Temenos raises expectations for 2006
07 July 2006 | 5355 views | 0
Swiss core banking systems vendor Temenos has raised its earnings and revenue outlook for 2006 after exceeding licence revenue targets in the second quarter.
Temenos says during the second quarter it signed two large deals for its T24 and Corebanking platforms with tier one and tier two banks.
As a result the vendor is now raising its license revenues outlook for 2006 to $85-90m from $80-85m, which is up 41% compared to the prior year.
The company says it expects total 2006 revenues to be between $205m and $210m, up from its previous guidance of $200m. As a result, full year revenues are expected to be 23% higher than the prior year.
Temenos also expects its 2006 earnings growth in excess of 30% compared to 2005.
Andreas Andreades, chief executive of Temenos, says he expects business momentum into the second half of the year to continue to be strong.
"Our market is experiencing accelerating growth and it is time to capitalise on our strong competitive position. We now target organic revenue to grow at an accelerated rate for the next few years and complemented by a successful acquisition model," he says.
Earlier this year Temenos said it was seeking acquisitions to strengthen its existing core business with new products, a new client base or additional delivery and distribution capabilities.
In January the vendor added a Basel II compliant risk product to its portfolio by acquiring TLC Risk Solutions.