FinArch presents outstanding results and sees continued success for 2010

FinArch’s Finance Resource Planning (FRP) offering in growing demand

Financial Architects (FinArch), a leading international provider of financial and risk management software, today reported its full year results with an astonishing growth in overall revenues in 2009. The excellent results of 2009 and the promising outlook for 2010 are clear evidence of the call in the banking industry for robust, more integrated approaches to implementing finance and risk management systems.

Despite the ongoing worldwide financial and economic crisis, 2009 was successful for FinArch. The close of the year saw the international software company report an increase in overall revenues of 25%, a growth in license sales of more than 250% and an EBIT growth of 300%. The company further reports doubled revenues since 2006.

This strong growth, especially noteworthy in these tough economic times, clearly demonstrates the increasing confidence the international banking community has in FinArch’s Finance Resource Planning (FRP) concept. FRP takes an integrated approach to data and business process management across both the finance and risk function. In the last twelve months, FinArch confirmed its position as the leading software company for IFRS solutions by opening up, amongst others, the IFRS market in Indonesia. With significant local and global implementations of its Basel II, Liquidity Risk, Economic Capital and Regulatory Reporting solutions, FinArch was further able to strengthen its global leadership in all disciplines of risk and finance.

This tremendous growth has resulted in the need for FinArch to enlarge its Professional Services team and to establish a Competence Center in South East Asia. To reach out to its clients in the Middle East, the company also opened a new office in Dubai.

Operational highlights

• 25% increase in overall revenues,
• over 250% increase in license and maintenance revenues,
• 15% growth in head count,
• 33% increase in net assets,
• growing and strong cash position,
• EBIT grown 300 %,
• revenues doubled since 2006,
• contracts with major global banks for Basel II Liquidity Risk and Regulatory Reporting,
• major contract wins Financial Studio IFRS Asia,
• opening of Dubai office,
• launch of Asian Competence Center.

Awards and recognition

• 6th year in a row Fast Growing Company,
• Winner in the new category ‘Risk and Finance Integration’, in Chartis Research’s annual report RiskTech100TM (2009),
• Validation of IFRS accounting templates by Ernst & Young.

Future Outlook
Based on early contract wins in January 2010 as well as an excellent sales pipeline a promising trend of sustained growth is evident. With this in mind and new product developments realised in recent months, FinArch is very confident that further solid organic growth will be achieved in 2010.

“We have had an outstanding year with major global deals for Basel II, IFRS and Liquidity Risk. Our business momentum is very strong, and we foresee our success to grow exponentially.” Dirk De Beule, Chief Executive Officer at FinArch, states. “Our clients and prospective clients tell us FinArch’s strengths lie in our software offering as well as in our people. The basis of our success is the ability of our solutions and our people to bridge the two domains of finance and risk.”

De Beule is convinced that the financial management software market will change shape significantly in the next few years: “We experience a growing demand for our integrated offering, Finance Resource Planning. Banks realise it is time to part company with point solutions and clearly see the benefits of a fully integrated Risk and Finance solution such as ours. We are happy to see more and more major global institutions subscribing to the FRP vision and joining the FinArch customer family.”