UP2 Upwork Inc

update software AG (GER:UP2) (FWB:UP2), leading supplier of superior CRM solutions in Europe, has plans for further expansion. According to preliminary figures, update was able to record a turnover of �23.4m in 2006, an increase of 26% on the previous year. Operating profit climbed 19% to �2.4m � the best ever in the history of the company. Early February saw the Board of Directors approve a planned acquisition in Western Europe. Negotiations are going well according to Thomas Deutschmann, CEO at update: �We are making good progress, however we are unable to provide any detailed information at this time. But the expectation is that the transaction volume will exceed the two acquisitions in 2005 and 2006 combined�. In 2006, update acquired Regware GmbH, one of the most renowned CRM specialists within the pharmaceutical and analytical CRM sector. The acquisition of the Polish CRM company Process4E in 2005 has enabled update to consolidate its position further in the booming Eastern European market. The value of update shares (UP2) listed on the Frankfurt Stock Exchange also reflects the bright outlook of the CRM specialists who have been so committed over the years to industry focus in the development of their quality CRM solutions. Valued at just under �4 at the beginning of the year, the share price has since broken the �5 mark. �Our strategy � industry focus, regional expansion and a leading technological product � is taking hold�, explains CEO Thomas Deutschmann. �In 2006 we grew three times faster than the whole CRM market and hence much faster than our competitors. Our high-margin licensing business will grow disproportionately in 2007. We are aiming for a turnover of �27.4m and an operating profit of �3.3m. This relates to a margin in the region of 12%, 2 percentage points higher than in financial year 2006. The figure of �27.4m would be organic growth - the effects of the planned acquisition are not yet factored in�, explains CEO Deutschmann. �For us as a premium supplier, it is important that the market will never play a limiting role. Two years ago we announced our intention to break the �50m turnover level in 2009. Today, and now confident of being able to achieve this objective, we are thinking beyond that figure. It is not difficult to envisage update being a �100m company in the next decade�. About update software AG update software AG (www.update.com) was founded in Vienna in 1988. With more than 200 employees and an annual turnover of �23.4m (2006*), update is the leading supplier of CRM solutions in Europe. update software AG is listed on the German Stock Exchange in Frankfurt am Main. Products from update are currently being used by more than 120,000 users in over 1000 companies. A selection of update customers: 3M, American Express Bank und Finanzmanagement, the advertising department at the BILD newspaper group, AstraZeneca, BAWAG P.S.K., Canon, DuPont, ESTAG, Hassia Group, Landesbank Rheinland-Pfalz International S.A., LBS Nord, LBS Ost, MagnaSteyr, Pernod Ricard, Sparkasse Bremen and ratiopharm. update software AG maintains a network of strategic partnerships with system integrators such as Atos Origin, Hewlett Packard, Sensix and Steria Mummert Consulting. * preliminary profit unverified