Profile Software, an international financial software provider, presented to the Hellenic Institutional Investors the annual financial results for 2021 as well as expectations for Q1 2022.
More specifically, the company presented a strong financial performance deriving from its International Operations, the steady investment in new technologies, its international expansion through acquisitions and new projects both in Greece and abroad.
Key annual financial figures
At a consolidated level, in 2021, the Group’s turnover increased by 34% and reached € 20,1 mn, as a result of the Group’s new projects as well as the clients’ loyalty in the company’s solutions. Recurring sales reached 70% of total revenue, which provides assurance in meeting this year’s targets.
The Earnings Before Interest, Tax, Depreciation, and Amortisation (ΕΒΙΤDΑ) increased by 28% compared to the respective period last year, amounted to € 5.5 million while the EBITDA Margin was maintained at satisfactory levels of 27,3%. Earnings After Taxes and minority interest increased by 131% and amounted to € 2.2 mn. Strong profitability and cash flow allowed the company to invest approximately 20% of its revenue in R&D, so as to maintain and develop its cutting-edge technology solutions, supporting the constantly evolving market needs.
These investments include specialised human capital, the utilisation of new technologies through the constantly growing subsidiary Profile Technologies, as well as new products’ launch. Profile Technologies has already presented new solutions and applications, like the “Finuevo Suite, Core and Digital”, an end-to-end banking platform which offers ground-breaking functionality and competitive digital features to both banking users and their clients. Moreover, in 2021 the Profile Group has acquired Centevo, a leading software company of Asset/Fund Management solutions in the Nordics, increasing its geographical reach and business knowhow.
It is noted that the adjusted EBITDA of the Group, excluding extraordinary and non-recurring events (such as the accounting recognition of the stock options plan for the group executives), amounted to € 5,7 mn and the adjusted profit after taxes for the Group (excluding the amortization charges deriving from the intangible assets of Login and Centevo on the acquisition day) reached € 2,9 mn.
With the above results in mind, the Group Management will recommend the distribution of dividends of € 770 thousands, corresponding to € 0,064 per share, at the General Meeting of Shareholders.
The Group’s significant activities in the Public Sector, were also highlighted. The Group has successfully completed the e-board for the Ministry of Digital Governance and Ministry of Justice. Last year, the Profile Group implemented the advanced system for digitilisation (recording and de-recording), of the country’s criminal courts cases of the Ministry of Justice, in the courts of the first instance in Athens, Thessaloniki and Piraeus and this is extended to all criminal courts in the country.
The expectations for 2022
International expansion activities will be reinforced in 2022 as well as the coming years, since the Group’s strategic approach is to achieve and maintain its significant growth ratios.
The constant and successful investments in new products, as well as acquisitions, make the Group’s Management confident for the current year, also taking into account the market developments and the macroeconomic environment.
At the same time, the significant investments of the Hellenic state towards the digitalisation of the Public Sector along with Profile Group’s active involvement in this process, resulting from the many years of experience and technical knowhow, endorse expectations to be assigned of relevant to its expertise projects.
During the presentation, it was also highlighted that the turnover for Q1 of 2022 has increased by 90% compared to last year, where 32% refers to organic growth and the rest to Centevo’s integration. If the global geopolitical and economic situation does not change dramatically, a satisfactory growth rate for the total of the fiscal year is expected to be achieved.