Strong Growth in All Revenue Categories and 23% EBITDA Growth
SLIEDRECHT, The Netherlands, April 21 /CNW/ - UNIT4, the world's leading
provider of business software for fast changing organizations, today
reported a strong performance across the business in the first quarter
of the year.
License growth was greatest in Norway, with a number of major orders in
the public sector, including an order for the Agresso HR and Payroll
solution from Oslo Kommune, the largest local government organization
in Norway. The UK also achieved above average growth, with significant
orders in both the public and private sectors. FinancialForce.com,
UNIT4's cloud applications' company formed with investment from
salesforce.com, also reported a period of strong growth with above
average deals. All other territories performed in-line with or better
than expectations. In North America, we recently announced a contract
with longstanding NGO ACDI/VOCA, for the implementation of Agresso
Business World and Bloomer Candy is the latest company to select
UNIT4's Coda financial management software via partner, SolarSoft.
Q1 Highlights (compared to results in Q1 2010):
- Total revenue increased by almost 16% to EUR112.1 million.
- Organic revenue improved by 7%.
- License sales increased by 23%.
- Contract revenue (excl. SaaS/subscription) grew by 9% and services
revenue increased by 15% as a result of more consultants.
- The highest growth was in UNIT4's SaaS/Subscription business at more
- Gross margin remained at a level of 91.2%.
- Total EBITDA grew by 23% to EUR18.9 million, creating an EBITDA
margin for Q1 of 16.9%, incl. investments in FinancialForce.com and
reorganization/reallocation costs in the R&D department.
- EBITDA excl. investment in FinancialForce.com and reorganization
costs was EUR22.8 million, growth of 34% compared with Q1 2010.
UNIT4 works with organizations that experience particularly high levels
of on-going change, a market segment it calls Businesses Living IN
Change, or BLINC(TM). Its software is designed to support change simply
where these organizations, in all sectors around the world, are
affected by frequent reorganization, mergers and acquisitions, or
compliance and regulation issues.
"UNIT4 is well known for providing customers, both public and private
sector, with solutions that reduce costs, improve control and enable
them to manage rapid and continuous change without the typical costs
associated with set-up and customization," said Edwin van Leeuwen, CFO
at UNIT4. "This differentiation is creating opportunities for us
following signs of recovery in our markets. This is the first time ever
we have achieved an EBITDA level of 20% by the end of the first
Based on the current trading environment, the management reconfirms the
outlook for 2011 given in earlier statements.
UNIT4 (http://www.unit4.com/) is a global business software and services company aimed at helping
dynamic public sector, and commercial services organizations to embrace
change simply, quickly and cost effectively in a market sector it calls
'Businesses Living IN Change' (BLINC)(TM). The Group incorporates a
number of the world's leading change embracing software brands
including Agresso Business World, our flagship ERP suite for mid-sized
services intensive organizations and Coda, our best-of-class financial
With operations in 17 European countries, as well as 7 countries across
North America, Asia Pacific and Africa and sales activities in several
other countries, its revenue was EUR421.7 million in 2010. UNIT4 is
headquartered in Sliedrecht, the Netherlands and has over 4,000
employees. It is listed on Euronext Amsterdam and is included in the
Amsterdam Midcap Index (AMX). For more information on UNIT4 or any of
its operating companies, please visit the website at http://www.unit4.com or follow us on Twitter @UNIT4_Group.
For further information:
For investor and analyst enquiries, contact: Edwin van Leeuwen, CFO UNIT4 N.V., +31(0)184-44-44-44, Edwin.van.leeuwen@UNIT4.com