PSI with Record Level of New Orders in the First Quarter

  • New orders with 19 % increase to 93 million euros thanks to energy and public transportation business
  • EBIT increased by 7 % to 2.8 million euros, Group Net Result increased by 8 % to 1.9 million euros
  • New segment structure reproduces synergies between energy and traffic
Performance indicators (TEUR)
1 Jan. – 31 March 20181 Jan. – 31 March 2017
Sales45,74543,784+4,5 %
EBIT2,7862,607+6,9 %
Group Net Result1,9211,775+8,2 %
Earnings per share (EUR)0.120.11+9,1 %

Berlin, 26 April 2018 – PSI Group increased new orders in the first quarter of 2018 by 19 % to the record value of 93 million euros (31 March 2017: 78 million euros). The order book volume on 31 March 2018 was, with 174 million euros, about 7 % above the value for the previous year (31 March 2017: 163 million euros). Group sales improved primarily thanks to the growth in the field of electrical grids by just about 5 % to 45.7 million euros (31 March 2017: 43.8 million euros). The EBIT increased by 7 % to 2.8 million euros (31 March 2017: 2.6 million euros), the Group Net Result improved by 8 % to 1.9 million euros (31 March 2017: 1.8 million euros).

Energy Management, which, as of the first quarter of 2018 consists of the areas energy grids, energy trading, public transportation and the South-Asian business, achieved 11 % higher sales of 22.4 million euros (31 March 2017: 20.2 million euros) in the first quarter. The EBIT for the business improved compared to the previous year to 1.1 million euros (31 March 2017: 0.9 million euros). Electrical grids showed a strong increase in new orders, in particular due to the rollout of the GLDPM module (Generation and Load Data Provision Methodology), which, with the data exchange between the distribution grid operators and the transmission grid operators, also provides the basis for distribution grid autopilots. The gas and oil business saw a drop in the backlog of demand in the oil-producing countries following the increase in the price of oil. In Russia, however, the awarding of some contracts for gas networks and metals production has been delayed as a result of sanctions. In Southeast Asia, PSI had a significant recovery of both sales and profits. In the public transportation business, PSI won an important contract from the operator of the Berlin underground, BVG.

Sales in Production Management (raw materials, industry, logistics), which as of the first quarter also includes the Polish business, were, with 23.3 million euros, just slightly below the figure for the previous year (31 March 2017: 23.5 million euros). The market launch of PSIpenta ERP and POM (Production Order Management), that have also been migrated to the PSI Java Platform, and MES (Manufacturing Execution System) that has been recently reimplemented based on group standard modules still requires resources. This business should be heading for growth with regular customers as well as new customers starting in the summer. The EBIT for the segment was improved by 4 % to 2.1 million euros (31 March 2017: 2.0 million euros). The metals industry business significantly increased its volume of new orders in the USA, in the automobile industry PSI obtained an important contract for completing a production suite in electrical vehicle production. Above all, artificial intelligence, metals and logistics contributed to the increase in profits. The integrated production and logistic process in the production of electrical vehicles as well as comprehensive practical examples from the industrial application of artificial intelligence are currently being presented at the 2018 Hannover Trade Fair.

Despite the adjustments in India, the number of employees increased to 1,701 as of 31 March 2018 (31 March 2017: 1,613). The focus of new recruiting was once again in Germany and other industrial countries in Europe and North America. The cash flow from operating activities was characterized by changes in working capital and improved significantly to 6.3 million euros (31 March 2017: –0.2 million euros). Liquidity, which increased slightly to 42.6 million euros (31 March 2017: 42.2 million euros), will be used for the proposed dividend payment, sales financing in the seasonal business and for the financing of targeted acquisitions. PSI will increase maintenance earnings, upgrade and cloud sales to over 60 million euros in 2018.

In the upcoming quarters, PSI expects to continue the positive trend in orders in industrialized countries and will therefore double its capacity in the USA to 50 employees. In the raw materials exporting countries the backlog in demand will continue to be reduced; in Germany, PSI expects new orders to continue to increase in the energy sector in advance of the coming regulatory base years.

Overall, the PSI management continues to forecast growth in the upper single-digit range for 2018. In view of the current general conditions, the management now expects an EBIT with double-digit growth to over 15 million euros.

Based on its own software products, PSI Group develops and integrates complete solutions for optimizing the flow of energy and materials for utilities (energy networks, energy trading, public transport) and industry (mining, metals production, automotive, mechanical engineering, logistics). PSI was founded in 1969 and employs more than 1,700 people worldwide.