SDL plc ("SDL" or "the Group"), a leader in the emerging market for Global Information Management (GIM) solutions, is pleased to announce its unaudited interim results for the six months ended 30 June 2010.

Highlights:

• Strong performance in revenue and Profit Before Taxation and Amortisation – ahead of expectations
• Constant currency growth in all divisions: 
  • Language Services  - headline revenue growth 9% (12% at constant currency)
  • Language Technologies – headline revenue growth flat (2% at constant currency)
  • Content Management Technologies – headline revenue growth 43% (19% at constant currency excluding acquisition impact)  
• Momentum and Pipeline building
  • Recovery in Language Services demand
  • Licence revenue ahead (11% at constant currency) in Language Technologies
  • Strong growth in Content Management Technologies after well executed integration phase   
• Stable profit before taxation and amortisation margin
  • Accelerated investment in growth, particularly R&D
• Cash flow remains strong – on track for maiden dividend
• Two new innovations LiveContent and SmartTarget introduced to market  
• Two acquisitions completed so far in 2010
  • Language Weaver – global authority in Statistical Machine Translation
  • Xopus – extends reach of content management solutions to non technical authors 

Mark Lancaster, Chairman and Chief Executive of SDL, commented:

I am delighted to report strong performance for the first half of 2010 significantly ahead of the prior year, at record levels, and ahead of market expectations for both revenue and operating profit.

During the period we have made good progress in revenue delivery for Content Management Technologies, and whilst Language Technologies revenues were flat compared to 2009, we experienced solid growth in licence sales and acceleration of progress in the second quarter following the implementation of focused marketing initiatives. We have seen continued steady recovery in demand from 2009 levels in Language Services, underpinned in part by growth in the less mature accounts.

Recent customer wins and the level of adoption of our technology in key customers supports our strategy of best in class integrated end to end solution capabilities for our clients.                              
Strategically, we have been very pleased to complete two acquisitions this year. By moving to take significant early market share in key strategic growth areas we are confident that these acquisitions will cement SDL’s leadership in Global Information Management as we move into the future digital age. 

The scope of our Global Information Management solutions has further expanded and become more integrated. We feel confident moving into the second half of 2010 and beyond that our strategy and execution will continue to deliver growth and stability.  
  
Full Interim Report Download ( 171.6 KB)

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