TEMENOS THE BANKING SOFTWARE COMPANY

  • WHO WE ARE

    Temenos is THE banking software company

  • OUR VISION

    To provide financial institutions, of any size, anywhere in the world, the software to thrive in the digital banking age

  • HOW WE ACHIEVE IT

    We do this by building, delivering and supporting the world’s best packaged, continuously upgradeable end-to-end banking software

Chairman's Statement

25 Years of
innovation in technology

“We will continue to have a sense of purpose and do business while we help our world become a better place.“

Andreas Andreades
Executive Chairman
Business and financial review

CEMENTING
OUR POSITION AS
MARKET LEADERS

“We have delivered another outstanding set of results for the full year 2018, with excellent performance across all of our geographies and segments.“

Max Chuard
Chief Executive Officer
Our market opportunity

A global Opportunity

atlas
America
Europe
Asia
Middle East
America
  • OFFICES IN AMERICAS

  • THE AMERICAS TOTAL REVENUE

  • THE AMERICAS TOTAL SOFTWARE LICENSING REVENEUE

America
  • OFFICES IN EUROPE

  • EUROPE's TOTAL REVENUE

  • EUROPE's TOTAL SOFTWARE LICENSING REVENEUE

America
  • OFFICES IN ASIA PACIFIC

  • THE ASIA PACIFIC's TOTAL REVENUE

  • THE ASIA PACIFIC's TOTAL SOFTWARE LICENSING REVENEUE

America
  • OFFICES IN MIDDLE EAST AND AFRICA

  • MIDDLE EAST AND AFRICA TOTAL REVENUE

  • MIDDLE EAST AND AFRICA TOTAL SOFTWARE LICENSING REVENEUE

Our investment Case

What makes Tenemous unique

  • WE BELIEVE THAT THERE ARE FIVE KEY AREAS THAT MAKE TEMENOS UNIQUE

  • Same software, any bank, anywhere in the world

    Software

    We supply the same software to all of our clients – regardless of their size and location. There are optional modules within this which a bank can choose from, but we produce the same software for all our clients.

  • PACKAGED, INTEGRATED & INDEPENDENT

    Product

    We make our products packaged, integrated and upgradeable. Our products are designed to work separately and together and, once installed, be upgraded as new versions of the software are released. This means that our clients benefit from our ongoing investment in the product which has created the richest banking functionality in the market.

  • STABLE BUSINESS MODEL; COMMITTED COMMUNITY

    Stability

    Temenos has a stable business model, shown in the strength of our financial results and also by the long tenure of the management team. We benefit from a strong and committed ecosystem of Partners working closely with us.

  • CONTINUOUS & FASTER DEPLOYMENT

    Implementation

    With advanced and automated tools and methodology, the testing and deployment of change means banks can reduce their release cycles from months to hours enabling them to roll-out new applications at speed. Temenos invests both in its own staff and implementation tooling, as well as working with its Partners to build a large ecosystem of implementation capability outside of the Group.

  • RELENTLESS FOCUS ON INNOVATION

    Innovation

    Temenos has a long history of investing in its products. This has ensured our position as the leading solution in our sector and, together with the upgradeability, means that clients can continue to enjoy the benefits of our industry leading investment in the future.

Highlights of the year

ANOTHER YEAR OF SUCCESS

  • Total software licensing
    • 2018 USD 383m
    • 2017 USD 316m

    +21%

    Total software licensing revenue growth of 21%

  • MAINTENANCE
    • 2018 USD 308m
    • 2017 USD 275m

    +12%

    Maintenance revenue growth of 12%

  • TOTAL REVENUE
    • 2018 USD 847m
    • 2017 USD 737m

    +15%

    Total revenue growth of 15%

  • EBIT MARGIN
    • 2018 31.5%
    • 2017 30.3%

    31.5%

    EBIT margin of 31.5%, up 1.1 percentage points

  • OPERATING CASHFLOW CONVERSION
    • 2018 USD 365m
    • 2017 USD 300m

    117%

    Operating cash conversion of 117% with DSOs down five days in the year

  • EARNING PER SHARE
    • 2018 USD 2.96
    • 2017 USD 2.45

    +21%

  • DIVIDEND PER SHARE
    • 2018 CHF 0.75
    • 2017 CHF 0.65

    +15%

    Strength of cash flows and growth in profit support 2018 dividend of CHF 0.75 per share, an increase of 15% (2017: CHF 0.65 per share).

