Beta Systems affirms turnaround and raises profitability

- By the end of nine months already significant increase in the
result: Significant improvement in EBIT and EBITDA margins - ECM
segment delivers positive result

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stock market/Quarterly results

Berlin (euro adhoc) - Berlin, November 9, 2007 - The first nine
months of 2007 have reinforced the stable uptrend of Beta Systems
Software AG. The Berlin-based software supplier affirmed its
turnaround in the third quarter as well and raised after nine months
its result significantly to EUR 0.7 million, up from EUR-19.3
million. (EBIT, which is the equivalent of the Operating result from
continuing operations, including Other income). EBITDA stood at EUR
3.4 million (Q1-Q3/2006: EUR -15.9 million) and the EBITDA margin
came to 5.5% (Q1-Q3/2006: negative). In the period under review and
despite the lower volume of sales seasonally typical of the summer
months in the third quarter, the profitable license business and the
services business continued to post growth rates of 10% and 15%
respectively. Moreover, the cost cutting measures, combined with the
focus on core activities of the previous year, bore fruit, with the
result that, by the end of the first nine months of 2007, operating
expenses had been slashed by 29.0%, down from EUR 44.6 million to EUR
31.7 million. Most gratifying was the result of the ECM segment which
came to a clearly positive EUR 1.3 million (Q1-Q3/2006: EUR -9.0
million). These measures were reinforced by the "Beta 4Agility"
program initiated at mid-year and aimed at enhancing product
innovation and sales.

Key financial data in the first nine months of 2007 - Significant
increase in the operating result (EBIT, including Other income) to
EUR 0.7 million (Q1-Q3/2006: EUR -19.3 million) - Notable increase in
EBITDA to EUR 3.4 million (Q1-Q3/2006: EUR -15.9 million) - License
revenues climb 10.2% to EUR 16.5 million (Q1-Q3/2006: EUR 15.0
million) - Services revenues grow 15.4% to EUR 10.8 million
(Q1-Q3/2006: EUR 9.4 million) - New sales mix, with deliberate
foregoing of the low-margin hardware business, has led to the level
of total revenues falling, as planned, to EUR 61.2 million
(Q1-Q3/2006: EUR 67.7 million) - Adjusted for the hardware business,
total revenues rose marginally to EUR 58.8 million(Q1-Q3/2006: EUR
58.3 million) - Cash flow from operating activities again positive at
EUR 0.5 million (Q1-Q3/2006: EUR -4.4 million) - At the end of nine
months, the net result for the period was marginally positive at EUR
0.3 million (Q1-Q3/2006: EUR -10.8 million) Earnings per share come
to EUR 0.03 (Q1-Q3/2006: EUR -1.23)

Key financial data in the third quarter of 2007 - Operating result
(EBIT, including Other income) climbs to EUR 0.3 million (Q3/2006:
EUR -0.2 million) - License revenues improve to EUR 5.2 million
(Q3/2006: EUR 5.0 million) - Sales in the Services and Maintenance
businesses remain stable at EUR 3.2 million (Q3/2006: EUR 3.5
million) and EUR 10.2 million (Q3/2006: EUR 11.3 million) - Level of
total revenues down (-71.7% to EUR 0.7 million as against 2006) to
EUR 19.4 million owing to withdrawal from the low-margin hardware
business (Q3/2006: EUR 22.4 million) - Quarterly result improves to
EUR 0.3 million/EUR 0.03 per share (Q3/2006: EUR 0.1 million/EUR 0.02
per share)

Statement by the Chief Executive Officer "In the third quarter of
2007 we have again delivered proof that the new strategy of our
company has set us on the right course and enabled us to raise our
profitability further. In the first nine months, we reaped the
benefit first and foremost from our more efficient our sales and
marketing operations as well as from our considerably improved cost
structure. As a result, we recorded new increases in software license
and services revenues, and the result improved significantly in
comparison with the previous year´s period. Our turnaround has thus
been sustainably affirmed," commented Kamyar Niroumand, CEO of Beta
Systems Software AG. "With "Beta 4Agility", our products and sales
initiative launched in parallel in the second quarter of the fiscal
year, we have reinforced our presence in the market as a supplier of
innovative integration software solutions and are responding to the
current requirements in the environment of our major customers and
the IT trends."

Outlook for the financial year 2007 reaffirmed The turnaround, which
had been successfully implemented by the end of nine months,
reinforces the guidance given at the start of the year 2007 for a
significant improvement in the result of the fiscal year as a whole.
Given the fourth quarter of the fiscal year when sales and revenues
are typically high, the Management Board assumes that revenues
(adjusted for hardware revenues) will grow marginally and that there
will be a significant increase in the result, with a single-digit
EBIT margin.

More information Our Investor Relations Team are at your disposal for
any questions you may have on the results of the third quarter of
2007. They can be contacted under the telephone number +49 (30) 726
118-171 or by e-mail ir@betasystems.com. The complete Report for the
third quarter 2007 has been posted on the company´s web site at
www.betasystems.de under the "Investor Relations" heading.

End of the press release

Beta Systems Software AG - Agility Integrated Beta Systems Software
AG Berlin (Prime Standard: BSS, ISIN DE0005224406) develops
high-profile software products and solutions for the secure and
efficient processing of large data volumes. The core businesses of
Beta Systems comprise document processing as well as IT user
management data processing in data centers and compliance solutions.
In addition, the Beta 4Agility suite offers large companies new
integration products to enhance their agility in IT and business
processes. The products serve to simplify the automation of data and
document processing and improve on the security and performance of
IT.

Beta Systems, which has been a listed company since 1997, was founded
in 1983 and has a workforce of more than 600 employees. The company´s
principal place of business is Berlin. Beta Systems has Centers of
Competence in Augsburg, Cologne and Calgary, as well as 17
subsidiaries worldwide and cooperations with numerous partner
companies. With more than 3,000 running installations, it has a
customer base of more than 1,300 major companies from the sectors of
financial services and IT service providers and industry at large in
Germany, Europe and the USA.

More information on the company and its products can be found under
www.betasystems.com.

end of announcement euro adhoc 09.11.2007 09:27:57
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ots Originaltext: Beta Systems Software AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:
Contacts:

Company contact:
Beta Systems Software AG
Stefanie Frey
Tel.: +49 (0)30 726 118-171
Fax: +49 (0)30 726 118-800
e-mail: stefanie.frey@betasystems.com Agency contact:
HBI PR&MarCom GmbH
Alexandra Osmani, Alexandra Janetzko
Tel.: +49 (0)89 99 38 87-0
Fax: +49 (0)89 930 24 45
e-mail:alexandra_osmani@hbi.de; alexandra_janetzko@hbi.de

Branche: Software
ISIN: DE0005224406
WKN: 522440
Index: CDAX, Prime All Share, Technologie All Share
Börsen: Börse Frankfurt / regulated dealing/prime standard
Börse Berlin / free trade
Börse Hamburg / free trade
Börse Stuttgart / free trade
Börse Düsseldorf / free trade
Börse Hannover / free trade