Software AG launches Software AG Live, the first cloud-based Platform-as-a-Service (PaaS) suite. With this launch, Software AG is now extending its offering from enabling enterprise-wide and on-premise solutions to creating agile and cloud-based applications through a comprehensive PaaS suite in the cloud. Subject matter experts and IT professionals across organizations are now empowered to design and develop agile applications, while easily integrating existing systems. Organizations are pressed more than ever to develop and deploy agile, scalable and secure solutions within days, rather than months. To address the changing needs of the business environment a new set of solutions is needed to engage better with customers and leverage the impact the industry is seeing by the megatrends of cloud, social, mobile and big data. By extending its business process and integration leadership to the cloud, Software AG is now offering a complete PaaS suite, unifying process design, agile application development and integration, while enabling customers to utilize hybrid cloud deployments to support their business needs. In addition, Software AG announces Dynamic Cloud Scaling, a new capability of Software AG's webMethods Integration Server that supports elastic scaling across hybrid deployments -- public cloud, private cloud and on-premise - and will be available in the second half of 2013. Customers will have the choice of managing deployments themselves or taking advantage of Software AG Managed Suite. This new offering includes components such as the webMethods Integration Server managed by Software AG as-a-service in customer's data centers or on the public cloud. This offering will also be available later in 2013.

Software AG announced that the Alabama Department of Public Health (ADPH) has selected the company to help them meet Affordable Care Act (ACA) requirements through modernizing their legacy eligibility determination systems. Healthcare reform is necessitating dramatic programmatic and system transformation for states. The need for technology to keep pace with changes in business processes has never been more apparent. The Alabama Department of Public Health is the primary state health agency for the state of Alabama. Through the application of Software AG's ARIS technology and its webMethods Business Process Management Suite (BPMS), along with SOA Governance capabilities, the ADPH will be able to meet near term ACA deadlines by January 2014 while streamlining the eligibility and enrollment process and creating a system that automates application processing. The result: faster, more accurate eligibility determinations for the state's citizens, and savings of millions of dollars. The ability to quickly take new ACA business processes from a strategy and design point of view in ARIS Business Architect and transform them into models for process automation in webMethods was a key differentiator as the state looks to be a model for Medicaid Information Technology Architecture (MITA) maturity guidelines provided by the Centers for Medicare & Medicaid Services.

Software AG reported unaudited earnings results for the first quarter ended March 31, 2013. For the period, the company reported EBIT of €41,628,000 and net income of €27,213,000 or €0.32 per share on total revenue of €224,910,000 against EBIT of €54,820,000 and net income of €35,863,000 or €0.41 per share on total revenue of €254,554,000 a year ago period. The revenue was decreased due to decrease in consulting revenue. EBIT was decreased due to the planned increase in sales and marketing expenses, at €72.8 million (2012: €59.3 million), for addressing new high-potential markets. Free cash flow was €62,700 against €59,100 a year ago. Compared to net income, free cash flow amounted to 230%. By the end of the quarter, net cash position increased by €11 million from year-end 2012 to €60.8 million. The company expects the positive business development to continue and confirms the forecast which was released with the 2012 full-year results on January 29, 2013. Accordingly, the company expects an increase in BPE revenue between 16 and 22% (at constant currency) for fiscal year 2013. Revenue for the traditional ETS database business is likely to shrink between 4 and 9% (at constant currency), which will be more than offset by the targeted BPE growth. Taking into account the additional investments for the expansion of sales and marketing, earnings per share should be between €1.70 and €1.80. The tax rate was at 32.5% which is a midpoint of its corridor of 32% to 33% and the company expects the full-year rate to be on that level. Looking forward to second quarter 2013, the company will see the following cash outflows which will impact its current cash position.