Day Reports 80% License Growth Q1'10

Basel, Switzerland and Boston, Massachusetts – 21 April 2010 – Day Software Holding AG (SIX: DAYN, OTCQX: DYIHY), a leading provider of Web 2.0 content management and content infrastructure software, today announced financial results for Q1 2010.  Day’s results were positively impacted by expanded sales and marketing efforts in Q1 with stronger-than-expected traction in the United States, U.K. and with global channel partners, including OEM partner HP.

For the quarter, Day reported total (unaudited) license growth of 80% and total revenue growth of 48%.  License growth came from both major new customer wins and installed base demand for expanded deployments and new product modules following Day’s latest release of its CQ5 platform in Q1.  Day also reported strong customer renewals with recurring maintenance revenue growing 37%.  Income before tax for Q1 2010 rose to 18%.

Day’s expanded go-to-market programs strengthened not only operations in the U.S. and U.K. but also Day’s presence in four of its primary vertical markets.  In Media / Communications, Day added new customers Skype in the U.K., Il Sole 24 in Italy, and BET and New York Media in the United States.  In Financial Services, Day added Scottrade in the United States, HUK Coburg in Germany, and saw major reorders from existing customers Royal Bank of Scotland (RBS) in the U.K. and Groupe Mutuel in France.  In the Research / Higher Education vertical, Day expanded its customer community in the United States with the addition of Radford University and Kentucky University, and in Automotive, Day secured expanded deployments at General Motors (GM), Daimler, and Audi.

In Q1 Day also saw accelerated momentum in its Channel and OEM programs.  In the first quarter, Day added two new major interactive agency partners in the United States, Molecular and Ironworks, continuing Day’s momentum building an ecosystem of solution providers around its CQ5 platform.  In addition, Day saw new revenue growth from its OEM program, with major OEM customer HP reporting their first seven customer wins and OEM royalties for their embedded use of Day’s open, standards-based ECM platform, CRX.

CEO Erik Hansen commented on Day’s results, “We continue to aggressively take market share with CQ5 as customers worldwide look to invest in new solutions to strengthen their global brand, improve online customer experience and engagement, and drive new sources of revenue from the Web and mobile channels.  Our 2009 investments in sales, marketing, and product led to break-out results in the U.S. and U.K. and better-than-expected results for Q1.  We are also exceptionally pleased to see the early success our partner HP has enjoyed with their CRX-based solution.”

Hansen concluded, “We have started off 2010 even better than we closed off 2009, and will continue investments to further grow our business, with a focus on bottom-line results.  We are looking forward to continued momentum with our new product releases and sales and marketing programs in 2010.”

Day Software will be hosting its Q1 earnings call today, April 21^st, at 9am Eastern Daylight Time (EST) / 3pm Central European Summer Time (CEST) today.  Details can be found on Day’s website at http://www.day.com/earningscall2010q1.