Swiss banking systems vendor Temenos is beginning to show signs of a turnaround following a lacklustre performance over the previous three quarters and has posted a sharp profit increase for the quarter ending 30 September 2005.
Temenos is reporting Ebitda for Q3 2005 of US$6.8m compared to $4m for the same period last year. Net profit for the quarter was $3.7 million, compared to $0.1m last year.
Like for like revenues in Q3 were $38.5m compared to $34.9m in the same period a year ago. Reported total revenues were at $38.5m compared to $36m in the same period last year.
Temenos says the value of Initial Licence Fees (ILF) signed during the quarter amounted to $34m, an increase of 209% on last year, and included a large CoreBanking deal secured with HSBC.
Looking ahead, Temenos chief executive Andreas Andreades, says the firm has a strong pipeline in place and expects to secure another CoreBanking deal in the fourth quarter.
"We are already approaching a $60m 12 month running rate, which is higher than our full year outlook assumption," he says.
Temenos shares were up 0.50% at CHF10.25 in mid-afternoon trading.