  • 2018 OPERATIONAL HIGHLIGHTS

    • Outstanding performance in 2018 with broad based demand across geographies and tiers
    • Digital and regulatory pressures and move to Open Banking are driving market growth
    • Strong incremental growth in demand for SaaS and cloud adoption, exceeding our expectations
    • Temenos sees growing appetite for large institutions to optimize delivery through cloud
    • Strong momentum in the US market with two strategically important deals signed with a top tier US bank for visionary front office replacement and PayPal, Inc. for loan management in the cloud
    • Temenos won a total of 76 new clients in 2018 with competitive deals contributing 40% of total software licensing in the year
    • Continued high levels of activity with Tier 1 and 2 banks which contributed 53% of total software licensing in 2018
    • Temenos is the market leader, raising barriers to entry and pulling ahead of the competition
    • We started 2019 with very high levels of revenue visibility and a strong pipeline, driven by recurring revenue, committed spend and our installed base
    • There are now over 5,000 third party Temenos consultants, with a critical mass of experts available to support clients across implementation, testing and training
Solutions

COMPREHENSIVE,
CLOUD NATIVE
CLOUD AGNOSTIC

OPEN BANKING ECOSYSTEM

Open Banking
Ecosystem

Third party developers

Third party providers

A revolution in Banking software

Temenos core
products

Digital Front Office

Temenos Infinity

Core Banking

Temenos T24 TRANSACT

APIs

On-premise

Client runs software

Cloud

Temenos
SaaS

Temenos runs software

BANK

banking

Bank Peripheral Systems

  • RETAIL BANKING

    RETAIL BANKING

    The Temenos Retail Banking solution is an integrated banking software solution for retail banks of all sizes across the globe.

  • CORPORATE BANKING

    CORPORATE BANKING

    The Temenos Corporate Banking solution, with its scalable innovative technology, provides superior features for corporate banks, supporting profitability, customer acquisition and retention.

  • WEALTH MANAGEMENT

    WEALTH MANAGEMENT

    Temenos has a long-standing focus on the Wealth Management sector. The solution covers all parts of the industry, from the U/HNWI to the Mass Affluent and is designed to be deployed by all participants in the sector, ranging from Private Banks to Wealth Managers to Retail Banks for the mass affluent sector.

  • FUND ADMINISTRATION

    FUND ADMINISTRATION

    With Temenos’ Fund Administration solution, clients have the capability to manage all asset classes and jurisdictions, both now and in the future, from a single accounting and investor servicing platform.

  • ISLAMIC BANKING

    ISLAMIC BANKING

    Temenos’ Islamic Banking solution services the Islamic banking community with Shari’ah compliant, flexible solutions that have been specifically designed to support wealth, retail, corporate and treasury bank needs.

  • INCLUSIVE BANKING

    INCLUSIVE BANKING

    Temenos’ Inclusive Banking offering is an integrated banking software solution that helps community banks and Financial Institutions (FI) of all sizes, active in both (group and individual) lending and (member) deposit holding.

  • FUND ADMINISTRATION

    TEMENOS INFINITY

    Temenos Infinity has revolutionized our current offering delivering a new independent digital banking solution. It can be sold and deployed on any combination of back office systems, including non-Temenos core banking systems as well as Temenos T24 Transact. Temenos Infinity is deployed using the Temenos Banking Platform. It incorporates Temenos channels and real-time marketing, our market leading onboarding capability as well as a simple product origination process.

  • FUND ADMINISTRATION

    TEMENOS T24 TRANSACT

    Temenos T24 Transact is the market leading core banking solution. Designed to operate in a truly packaged manner, and with a consistent policy of maintaining a single functional base, the breadth and depth of the products capabilities have grown over the years. With more than 25 years of investment in the product functionality, the product contains massive functional capabilities, all of which can be accessed by any Temenos client who uses the software. The policy of including all enhancements back into the base product continues, ensuring that any bank which licenses the software can continue to enjoy the future investment which Temenos makes into the product.

