TOTVS in 2Q08: 14th Revenues Record in a Row and Highest Historical EBITDA

SAO PAULO, Brazil, Aug. 6  /PRNewswire-FirstCall/ -- TOTVS S.A. (BOVESPA: TOTS3), the leader in developing and marketing integrated enterprise management software and related services to small and medium enterprises in Brazil and Latin America, today announces its results for the second quarter of 2008 (2Q08). Some highlights of the period, in accordance with Brazilian corporate legislation:

-- 520 new software clients, new historical quarterly record, of which 353 new are new ERP clients. The average sales amount rose by 20.0% over the same period in 2007.

-- Net Revenue from sales was R$132.789 million in 2Q08 and for the 14th quarter in a row, a new quarterly record. Growth of net revenue was 22.6% over the same period in 2007 and is the highest growth rate in the past 9 quarters.

-- Revenue from License Fees was a quarterly record, amounting to R$37.697 million, 35.1% up year on year -- the highest growth rate in the past 8 quarters.

-- Revenue from Maintenance and Services was also a record, amounting to R$51.976 million and R$ 59.660 million, respectively, due to the impressive growth of more than 20% in the quarter.

-- Software sales to 996 clients in the base in 2Q08, a 12.9% growth over 2Q07, besides the 12.0% increase in average sales amount of these clients.

-- TOTVS marketshare growth in Brazil and Latin America in 2007, according to IDC. The Company reached 12.1% of the Latin American and 26.2% of the Brazilian markets.

-- EBITDA was R$27.347 million in 2Q08, 10.4% higher than in 2Q07. EBITDA Margin in the quarter was 20.6%.

-- Adjusted Net Income reached R$19.528 million -- new record -- in 2Q08, a 16.1% growth over 2Q07.

  Conference Call in English

  Thursday, August 7, 2008 - 12:30 p.m. (US ET)

  Webcast: http://www.totvs.com/ir

  Tel.: [phone]

  Code: 54689941


DATASOURCE: TOTVS S.A.



CONTACT:  Jose Rogerio LuizVP, CFO and Investor Relations Officer, or

Investor Relations, Gilsomar Maia, or Bruno Brasil, all of TOTVS S.A.,

[phone], 



Web site:  http://www.totvs.com/ir 

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