 1,131). In the Network Management segment (Energy, Telecommunications, Traffic), sales in the first nine months increased by 4% to 46.6 million euros (2004: 45.0 million euros). The EBIT improved to 1.2 million euros (2004: -2.3 million euros). Signs of a normalization of the investment climate in the gas market can be seen in this segment following the introduction of the Energy Act on 12 July 2005. The Production Management segment (Manufacturing, Logistics) was able to improve its sales in the first nine months by 8 % to 33.1 million euros (2004: 30.5 million euros). The EBIT improved compared to the same period of the previous year to 0.6 million euros (2004: -2.7 million euros). The Information Management segment (Authorities, Service Providers) had sales of 5.0 million euros (2004: 9.1 million euros) in the first nine months, the EBIT was -1.6 million euros (2004: -3.7 million euros). The poor market environment in the government and consulting business continued to deteriorate, which had a negative impact on the orders and earning situation in the segment. New orders in the Group for the first nine months were at 79 million euros (2004: 91 million euros). In the Network Management segment a major order for 7 million euros, which was placed in September, was only booked in October as a result of the new, more rigid controlling guidelines that PSI has been using since 2004. The volume of orders on 30 September was, at 67 million euros, below that of the previous year (2004: 71 million euros). With 14.9 million euros the liquidity on 30 September was above that of the same quarter for the previous year (30 September 2004: 13.6 million euros). In the Network Management segment PSI established the prerequisites for further growth with the bundling and strengthening of the competence in the field of energy trading and sales systems. By increasing the share in the joint venture VATECH CNI there are good prospects for the expansion of the international activities in the Energy business. The positive trend in Production Management has continued with new orders in Russia, Austria, Romania, China and Switzerland. In this segment the third quarter results include expenditures for the development of the new production control system for the steel market. The Information Management segment suffered under the continuing extremely poor conditions in the government business and the weak market prices especially since the announcement of the preferred election to the German Parliament. For that reason the segment will be concentrating to a greater extent on the future-oriented subjects of Professional Services Automation (PSA) as well as control systems for disaster and environmental protection. In addition, the know-how and capacities of Information Management are being consistently more often used in other business units. Compared to the previous year, the number of employees in Information Management has decreased by 16%. Following a significant increase in new orders in October, the PSI management expects a traditionally strong fourth quarter and an adjustment of the group structure in Information Management. PSI AG develops and integrates individual solutions, on the basis of its own software, for the management of large networks (electricity, gas, oil, telecommunications, transport), cross-company production management (steel, chemicals, machinery, automotive, logistics) and information management for government and service providers. PSI was founded in 1969 and employs 1,050 persons in the group. http://www.psi.de Contact person: PSI AG Karsten Pierschke Communications and Investor Relations Dircksenstrasse 42-44 10178 Berlin Germany Tel. +49 30 2801-2727 Fax +49 30 2801-1000 E-Mail: KPierschke@psi.de End of announcement (c)DGAP 02.11.2005 —————————————————————————— WKN: 696822; ISIN: DE0006968225; Index: Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin- Bremen, Düsseldorf, Hamburg, Hannover und Stuttgart