  • TEMENOS PAYMENTS

    TEMENOS PAYMENTS

    Our Payments product is a uniquely flexible payment offering that not only gives banks full, real-time control but also a harmonized customer service experience and is a centralized for cost efficiencies and risk management. Our Payment Hub is designed to process domestic and international payments in one solution in any region as defined by analysts as ‘a vision for the payment architecture.’

  • FUND ADMINISTRATION

    TEMENOS WEALTHSUITE

    Temenos WealthSuite is designed to empower a wealth manager’s business. The solution helps wealth managers to industrialize the investment process, allowing for the efficient management of investments for large numbers of complex portfolios whilst achieving maximal investment performance.

  • FUND ADMINISTRATION

    FUND ADMINISTRATION

    The solution covers the full spectrum, supporting all product types and all asset classes on our unique, single platform. Clients choose us because they know we can support all their fund administration requirements, both now and in the future.

  • FUND ADMINISTRATION

    TEMENOS SAAS

    Temenos has offered its software on a cloud-hosted basis since 2011, being an early adopter of this approach to delivering software. Since then, the range and scope of the offering has grown, with various SaaS offerings being available. 2019 sees the introduction of further SaaS offerings which build on the success and uptake of the solutions sold since 2011.

  • ANALYTICS

    ANALYTICS

    Unlocking the power of banks’ data to become analytically driven and drive profitability and efficiency improvements throughout their entire organization. Temenos analytics enables banks to harness a wealth of data and transform it into valuable business intelligence to support better decision-making across the enterprise and to enrich all interaction with their customers.

  • FINANCIAL CRIME MITIGATION

    FINANCIAL CRIME MITIGATION

    A uniquely flexible range of intelligent, versatile solutions for banks, large and small, to combat financial crime.

  • RISK AND COMPLIANCE

    RISK AND COMPLIANCE

    Enabling financial institutions to navigate the complex regulatory landscape in order to remain focused on serving customers, creating innovative products and improving profitability.

  • COUNTRY MODEL BANKS

    COUNTRY MODEL BANKS

    With our extensive experience of client implementations we have packaged all country specific localizations, including compliance with regulations and local payments systems, into reusable country platforms, to provide our clients with software that fully supports local requirements. We currently offer country model platforms for over 30 major countries.

  • INTEGRATION

    INTEGRATION

    Temenos’ Integration offering makes banks more agile by enabling them to integrate systems much faster and more cost efficiently, and be more competitive by enabling real-time, highly scalable, self-assisted and multi-channel banking 24x7.

  • INTERACTION

    INTERACTION

    Temenos’ Interaction offering accelerates the pace of innovation around banks’ services by enabling them to easily expose their services to innovation Partners and to any User-Interface (UI). It also lets the bank create innovative combined services and efficiently manage UIs across multiple channels/devices/roles/languages.

  • PLATFORM

    PLATFORM

    Temenos’ Platform offering helps banks run and scale their business systems much more efficiently and to minimize TCO. It does this by letting banks run their core banking system in an application server and, when required, in a multi-tenant or cloud-based set-up. In all cases, business functionality is totally preserved.

  • DATA

    DATA

    Temenos’ Data products provide banks with a unified data platform that helps them deal with the massive data volumes of the digital banking era by efficiently managing their data, unlocking and better accessing their data, and extracting value from their data.

  • DESIGN

    DESIGN

    Temenos’ Design offering boosts banks’ responsiveness to changes in business requirements while reducing cost-per-change, by enabling banks to adapt the functionality of their Temenos business systems and to adapt their business processes in a productive, cost-efficient and low-risk manner.

Insights – thought leadership

SEEING AND
THINKING
DIFFERENTLY

  • OPEN BANKING AND INSTANT PAYMENTS; AN ESSENTIAL PARTNERSHIP

    Banks and fintechs are working together to unlock the full potential of Open Banking. But does the real benefit lie in leveraging real-time payments?

    Darryl Proctor
    Managing Director, Temenos Infinity
  • BANKS HAVE TO BREAK AWAY FROM LEGACY THINKING

    According to the World Bank, an estimated two billion adults across the globe do not have a basic bank account. In addition, 200,000 formal micro-, small- and medium-sized enterprises in emerging economies do not have access to the financing they need to grow.

