Relesys A/S realizes growth in Annual Recurring Revenue of 44% in 2022

Relesys A/S | Annual Report 
Company Announcement No. 2-2023 
Copenhagen, March 30. 2022 
Financial report for the period 1 January 2022 - 31 December 2022 

Strong performance in Q4 2022 with ARR of DKKm 45.2 at the end of the fiscal period, growing 44% year-on-year. The strong ARR performance ended up significantly above the original ARR guidance for 2022 of DKKm 40 - 42. Guidance was raised twice during 2022 to DKKm 44 - 45 with actual performance slightly above the range. 

Summary: 

Relesys continued to deliver double-digit growth rates in ARR and revenue. Sweden and the Benelux regions both showed strong growth rates, and the new team in the United Kingdom also signed its first clients.  

• ARR increased from DKKm 31.3 to DKKm 45.2, corresponding to 44% growth year-on-year. 

• Net ARR retention rate was 116% year-on-year. 

• ARR net uplift was 21% year-on-year. 

• ARR churn rate was 5% year-on-year.  

• ARR from new clients increased by DKKm 8.9 during 2022. 

  

Financial Guidance 2023:  

Relesys continues to focus on growing the existing markets in Scandinavia, Benelux and the United Kingdom. In addition, Relesys will enhance sales and marketing activities towards North America during 2023. 

Relesys maintains current ARR guidance for 2023 of DKKm 59 – 64, corresponding to 31% - 42% year-on-year growth. 

Furthermore, Relesys maintains current revenue guidance for 2023 of DKKm 54 - 62, corresponding to 22% - 36% year-on-year growth.   

 

Chairman of The Board of Directors, Alexander Martensen-Larsen says: 
“Since Jesper Roesgaard and Jens Ole Lebeck founded Relesys in 2014, the company has consistently generated double digit growth rates and positive performance. I am pleased that this first year as a listed company is no exemption. Despite 2022 being characterized by economic uncertainty, Relesys successfully executed on its international growth strategy resulting in a record growth in ARR of 44% and 28% growth in total revenue.” 

 

CEO, Jesper Roesgaard says: 
”2022 was a landmark for Relesys. In this first year of our growth strategy, we exceeded our initial guidance, outperformed our own expectations, and grew our client base. In addition, the client retention rate remained high, international sales grew, and the numbers show that Relesys is well on the way to becoming cashflow positive.  

Looking at these achievements independently – it would make for a great result. However, with our client-centric approach underpinned by extensive experience, our team has made remarkable strides during 2022 - growing not only in terms of headcount but also in capabilities. Their exceptional efforts and ability to collaborate with clients have helped increase our portfolio and further improve our reputation and position in the global HR software space.”