Interim Report January-June 2021

​​​​​​Second quarter

• Net sales amounted to MSEK 103.0 (85.0), rendering a net sales growth of 21 % (21 %).
• Recurring revenue amounted to MSEK 60.9 (48.5)
• The quarter was impacted by one-off items affecting comparison, amounting to MSEK -1.1 (0.0). Comparison attributable to acquisitions
• Adjusted EBITA amounted to MSEK 27.6 (21.8) which corresponds to an adjusted EBITA margin of 27 % (26 %)
• Net income amounted to MSEK 13.4 (13.3)
• Earnings per share SEK 1.01 (1.00) and diluted SEK 1.01 (1.00)
• The acquisition of 90 % of the shares in the German company, Userlike UG, who are experts in UM – Unified Messaging
• Lime has raised a new bank loan of SEK 250 million and repaid a bank loan of SEK 50 million

First six months

• Net sales MSEK 197.3 (170.0), rendering a sales growth of 16% (22%)
• Recurring revenue MSEK 113.2 (95.4)
• The first six months were impacted by one-off items affecting comparison, amounting to MSEK 1.1 (0.0). Comparison attributable to acquisitions
• Adjusted EBITA amounted to MSEK 53.9 (45.3) which corresponds to an adjusted EBITA margin of 27 % (27 %)
• Net income MSEK 30.2 (27.5)
• Earnings per share SEK 2.27 (2.07) and diluted SEK 2.27 (2.07)
• The acquisition of 90 % of the shares in the German company, Userlike UG, who are experts in UM – Unified Messaging
• Lime has raised a new bank loan of SEK 250 million and repaid a bank loan of SEK 50 million
• Decided to establish Lime in Germany

 

CEO’s comments
With proactive investment and a strong team, our sights are firmly fixed on Europe

We leave the second quarter of 2021 with a better business climate, an excellent inflow of orders, an all-time high in the number of recruitments and continued proactive investment in sales, marketing and product development.

Net sales amounted to MSEK 103 in the second quarter of 2021, which is equivalent to sales growth of 21 %, with an EBITA margin of 26 %. Both growth and EBITA exceeded our financial targets for the quarter, and, as we announced previously, we will continue to prioritise growth over profitability going forward. The fact that our investments are generating results creates the conditions to continue with our initiatives, both in Sweden and in our growth markets.

With Lime’s new management, we are on course towards 2025 and a position as an international CRM company
Two months have passed since I took over as CEO. I am proud and grateful to be working with such great and smart people, who are totally dedicated to making every day better for our customers. We have now established a new management team, set our course for 2025 and begun to achieve our ambition of becoming a strong European CRM player. As a stage in becoming more international, and to enable us to help our customers through the entire customer journey, we acquired the German company, Userlike, at the beginning of May. Userlike's growth continued during the second quarter will enable us to make further investments in the field of Customer Messaging. The integration is progressing according to plan, and we hope to be able to launch the product as an add-on to our CRM solutions in early autumn.

One of our main focus areas going forward is to strengthen our markets outside Sweden. Through a clearer Go-to-Market strategy and by investing in more effective marketing, we will put greater pressure on our verticals and work hard to create a market-leading position within them. In line with the strategy, the German operation, which we plan to open in August, will initially focus on establishing itself within Lime’s focus verticals of utility and wholesale. We have also begun the recruitment of a local Sales Manager and a sales organisation for Lime Germany.

Improved business situation with satisfying upswing in new sales
As I mentioned in the introduction, our business situation is beginning to look increasingly positive after the clear negative impact of the pandemic. We have seen our order intake grow during both the first and second quarters of 2021. In particular, it is gratifying that we can again see an upswing in new sales, which were the most affected during the pandemic. During the second quarter of 2021, we were delighted that Aspelin Ramm, VAMAS and Bevela were among our new customers.

We are also happy that the trend in our ARR continue to improve during the second quarter. ARR grew by 33 % Q2 to Q2.

A strong team in a performance driven and caring culture is Lime’s driving force
A key factor in enabling us to progress rapidly along the growth path we have already adopted is our strong team. During the spring, we continued to recruit new colleagues to enable us to help more customers to really improve their skills at customer management and sales. To summarise second quarter, we have signed up 50+ new team members in 2021, the majority of whom are trainees who will begin in August. In order to handle the order intake that we had during the spring, we continuously need to develop our existing team members and recruit more competence during the autumn.

I am proud of how we as an organisation and colleagues have risen to the challenge of working from home and the pandemic in general. The importance of getting together, having fun, travelling and meeting our customers is becoming particularly clear now that we can see light at the end of the tunnel and we can allow ourselves to look forward to all of these, as they are usually among major reasons for working at Lime.

The fact that we have personnel who are thriving, feel good and are challenged, and who are committed to making Lime an even better company is and always will be a vital success factor. Accordingly, I see it as very positive that our countries are now increasingly opening up and we and we can gradually return to the new normal. During the autumn, we will continue to invest in our culture and our staff, and will hopefully reinstitute our conferences, travel and physical customer meetings. That said, we are carefully monitoring the trend of the pandemic and it goes without saying that the safety of our colleagues and customers is our highest priority. For it is with an organisation which is committed to both performance and care that we take on Europe’s CRM market.

I would like to wish all our customers, colleagues and shareholders are really fantastic summer!
 

/Nils Olsson, Managing Director and CEO, Lime Technologies
 

Read the entire report in the attached PDF.  

 

Invitation to webcast for the presentation of Lime Technologies’ Year-end report for January-June 2021

On Friday, July 16, at 09:30 CEST, analysts, investors, media and other interested parties are invited to attend a webcast where Lime’s CEO, Nils Olsson, and CFO, Magnus Hansson, will comment on the published report and answer questions. The presentation will be held in English.

The presentation material will be available on Lime’s website.

The link to the webcast can be found here.
 

For more information, contact:

Lime Technologies AB (publ)

Nils Olsson, CEO / +46 736-44 48 55 / [email protected]

Magnus Hansson, CFO & Head of Investors / +46 708-55 55 40 / [email protected]

This information constituted inside information prior to publication. This is information that Lime Technologies AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out above, at 07.50 CET on July 16, 2021.

 

About Lime
Lime helps businesses all over the Nordics to become better at customer care. The company develops and sells digital products for ”Customer Relationship Management”, development and management of customer relationships. Lime was founded in 1990 and has 330 employees. The company has offices in Lund, Stockholm, Gothenburg, Gävle, Oslo, Copenhagen, Utrecht, Cologne and Helsinki. Their customers include everything from sole traders to large organisations.
www.lime-technologies.com