Relesys reports 36% year-on-year growth in Annual Recurring Revenue. Relesys keeps guidance unchanged.

 

Relesys A/S | Interim financial report H1 2023
Company Announcement No. 9-2023
Copenhagen, August 29, 2023

First half-year period: January 1, 2023 – June 30, 2023

Relesys achieved an Annual Recurring Revenue (ARR) of DKKm 51.8 and executed the first half of the financial year in accordance with the plan. Current financial guidance remains unchanged.

Summary:

•   ARR increased from DKKm 38.2 in Q2 2022 to DKKm 51.8 in Q2 2023, corresponding to 36% year-on-year growth.

•   NRR last twelve months was 109%.

•   ARR net uplift last twelve months was 13%.

•   ARR churn last twelve months was 5%.

•   Revenue grew from DKKm 20.7 in H1 2022 to DKKm 26.7 in H1 2023, corresponding to 29% year-on-year growth.

•   The cash balance at the end of H1 was DKKm 24.7. Free Cash Flow Multiple last 12 months was -1.2.
The cash balance of DKKm 24.7 is considered sufficient to take Relesys to a positive cash flow.

 

As described in the Q1 2023 presentation, Relesys is focusing more on enterprise clients. During the period, Relesys has repeatedly been confirmed in its strong product-market fit. The Relesys platform, in its current form, provides value for all non-desk workers, particularly those in the retail industry as evidenced by the ongoing rollout with NorgesGruppen.

 

The focus on the Enterprise clients has led to a change in the competency requirements of Relesys employees, particularly in sales and marketing. As a result, changes were made in both leadership and non-leadership positions. Emil Dyrvig has taken on the role as Chief Revenue Officer (CRO). Emil joins Relesys from his previous position as CRO at Templafy, where he played a key role in establishing Templafy in North America. Emil brings with him a robust international background, enhanced with experience in selling SaaS solutions to Enterprise companies. At Relesys, Emil will assemble a team comprising individuals with expertise specifically tailored to Enterprise and Mid-Market clients.

 

Financial Guidance 2023:
For 2023, Relesys expects continued growth in both ARR and Revenue. Guidance remains unchanged with ARR of DKKm 59-64 and Revenue of DKKm 54-60 by the end of 2023. This is unchanged from what was presented in the Q1 2023 announcement.