    Murray Gardiner
    Product Director, Temenos Inclusive Banking
  • THE ROAD TO CONVERSATIONAL BANKING

    Customer interaction and channels preferences have experienced significant changes over time and are constantly evolving and expanding across all industries, including banking. To consolidate customer satisfaction and cultivate customer advocacy, banks must endeavor to continue to meet these changing needs through use of innovative and progressive technology.

    Dharmesh Mistry
    Chief Digital Officer, Temenos
  • THE DIGITAL WEALTH MANAGER: SEIZING THE ROBO OPPORTUNITY

    Wealth management is booming. PwC predicts that global assets under management will double by 2025 to USD 145.4 trillion, with much of the growth coming from the mass-affluent market.

    Jeremy Boot
    Senior Product Manager, Temenos
  • FIVE KEY ELEMENTS ESSENTIAL TO UNLOCKING THE SECRETS OF DIGITAL TRANSFORMATION

    We asked many banks what kind of digital organizations they aspired to be. The response from most was: Amazon.

    Kam Chanaa
    Senior Digital Strategist, Temenos
  • THE FUTURE OF FINTECH ISN’T WHAT IT USED TO BE

    When new technology companies began developing innovative business models and applications in the world of finance, many commentators suggested that the industry was heading for a revolution. Banking was, after all, ripe for disruption.

    Paul Roberts
    Head of Temenos MarketPlace
Research and development

INVESTMENT
TO INNOVATION

The Temenos software investment approach forms a virtuous cycle in which our clients influence Temenos’ investment and therefore benefit from the improved product. This in turn contributes to their success. Our clients then advocate for our solutions enabling us to attract new clients continuing the cycle.

THE VIRTUOUS CYCLE OF TEMENOS SOFTWARE INVESTMENT

diagram
Delivering client success

TEMENOS LEARNING COMMUNITY

TEMENOS LEARNING COMMUNITY HAS ESTABLISHED A NEW APPROACH FOR TEMENOS TO ENGAGE WITH ALL OF OUR EXPANDING ECOSYSTEM THAT PUTS THE KNOWLEDGE-SHARING AND LEARNING OF TEMENOS PRODUCTS AND TECHNOLOGIES AT THE HEART OF OUR CLIENTS’ AND PARTNERS’ LEARNING STRATEGIES.

  • COUNTRY MODEL BANKS

    TLC ONLINE

    Cloud based, individual subscription learning platform, providing unlimited, 24x7 access to official Temenos training and certification programs and our global expert community.

  • COUNTRY MODEL BANKS

    TLC ENGINE

    The digital learning and communications platform, that is able to capture and maintain bank specific operating procedures and content, in order to rapidly upskill and certify their teams.

  • COUNTRY MODEL BANKS

    TLC CLASSROOM

    Virtual or instructor-led classroom training provided by highly experienced, certified trainers in standard or bespoke formats, delivered both onsite or via public access classrooms.

Operating responsibly

ACHIEVING EXCELLENCE
RESPONSIBLY

“We are committed to giving back to the communities where our employees, Partners and clients live and work.“

Operating responsibly

Our
Values

  • COUNTRY MODEL BANKS

    WE SEE THINGS DIFFERENTLY
    FROM EVERYONE ELSE

    Average people see difficulties, exceptional people see opportunities.

  • COUNTRY MODEL BANKS

    WE BELIEVE IN THE POWER
    OF PEOPLE

    People make things happen. People define our destiny.

  • COUNTRY MODEL BANKS

    WE OPERATE RESPONSIBLY TO
    BUILD A SUSTAINABLE BUSINESS

    We walk the extra mile to build strong and lasting relationships with our stakeholders and create sustainable value for them.

  • COUNTRY MODEL BANKS

    WE INSPIRE, THROUGH LIVING
    UP TO OUR FULL POTENTIAL

    We dream big and pursue our goals fearlessly.

  • COUNTRY MODEL BANKS

    WE PLACE CLIENTS AT THE CORE
    OF WHAT WE DO

    Everything starts and ends with our clients’ goals.