LONDON–(BUSINESS WIRE)– Regulatory News:
MotorK PLC (AMS: MTRK) (“MotorK”, the “Group” or the “Company”), a leading SaaS provider to the automotive retail industry in the EMEA region, today announced that its Committed Annual Recurring Revenues1 (CARR) for the fourth quarter 2024 and the full financial year 2024 are lower than previously expected.
European automotive uncertainty and macroeconomics have influenced decision-making among large retailers and manufacturers, impacting MotorK’s CARR in two key ways:
- Several high-value deals originally expected to close by year-end 2024 have been deferred into 2025 and remain under negotiation.
- Client-signed and yet-to-be-delivered deals have experienced delays or have been subject to renegotiation.
In response, MotorK has adopted a more conservative criteria of CARR to better reflect the evolving business environment. This adjustment has resulted in a reduction in reported CARR, with deals that no longer meet the revised criteria being reclassified into the company’s pipeline. As a result:
- MotorK’s CARR for the fiscal year ending 31 December 2024 are expected to be approximately 15% below the guidance of EUR 45-50 million, as previously communicated.
- MotorK’s sales pipeline exceeded €24 million on 31 December 2024, reinforcing the company’s strong commercial momentum and future revenue potential.
MotorK remains confident in its long-term growth strategy and continues to execute on its commitment to driving innovation and delivering value to its customers and shareholders.
1 Committed ARR (“CARR”) includes ARR and Committed Recurring Revenues (“CRR”). CRR refers to signed contracts to be delivered and billed. Annual Recurring Revenues (“ARR”) are defined as the yearly subscription value of the customer base at the end of the reporting period.
