Banking systems vendor Temenos has appointed Andreas Andreades as chief executive officer, taking over the reins from 35% shareholder George Koukis who will remain as executive chairman with a focus on strategy and relationships.
The elevation of deputy CEO Andreades to the top spot at Temenos comes as the Swiss-based back office systems firm reports operating profits of $2 million on revenues of $36.6 million for the second quarter. The company, which reported an operating loss of $44.4 million for the year ending December 2002, has reconfirmed guidance for year-end 2003 for revenues of $130 million and a target operating profit of $10 million.
"Andreas has been instrumental in enabling Temenos to grow from revenue of $20 million in 1998 to our present position serving in the positions of CFO and since 2001 as Deputy CEO," says Koukis. "He has also been a significant catalyst for change in the company during the past two challenging years. As the company enters a new phase of growth a new set of skills is required."
For the quarter just gone, the value of Initial Licence Fees (ILF) for new contracts signed amounted to $14 million, 9.4% higher than the $12.8 million target and spurred by growth in Europe, CIS and in the Middle East. ILF signings comprised 72% new licences and 28% upgrade sales to existing clients compared to 75% and 25% for the previous quarter.
In South Africa, Temenos has established a 100% subsidiary following the recent liquidation of local distributor, the Global Technology Banking Division. The operation is expected to be earnings and cashflow positive for 2003.