Ordina N.V. results third quarter 2014

Results continue to improve in Q3

 Nieuwegein, 4 November 2014

Highlights Q3

• Recurring EBITDA increases to 5.3 million (Q3 2013: EUR 4.2 million);
• Recurring EBITDA margin higher at 6.0% (Q3 2013: 4.5%);
• Turnover declines 4.9% to EUR 88.2 million (Q3 2013: EUR 92.8 million);
• Net debt position reduces to EUR 5.4 million (Q3 2013: EUR 18.5 million); the ratio net debt / 'adjusted' EBITDA stands at 0.3 (maximum leverage ratio: less than or equal to 1.50);
• Customer satisfaction rating among Sourcing and Application Management clients up once again in the annual Giarte survey.

Highlights Q1-Q3

• Recurring EBITDA increases to EUR 13.6 million (first nine months 2013: EUR 7.8 million);
• Recurring EBITDA margin higher at 5.0% (first nine months 2013: 2.8%);
• Turnover declines 1.6% to EUR 273.4 million (first nine months 2013: EUR 277.8 million).

Stépan Breedveld, CEO Ordina, on the results
"Our results showed a clear improvement compared to last year. The cost-savings programme we launched last year is having a structural effect. Turnover was down in the third quarter, largely due to a lower number of large projects. When normalised for the effect of the dismantling of the generic Ordina Consulting Public (OCP) activities, turnover in the first nine months remained largely stable.

We are taking the reports in which Ordina is accused of irregularities in tenders in the period 2005-2010 very seriously. We will communicate transparently about the outcome of the internal investigation and the measures we take. Should there be any reason, additional investigations will be initiated, also if these would concern the period before 2005 or after 2010.  We will undertake anything necessary in order to ensure that our clients can be certain that our integrity is guaranteed.

We are pleased to have obtained one of the highest scores in the annual Giarte survey into customer satisfaction in IT Outsourcing (Sourcing and Application Management). Combining our Sourcing and Application Management activities in separate divisions gives us focus and results in increased customer satisfaction.

On 29 October last, we welcomed 200 clients to our annual Ordina Open Innovation day. This year's theme was the 'Humanisation of ICT'. This is about how thanks to smart sensors, robotics, virtual reality and wearables ICT is getting closer to or is quite literally worn by people. The winners of the final of the innovation contest, the Public Challenge, were FoodFix and 42 Education with concepts for food waste and education for children with learning difficulties respectively. In line with our motto 'Partnerships in Sustainable Innovation', we will now help the winners to make their innovative ideas reality. This is how ICT will truly work for people again."