Visma increased revenue by 19 percent in Q1, with Annual Repeatable Revenue (ARR) reaching a new record level of EUR 2 billion.
Visma reported revenue of EUR 571 million in the first quarter of 2023, a growth of 19 percent compared to the same period last year. EBITDA was EUR 148 million, up 17 percent from Q1 22.
“Demand for mission critical software continues to show resilience through an uncertain period for the global economy, and we are seeing a healthy contribution of sales growth from both existing and new customers”, says Merete Hverven, CEO of Visma.
All-time high ARR
At the end of Q1, Visma’s Annualized Repeatable Revenue (ARR) reached a new record level of EUR 2 019 million, up 24 percent compared to the same period last year.
This forward-looking metric is a strong indicator of the development in the most strategic portion of Visma’s revenue, and is a key driver of growth within all segments.
“This gives us a stable and predictable revenue stream from a highly diversified group of customers. In a period when many tech companies are forced to downsize and cut back on investments, we are in a position to keep our foot on the gas pedal”, Hverven says.
More than 85 percent of Visma’s total revenue in Q1 came from cloud software and related services, up from 81 percent at the same point last year.
“With Visma’s focus on subscription-based software delivered through the cloud, I’m especially pleased to see that contribution from SaaS-products in the quarter surpassed 70 percent of Group revenue for the first time”, Hverven adds.
Strengthened ESG offering
Visma made ten acquisitions in five countries during Q1, including its first venture into the Portuguese software market with Moloni. The Group also expanded its presence in Germany through the acquisition of public software provider H&H.
In Norway, Visma strengthened its offering of ESG reporting tools with the acquisitions of Sonya and Meet Dottie.
“These are two great examples of how business software can help companies track their progress on areas like environmental impact, diversity and inclusion in an efficient and compliant manner”, Hverven says.
Key highlights for Q1 2023:
- Revenue of EUR 571 million, 19% growth year-over-year
- EBITDA of EUR 148 million, 17% growth year-over-year
- Annualised Repeatable Revenue reached EUR 2 019 million
- Increasing presence in Germany by closing the acquisition of H&H
- Entering the software market in Portugal through the acquisition of Moloni
- Closed ten acquisitions during the quarter
Q1 2023 by the numbers
*Restated to reflect sale of IT consulting business and Cloud Infrastructure Services (CIS)
For more information, please contact:
Lage Bøhren, Head of Communication +47 921 57 801
Visma is a leading provider of mission-critical cloud software, with revenue of € 2.06 billion in 2022, 14,000 employees and 1.4 million customers across Europe and Latin America. By simplifying and automating the work of businesses and organisations of all sizes, we enable a more efficient and prosperous society. Visit us at visma.com.