QPR SOFTWARE STOCK EXCHANGE RELEASE, APRIL 25, 2019 AT 9.00 AM
Net sales amounted to EUR 2,748 thousand (2018: 2,882).
Process mining software QPR ProcessAnalyzer's net sales increased over 50%, in line with our strategic targets.
International channel net sales decreased compared to January – March 2018, when we closed several large performance management software deals in reseller channel.
Recurring revenue 53 % of net sales (57).
Operating result EUR 187 thousand (400). The decrease in operating result was due to outlays in our growth business areas.
Operating result 7% of net sales (14).
Result for the quarter EUR 141 thousand (124).
Earnings per share EUR 0.012 (0.010).
Outlook for the year 2019 remains unchanged.
QPR Software's mission is to make customers agile and efficient in their operations. We innovate, develop, and sell software aimed at analyzing, monitoring, and modeling operations in organizations. Furthermore, we offer customers a variety of consulting services.
Operating environment and market outlook
In recent years, QPR Software has invested heavily in developing the company's new process mining software, as well as renewing all user interfaces of its software products. We estimate that the demand for process mining software and related services will continue to grow rapidly over the course of 2019.
In developed markets, we expect the competition for process and enterprise architecture modeling, and performance management software to remain tight. The Company still sees growth potential for these products in emerging markets.
Outlook for 2019
QPR expects net sales to grow in 2019 (2018: EUR 10,047 thousand). The most significant sources of growth are the international process mining software sales of QPR ProcessAnalyzer, and the consulting services supporting QPR's software business in Finland. Growth in quarterly reports is estimated to have significant variance, and it is impacted especially by the closing times of large software deals.
In 2019, QPR will increase investments in its growing business segments. Due to these investments, the Company estimates that its operating result will be lower than in the previous year, while still remaining positive (2018: 5.2% of net sales).