MUNICH (dpa-AFX) - Building software provider Nemetschek has defied the weak construction industry in the first quarter, doing good business with its subscription models in particular. Currency-adjusted revenues rose by 10.3 percent to 223.9 million euros, as the MDax-listed company announced in Munich on Tuesday. Earnings before interest, taxes, depreciation and amortization (EBITDA) increased by 11.9 percent to 68.3 million euros. The corresponding margin rose to 30.5 percent after 29.8 percent in the same period of the previous year. At the bottom line, net profit for the quarter climbed by 17.4% to 42.5 million euros. The figures were slightly better than expected by analysts.

"With our performance in the first quarter, we have created a good basis for achieving our targets for the year as a whole," said Nemetschek CEO Yves Padrines. The company confirmed its forecasts for 2024. Accordingly, revenue is set to increase by ten to eleven percent after adjusting for currency effects. The margin on earnings before interest, taxes, depreciation and amortization is expected to be between 30 and 31 percent.

Nemetschek had recently increasingly switched to subscription-based services, which had a negative impact on growth and profitability. Last year, the management had already held out the prospect of growth returning to the double-digit percentage range in 2024 and the margin exceeding 30 percent. The pace of growth should then accelerate further in 2025./niw/ngu