GÖPPINGEN (dpa-AFX) - Software provider Teamviewer has earned more than expected despite a difficult market environment. Even in the recently weakening business with large customers, demand jumped again in the second quarter. Despite a decline, the adjusted operating margin remains above the annual targets.

The news was very well received on the stock exchange, with the share price up around six percent shortly after the start of trading. Most recently, the stock gained 8.8 percent to 16.82 euros. This made it the second-best performer in the MDax. Since the beginning of the year, the stock has already posted an increase of almost 40 percent.

In the second quarter, adjusted earnings before interest, taxes, depreciation, and amortization (Ebitda) climbed seven percent to 63.8 million euros, as the company announced on Tuesday. Teamviewer thus clearly exceeded analysts' expectations. The margin fell by two percentage points to 41 percent due to seasonal effects and increased costs. However, it is still above the annual forecast of around 40 percent. Below the line, Teamviewer earned 34 million euros, almost three times as much as in the previous year, due to favorable tax effects and an improved financial result.

Overall, the remote maintenance specialist generated sales of 154 million euros, twelve percent more than in the same period last year. Here, too, it exceeded analysts' expectations, albeit only slightly.

Like other IT companies, Teamviewer felt the effects of restrained IT spending by its customers. However, the key accounts business, which had been the focus of some analysts after a weak first quarter, gained momentum again. The volume of binding contracts (billings) increased by nine percent to 28.7 million euros compared to the same quarter of the previous year after adjusting for currency effects. Among other things, Teamviewer benefited from the conclusion of a contract with a large bank in Australia and New Zealand.

In the main business with small and medium-sized companies, demand was better, as in the previous quarter: Billings increased by 14 percent in constant currency to just under 122 million euros.

RBC analyst Wassachon Fon Udomsilpa expects the two business areas with small and medium-sized enterprises and large customers to remain the growth drivers in the current year. According to her, the frontline business, which includes industrial maintenance with augmented reality glasses, is likely to weaken. Here, the economic weakness will continue to make itself felt, she said.

"The market environment is still not easy," Group CEO Oliver Steil also told financial news agency dpa-AFX. This applies in particular to business with major customers in North America and thus the USA, Teamviewer's most important sales country. Here, the Group has recently repositioned itself, including new management personnel. "This is now bearing its first fruits," says Steil.

In the past quarter, Teamviewer also initiated two changes in the Executive Board. Mei Dent will be responsible for product and innovation management, among other things, starting at the end of August. Constanze Backhaus, who has been on board since mid-July, will be responsible for the Group's human resources strategy.

The specialist for remote maintenance software confirmed its annual targets. Accordingly, an increase in sales of 10 to 14 percent is on the cards. The margin from the adjusted operating result should be around 40 percent./jcf/mne/nas