Crayon announces strong Q4, year-end results

Crayon, a global leader in IT services and innovation, reported its fourth-quarter earnings Tuesday that showed growth across all business areas and regions, particularly in its international markets.

Gross profit grew by 27% compared to the same quarter last year, while Adjusted EBITDA grew 24% to NOK 258m, reflecting a margin of 20.3%, which is about the same level as the comparable period in 2021.

“Our financial results exemplify the resilient demand we see in the market,” said Crayon CEO Melissa Mulholland. “We continue to see incredible growth across all our regions and business areas, based on our customer-centric business model.”

The full-year results had a gross profit growth of 43%, largely driven by markets in Asia Pacific, Middle East, Africa, and India. The growth of those regions was 140% higher than the year before because of accelerated market performance and the positive impact of the 2021 rhipe acquisition.

“Despite ongoing economic pressures in the tech sector, we continue to see resiliency with our customers and partners. From requiring cloud-based solutions to deliver increased productivity and efficiencies in their business, to the increased need to secure their environment and digitize their data estate,” Mulholland said.

International markets now represent 59% of Crayon’s gross profit compared to 51% in 2021. The full year Adjusted EBIDTA increased 30% to NOK 839m from the previous year.

Crayon also reported a continuation of its industry-leading customer retention rate of 95% and an increase in employee retention, which is at 94.5%.

“We have always been a people-first business,” Mulholland said. “It’s in our DNA to focus on our customers and partners and to have a strong culture that invests in its people. Doing so gives us a strong position in the market for ongoing success.”