May 12th - 2006
MANDRIVA
Consolidated results for the first half year of 2005/2006 (Oct 2005-March 2006)
|
In |
Q1 |
Q2 |
31/03/06 |
31/03/05 |
Change |
|
3 m |
3 m |
6 m |
6 m |
||
|
Sales |
1.59 |
1.43 |
3.02 |
2.76 |
9,4% |
|
Operating revenues |
1.95 |
1.64 |
3.59 |
3.48 |
2,6% |
|
Operating result |
-0.50 |
-0.61 |
-1.11 |
0.21 |
-1,32 |
|
Result before goodwill amortisation |
-0.49 |
-0.93 |
-1.42 |
1.03 |
-2,45 |
|
Net result |
-0.59 |
-1.03 |
-1.62 |
1.03 |
-2,65 |
(*) Non-audited consolidated figures
Revenues for the quarter were 1.426M€. Operating revenues (when in particular r&d grants are added) were 1.637M€. Operating expenses were 2.283M€. Taking into account the impact of currency exchange, the restructuring costs and goodwill amortization the net loss for the quarter is 1.022M€.
These results are in line with what was to be expected after the previous quarter announcement: revenue went down sequentially from Q1 to Q2 of 165K€ because Q1 was a quarter in which a new product was launched and Q2 was not. Expenses went up because of restructuring plan.
As previously announced, we took two series of measure in Q2: reduction in expenses and new commercial initiatives.
-
The reduction in expenses will only have its full impact in Q3, where the expense reduction will be in the 400K€ range. It is showing in Q2 only as extra restructuring charges (194K€).
-
The new commercial initiatives are currently in process, but their results will not show before the end of Q3. On the consumer market, the Mandriva One free product and its companion Kiosk will be hitting the market in May. The initial launch of the Kiosk beta was well received by its users. On the corporate market, the new Pulse product was launched in France on May 4, and we are rolling out the associated sales program now. Pulse is in current deployment with three large clients right now.
In Brazil, we have started improving the outlook and operating loss was reduced by 75 %. OEM sales in this territories are growing and we have improved the margin of our service contracts.
Next quarter, based on the full impact of the restructuring and the result of the new commercial initiatives, we expect to see a clear improvement of the operating and net result.
About Mandriva
Mandriva is one of the world leading editors of Linux operating systems and open-source software. The company develops and markets the Mandriva Linux operating system. Several hundred developers worldwide contribute to the constant improvement of our product via the internet and to its internationalisation (it is now available in nearly 70 languages). Mandriva also provides associated off-line services such as consultancy, training and support, alongside on-line services including technical back-up and the Mandriva Users Club.
Mandriva has its headquarters in Paris and offices in the USA and Brazil.
The company is listed on the Marché Libre of Euronext Paris.
For more information go to: mandriva.com/company/investors/newsletter
ISIN: FR0004159382
Reuters: MAKE.PA
Number of shares: 5,593,405
Contact Mandriva :
François Bancilhon / Thierry Bossut
investors at mandriva.com
Tel.: +33 (0)1 40 41 00 41