Solid Start of the Year
Continued Growth Trajectory
Maintaining Healthy Operational KPIs
Revenues Visibility for FY 2023
LONDON–(BUSINESS WIRE)– Regulatory News:
MotorK Plc (AMS: MTRK) (“MotorK” or the “Group”) today published a trading update in respect of its financial results for its first quarter, ended March 31, 2023 (“Q1 23”). The Group has delivered a solid start to the year, reflecting its track record of consistent growth. The current level of committed recurring revenues sets a positive tone for the company’s revenue growth in FY 2023.
Q1 23 FINANCIAL HIGHLIGHTS
- Q1 23 ARR 1 of €27.9 million, up 52% organically, compared to €16.3 million in the prior year, and up 71% including M&A, demonstrating the Group’s high pace of growth.
- Committed ARR of €5.9 million in Q1 23, including enterprise deals, backlog and contractual price increases, provides significant visibility for the Group’s revenue growth in FY 2023.
- Strong operational KPIs, including a low churn rate of 5.6% and Net Retention Revenue (“NRR”) 2 of 117.1%, demonstrate the Group’s superior efficiency in cross-selling and upselling to its customer base.
- Average annual contract value (ACV) 3 reached €17.6k in Q1 23, up 10% year-on-year (“YoY), reflecting continued growth in multi-product adoption within customers’ base fueled by recent product launches.
- Revenues under IFRS 15 4 of €11.4 million, up 37% on the prior year period, underlining the overall Group’s solid performance.
- SaaS recurring revenues of €8.6 million, up 59%, and representing 76% of total revenues, demonstrate continued improvement in the revenue mix.
- Customers Media Services revenues were flat over the period and trending overall in line with the trajectory observed over the last quarters.
With solid pipelines in both Retail and Enterprise segments, MotorK benefits from significant revenue visibility for the year. The current combined level of recognized and committed Annual Recurring Revenues provides a positive outlook for the Group’s revenue growth in FY 2023, while securing as of March end almost c. €34m of ARR for the year.
In tandem with the continued growth of the top-line, the Group starts benefiting from operating leverage given the mostly fixed nature of its cost base, in line with its communicated objective of turning Cash EBITDA positive by FY 24.
NEXT PUBLICATION: H1 2022 TRADING UPDATE, 28 JULY 2023
|
Revenue by product and service line (€’000) |
Q1 ’23 |
Q1 ’22 |
y.o.y. change |
y.o.y. change |
||
|
Organic |
M&A* |
Total |
||||
|
SaaS platform revenue |
7,453 |
1,288 |
8,741 |
5,813 |
30% |
50% |
|
Customer Media Services** |
1,787 |
– |
1,787 |
1,772 |
1% |
1% |
|
Other revenue |
877 |
29 |
906 |
754 |
23% |
20% |
|
Total |
10,117 |
1,317 |
11,434 |
8,339 |
23% |
37% |
|
|
|
|
|
|
|
|
|
SaaS platform revenue (€’000) |
Q1 ’23 |
Q1 ’22 |
y.o.y. change |
y.o.y. change |
||
|
Organic |
M&A* |
Total |
||||
|
Recurring revenue |
7,382 |
1,251 |
8,633 |
5,443 |
38% |
59% |
|
Contract start-up revenue |
71 |
37 |
108 |
370 |
(81%) |
(71%) |
|
SaaS platform revenue |
7,453 |
1,288 |
8,741 |
5,813 |
30% |
50% |
|
% Recurring revenue on Total Revenue |
73% |
95% |
76% |
65% |
8% |
10% |
|
% SaaS platform revenue on Total Revenue |
74% |
98% |
76% |
70% |
4% |
7% |
|
|
|
|
|
|
|
|
|
Revenue by country (€’000) |
Q1 ’23 |
Q1 ’22 |
y.o.y. change Organic |
y.o.y. change |
||
|
Organic |
M&A* |
Total |
||||
|
Italy |
6,254 |
– |
6,254 |
6,017 |
4% |
4% |
|
Spain |
1,272 |
– |
1,272 |
1,058 |
20% |
20% |
|
France |
1,376 |
264 |
1,640 |
1,038 |
52% |
58% |
|
Germany |
1,215 |
311 |
1,526 |
226 |
438% |
575% |
|
Belnelux |
– |
742 |
742 |
– |
0% |
– |
|
Total |
10,117 |
1,317 |
11,434 |
8,339 |
23% |
37% |
|
|
||||||
|
*FPN, SFD, Ico International, FusionIT |
||||||
|
**Ex Digital Marketing Revenues |
||||||
1 Annual Recurring Revenues (“ARR”) is defined as the yearly subscription value of the customer base at the end of the reporting period
2 Net Retention Revenues (“NRR”) is defined as the percentage of Recurring Revenues retained from existing customers
3 Core Retail base, excluding recently acquired companies (Dapda, FranceProNet and Fidcar) currently under migration
4 Under IFRS 15, revenue from the applicable subscription agreement is recognized, regardless of its duration, at the time of its delivery; conversely, ARR shows revenue as if it were received over the life of the contract, rather than at the signing of the contract pursuant to IFRS 15
