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 2011.

Highlights:

• Excellent first half 2011, both revenue and profit before taxation and amortisation ahead of expectations
• Headline revenue growth of 18% (17% organic at constant currency)
• Constant currency growth in all divisions:
  o Content Management Technologies – headline revenue growth of 24% (27% at constant currency)
  o Language Technologies - headline revenue growth of 33% (15% at constant currency excluding acquisition effects)
  o Language Services – headline revenue growth of 12% (14% at constant currency)
• Cash generated from operations increased from £13.2m (2010 H1) to £18.8m (2011 H1) – up 42% 
• Strong balance sheet - cash balance of £53.4m after maiden dividend of £4.3m and £1.3m acquisition payment
• Positive new business and pipeline development 
• Expanding investment in growth and innovation
• Further increase in cross-selling
• Key drivers of growth continue to be: globalisation of business, exponential growth in digital content and internet penetration

Mark Lancaster, Executive Chairman, commented:

I am pleased to report that SDL has delivered an excellent performance for the first half of 2011, which was significantly ahead of the prior year and ahead of consensus market expectations for both revenue and operating profit.

During the period we have grown revenue in each of our businesses through expansion of established accounts and several new large client wins. Cross-leveraged sales momentum continued to positively impact our performance, as clients seek to build their brand equity and use more tightly integrated end-to-end solutions to accelerate revenue generation - by taking new products to local and international markets more quickly.

The demand environment for our solutions remained sound, emphasising the defensive growth characteristics of SDL through geographic and industry sector diversity. We continued to increase our investment in innovation, reflective of our commitment to invest in statistical machine translation and content management.

Despite the variable economic outlook, based on our positioning and pipeline, we feel confident that our business will continue to deliver further profitable growth in the second half of 2011.

   
  
Full Interim Report Download ( 170.2 KB)

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