Breukelen, the Netherlands – November 16, 2022 at 8 AM CET – TIE Kinetix, a leader in 100% supply chain digitalization, announces its full year financial results for FY 2022 today. This press release is unaudited.
Full year 2022 SaaS increased significantly on the back of the high growth plan:
2022 SaaS revenues increased by 15% to € 11,127k (2021: € 9,688k).
2022 SaaS Order Intake increased by 27% to € 8,682k (2021: € 6,819k).
Jan Sundelin, CEO, says: “The financial year 2022 (October 1, 2021 - September 30, 2022) has been a year of accelerated investments by TIE Kinetix. Our goal is to offer 100% digitalization of all in and outgoing documents between companies and/or government organizations. In line with this goal we have now completed our 100% digitalization proposition, and focused on investing for high growth and accelerated roll out. During the past year, we have built an organization that can both accelerate and sustain high SaaS growth in future years over and above historic growth rates.
The roll-out of our high growth plan called for increased investments in marketing, in staff and in indirect sales channels.
I am delighted to see that we have been able to bring a significant influx of new staff. This includes some very experienced sales staff, as well as partner managers who will be further rolling out our channel strategy. Our customer success teams and new business teams are driving our operations as a true SaaS-company. Over the course of the past year, the Company's staff has grown from 104 FTE as at 30 September 2021 to 123 FTE as at 30 September 2022, and to 130 FTE currently.
Our marketing teams are executing ambitious marketing plans in the Netherlands and Germany. Our channel strategy is shored up with new and strengthened alliances, including with major ERP's Microsoft and Oracle and with several major IT-consultancy firms including Avanade and To-Increase, both part of the Microsoft ecosystem. As we speak we are already reaping the benefits of these alliances with a step up in partner sales at the end of FY 2022 and the first month of 2023. This provides a solid fundament under our accelerated SaaS plan.
We expect that the full effect of increased channel sales will materialize in 2023 leading to 20%+ SaaS growth in 2024. Over the past months we have signed major new deals with various household names, including:
- HG International
- FUJIFILM Europe
- Schutt Sports
- Clopay Corporation
- Whole Earth Brands
- Volkswagen Financial Services
Our aim is to scale the use of our excellent FLOW platform - which we continue to improve on every day - towards many more customers and their trading partners.
We are proud to be able to report that our FLOW platform has the highest level of security as evidenced with the successful completion of a SOC 2 audit/SOC 3 certificate for cloud security, and our ISO 27001, 27017 and 27018 certificates. Our customers can rely on our FLOW platform with the highest level of security, privacy and transparency.”
2022 Plan: Investing to accelerate growth of our 100% SaaS business
Effective October 1, 2021 (the start of the Company's financial year 2022) management decided to direct the Company's business model entirely to the delivery and use of its SaaS solution called FLOW. This strengthens the position of the Company as a 100% SaaS company with a focus on long term subscription contracts and annual recurring revenue. As a consequence of this direction, the Company has stepped up its 2022 expenditures and investments in new staff, in marketing programs, and in sales and onboarding to lay the foundation for accelerated growth in all of its markets. This is geared towards one thing: accelerating organic revenue growth.
To further accelerate growth, the plan called for expanding our indirect sales channel. The spearhead of our indirect sales strategy is our worldwide partnership with major ERP vendors Microsoft and Oracle, and with IT-consultancy firm Avanade. In addition, we are partnering with local ERPs in Europe and North America.
2022 Delivered on plan
Management is proud to be able to report that the expansion of the Company's staff and resources has been delivered on plan. Over the course of the past year, the Company's staff has grown from 104 FTE as at 30 September 2021 to 123 FTE as at 30 September 2022, and to 130 FTE currently. The Company has very successfully recruited and attracted top talent in a very tense labor market.
While in an early stage, the actions of the customer success teams are already becoming visible in higher account revenue in the accounts managed by these teams. Although we were initially not planning to see increased business sales before 2023, we are excited to already report new business. Over the summer months, we have signed new contracts in the Netherlands with HG International and FUJIFILM Europe, and in the United States with Schutt Sports, Clopay Corporation and Whole Earth Brands. After the balance sheet date, we've also signed new contracts in the United States with Advasur and CooperSurgical, and in Germany with Volkswagen Financial Services.
You can download the full press release in PDF here: TIE Kinetix Reports Full Year 2022 Performance
Cautionary statement regarding forward-looking information
This document may contain expectations about the financial state of affairs and results of the activities of TIE Kinetix as well as certain related plans and objectives, and may be expressed in a variety of ways, such as ‘expects’, ‘projects’, ‘anticipates’, ‘intends’ or similar words. TIE Kinetix has based these forward-looking statements on its current expectations and projections about future events. Such expectations for the future are naturally associated with risks and uncertainties because they relate to future events, and as such depend on certain circumstances that may not arise in future. Various factors may cause real results and developments to deviate considerably from explicitly or implicitly made statements about future expectations. Such factors may for instance be changes in expenditure by companies in important markets, in statutory changes and changes in financial markets, in the salary levels of employees, in future borrowing costs, in future take-overs or divestitures and the pace of technological developments. TIE Kinetix therefore cannot guarantee that the expectations will be realized. TIE Kinetix also refuses to accept any obligation to update statements made in this document.
About TIE Kinetix
At TIE Kinetix, we help companies of all sizes achieve their digitalization goals. From 1% to 100% or anywhere in between, our cloud-native FLOW Partner Automation platform is designed to completely eliminate paper from the supply chain, enabling our customers to focus on three corporate initiatives that drive true organizational change: business process efficiency, compliance, and corporate social responsibility (CSR).
We believe that digitalization (not digitization) is the future. We believe in conscious development, and we believe in moving ourselves and our customers forward. More than 2,500 companies have chosen TIE Kinetix to support their EDI, e-invoicing, and general digitalization projects, and we proudly facilitate the exchange of over 1 billion documents through FLOW each year—the equivalent of 10,000 trees saved.
Founded in 1987, TIE Kinetix is a public company (Euronext: TIE) with offices in the Netherlands (HQ), France, Germany, Australia, and the United States. For more information, please visit www.TIEKinetix.com, and follow us on Linkedin, Twitter, Facebook, and YouTube.
Contact us for more information:
TIE Kinetix N.V.
Michiel Wolfswinkel, CFO
De Corridor 5d
3621 ZA Breukelen