Valtech Growth Accelerates in Q3 2004

Valtech US delivers excellent third quarter results

Dallas, TX (PRWEB) December 2, 2004 - Growth accelerates to 12.2% - A much stronger organic growth (+10.7%) combined with the consolidation of Majoris revenues as of 1 September 2004, has generated a healthy 12.2% growth in the third quarter. This growth has been concentrated in North America where revenues have jumped 49% due to the strong momentum of our offshore business and increased demand for technology consulting.

Our growth during the third quarter is the result of improved performance by our consulting business in North America and Europe. Our largest delivery center is now based in Bangalore (India) with a team of 426 employees, and Valtech is progressively benefiting from greater exposure to the global market," states Curtis Hite, CEO, Valtech North America.

USA -- Realizes accelerated growth with higher margins
33% of Valtech revenues

Valtech USA has delivered an excellent third quarter. The improvement of our operating margin is in line with our forecast at 13.9% of revenues before corporate costs. The North American operation has become the largest market for Valtech in revenues in the third quarter.

France -- First indications of a market rebound
30% of Valtech revenues

Our French operation was breakeven in the third quarter, which is traditionally the weakest in terms of revenues. The revenues are down 6% compared with 2003, but the improvements in the fourth quarter should be significant as we see many indications of stronger activity on our markets.

UK+Germany+Scandinavia - Strong profitability, stable revenues
37% of Valtech revenues

The performance of these four countries (United Kingdom, Germany, Denmark and Sweden) has been very positive in the third quarter with operating margins of 14.7% before corporate costs despite stable revenues compared with 2003.

India -- Increased delivery capacity

Valtech has signed a new office lease in Bangalore to increase the capacity of our Global Delivery Center to 600 seats. As of September 30, 2004, the Indian workforce was 426 people.

2004 Full year Outlook - Revenues to reach between 102 and 103 million dollars

Valtech expects its revenue for the full year 2004 to range between 83 and 84 million euros. Organic growth (excluding currency changes) is expected to exceed 5% topping its previous guidance of 3 to 5%.

*Income Statement, Balance Sheet and Utilization information available at www.valtech.com.

About Valtech:
Formed in 1993, Valtech is a global business and IT consultancy group specializing in collaborative project delivery with advanced technology skills transfer. Firmly established globally, Valtech successfully serves the needs of Global 2000 clients, such as Hertz, Nationwide, JPMorganChase, and many others.

Valtech has offices in Europe (France, UK, Denmark, Sweden, and Germany), the United States (Dallas, New York, Houston, Raleigh and Denver), Korea, and India. Valtech is listed on the Nouveau Marché and is a member of the SBF 120 (sicovam LTE). For more information, visit www.valtech.com/us.

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