Stalled Navision + Mixed Bag Damgaard = Satisfactory NavisionDamgaard
P.J. Jakovljevic - March 27, 2001

Event Summary

In February, NavisionDamgaard a/c (CSE: NAVI), a Danish provider of enterprise business solutions for mid-sized companies, released its semi-annual report for fiscal 2001 that ended on December 31, 2000. The merger of Navision Software and Damgaard (for more information, see Does NavisionDamgaard Merger Mark Further Mid-Market Consolidation?) is reportedly proceeding faster than anticipated. NavisionDamgard achieved a 7% combined annual revenue growth to DKK 713.9 million (~$84.5 million) compared to the combined last year's results of then separate companies. While revenues from Navision Financials showed a dismal increase of only 2%, revenues from Damgaard Axapta flagship product showed a whopping 227% increase. However, the other Damgaard product lines, Damgaard C4/C5 (marketed solely in Denmark) and Damgaard XAL had 18% and 22% revenue decreases respectively. Combined net income was DKK 58.3 million (~$6.9 million), which is a 30% decrease compared to the combined last year's results of then separate companies...