QPR Software Plc's Financial Statement Bulletin 2023: SaaS net sales grew by 36%, and software business by 8%. Net sales decreased by 3% due to the discontinuation of consulting outside the core business in Finland. The strategy was adjusted. A significant improvement in EBITDA and cash flow turned positive.
CEO Heikki Veijola:
"The year 2023 was a turning point for QPR in many ways, and despite the challenging operating environment, we achieved improvement in results as a whole. The changes we made produced significant results with the company's profitability, cost and organizational structure, refined strategy and focus on core business.
October-December 2023
- SaaS net sales increased by +21% (53%)
- Net sales was 1,599 thousand euros, down -25% (October-December 2022: 2,142) due to company’s discontinuation of consulting outside the core business
- EBITDA was -30 thousand euros (-430), a change from the comparison period of 400 thousand
- The operating profit was -283 thousand euros (-681), a change from the comparison period of 398 thousand
- Profit before taxes was -307 thousand euros (-745), change from the comparison period 438 thousand
- The result was -307 thousand euros (-748), a change from the comparison period of 441 thousand
- Earnings/share was -0.017 euros (-0.047)
- Cash flow from operations EUR 829 thousand (244)
January-December 2023
- SaaS revenue increased by +36% (January-December 2022: +35%)
- Net sales was 7,550 thousand euros and a decrease of 3% (7,823) as the company focused on its core business
- EBITDA was 182 thousand euros (- 1,753), change from the comparison period 1,935 thousand
- The operating result was – 813 thousand euros (- 2,770), change to the comparison period 1,957 thousand
- The result before taxes was -924 thousand euros (-2,864), a change from the comparison period of 1,940 thousand
- The result was -924 thousand euros (-2,686), a change from the comparison period of 1,943 thousand
- Earnings/share was -0.055 euros (-0.202)
- Cash flow from operations EUR 849 thousand (-1,765)
- The company has reconciled the entries of the option calculation for the first quarter, resulting in the EBITDA decreasing from 26 thousand euros to -36 thousand euros. The financial figures have therefore been reconciled for the entire
Outlook for 2024
The company monitors the development of the world's economic situation and geopolitical tensions. The slowly budding recovery of economic growth, falling interest rates and normalizing inflation will improve the financial position of customers, and investment decisions can be expected to accelerate towards the end of 2024.
Supported by the current contract base and the projected growth of SaaS (Software as a Service) net sales, QPR expects the growth of SaaS net sales to be double-digit and estimates that the entire software net sales will grow in 2024 (2023: 5,122 thousand euros).
The company expects the operating result to improve significantly in the financial year 2024. The operating result in 2023 was -813 thousand euros.
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