There’s nothing but positive news in UNIT4’s Q1 results. In line with its medium to long-term predictions, the Netherlands-based ERP supplier, achieved organic revenue growth of 7% (see UNIT4 impacted by SaaS transition), with top line revenue up 16% to Eur112 million.
All revenue categories put in a strong performance, but the strongest of all was the SaaS subscription business, which grew at more than 40%. And despite the transition to the SaaS model, which impacted profit margins in the last financial year, total EBITDA was up 23%. EBITDA excluding investment in FinancialForce.com (its cloud applications company) and reorganisation costs stood at Eur22.8 million - representing growth of 34% compared to Q1 2010. Indeed, CFO, Edwin van Leeuwen commented, “This is the first time ever we have achieved an EBITDA level of 20% by the end of the first quarter”. Positive news indeed.
It also appears that UNIT4 continues to grow in the public sector, both in the UK and Norway, where above average growth was reported boosted by significant orders.