Divio Technologies AB (publ) increased net sales by 19% and strengthened the team
SUMMARY OF THE REPORT
First quarter: 1 JAN 2023 TO 31 MAR 2023
- Net sales increased by 19%, to KSEK 4,661 (3,902)
- Subscription revenue was KSEK 4,440 (3,784)
- MRR in March was KUSD 138 (135)
- EBIT was KSEK -3,577 (-3,258)
- EPS before dilution was SEK -0,02 (-0,04)
- Cash position was KSEK 9.145 (12.264)
SIGNIFICANT EVENTS (First quarter)
- The funds from the issue of units was received in January
- Strong lead generation according to the new sales strategy
- Strengthening the team by recruitment of sales and engineering resources
SIGNIFICANT EVENTS AFTER THE QUARTER
- New project with existing client according to the new enhanced offering
| First quarter (3 months) | Full year (12 months) | |||||||
| KSEK | 2023 | 2022 | % | 2022 | ||||
| Key Financials | ||||||||
| Net sales | 4,661 | 3,902 | 19% | 18,840 | ||||
| (whereof subscription revenue) | 4,440 | 3,784 | 17% | 16,290 | ||||
| (whereof professional services) | 221 | 117 | 88% | 2,551 | ||||
| Total revenue | 5,864 | 5,010 | 17% | 23,415 | ||||
| Costs | -7,982 | -6,848 | -17% | -28,325 | ||||
| EBITDA | -2,118 | -1,838 | -15% | -4,910 | ||||
| Dep / Am | -1,459 | -1,420 | -3% | -5,489 | ||||
| EBIT | -3,577 | -3,258 | -10% | -10,399 | ||||
| MRR (KUSD) | 138 | 135 | 2% | 136 | ||||
| Cash position | 9,145 | 12,264 | -25% | 2,057 | ||||
CEO COMMENTS
Things have begun to take off for Divio, a lot has fallen into place and we have taken giant and completely correct steps. I am incredibly happy about the phase we are in now. We have found the right target group, the right message and have the right sales machinery. We have also made changes to the offer and highlighted our broad expertise and ability to help customers in a broader perspective.
The goals for the future are high and we are in the right phase to deliver on all goals, which has been hard work but well worth it. We now have momentum and are building on the structure and machinery we have created. The wheels are spinning faster and the results have started to show in the form of finishes. I cannot emphasise enough how good a team we have and what a difference it is from before, now we have a high level of competence and exchange not only in the developer team but also in the sales team. It is also fun to see that our new sales strategy where we focus on small and medium-sized companies and with a broader offer works. We have also started a good communication with potential customers and are now visible in many relevant social media and other forums. The result is that we have also started so-called "inbound" sales, i.e. that customers contact us and want help, customers from all corners of the world.
Going forward, we will continue to invest heavily in AWS. Among other things, I have been to an AWS Summit in Stockholm where, in addition to sustainability, there was a lot of talk about security and it was no longer about moving to the cloud but the importance of efficiency once the move has been made. There were some critical voices that said that AWS's rapid development and expanding catalogue of opportunities make it increasingly difficult for their customers to both migrate and then manage the cloud service. Here Divio has a golden opportunity, our platform significantly improves security, facilitates the migration itself, facilitates maintenance and creates favourable conditions for a faster development process. We have also finally started the collaboration with AWS, which is an incredible boost for the entire organisation, not least in terms of sales. Now we have initiated concrete sales discussions with AWS and It is also exciting that we have started to establish good dialogues with AWS even outside Switzerland.
The collaboration with Anders and Eric has been fruitful and useful for us, they have been able to challenge and sharpen us with an outside perspective. Partly thanks to them, we have become even more pointed and precise in everything from communication, pitch material and which unique parts of our platform we should highlight.
During the winter and spring, we have also created an important vision for where we will go and what we want with our platform in a long-term perspective. We have chosen a long-term strategy that gives Divio a unique positioning and that will solve challenges only large tech companies can afford at an affordable price and at the same time future-proof our customers' web applications and cloud infrastructures.
We have a high tempo and a well-oiled machine, everyone is super excited and maybe most importantly, it is fun! We have started to get new customers in place and will now add another gear and press the gas pedal at the bottom.
Regards
Jon Levin, CEO