“As a result of our broad solution portfolio, our high levels of diversification with regard to target industries and regions and the growing proportion of recurring revenue, we have weathered the corona crisis better than anticipated. The increase in service contracts and subscriptions in particular show the robustness of the Nemetschek business model, even and especially in today’s uncertain market environment,” concludes Dr. Axel Kaufmann, Spokesman of the Executive Board and CFOO of the Nemetschek Group. “At the same time, as a result of the fast deployment of countermeasures in relation to costs, we have been able to keep our profitability at a high level. However, we expect that the crisis will also have an impact on our business development in the second half of the year, especially in the USA. Thus, caution and vigilance remain our top priority. We continue to see great potential in our markets in the medium and long term. Nemetschek will keep on successfully driving the digital transformation in the construction industry forward,” continued Kaufmann.

The Nemetschek Group is always working on future-oriented solutions to further improve the workflow in the construction industry. Thus, for instance, in the Design segment with Integrated Design, a cross-brand workflow solution was presented for the first time which is revolutionizing collaboration between architects, structural engineers and civil engineers. With this integrated approach, it is possible for architects and engineers to work together on one model across disciplines for the first time, making unsynchronized work in silos and duplications a thing of the past.

Group outlook for 2020 confirmed

As a result of the very solid first half year, growth trends in the relevant markets that remain intact in the long-term, ongoing increases in the proportion of plannable revenues and broad regional and market-related diversification of risk, the executive board confirms the revenue targets for the full year 2020, despite a still uncertain environment, and is optimistic to comfortably reach the targeted profitability. It also assumes that a certain reluctance on the part of customers will continue in the third quarter before business development should gradually improve again.

For the year 2020 as a whole, the executive board is thus unchanged in its anticipation of development which is at least stable or a slight increase in Group revenue with an EBITDA margin of more than 26% of Group revenue.