Ideagen set to celebrate decade of successive growth
Software business Ideagen, based in Welwyn, expects to record its tenth successive year of growth following the publication of its unaudited interim results up to the end of October.
It delivered a strong market update with half-year performance in line with expectations and a strong outlook for the second half of the year.
Revenues increased by 22 per cent to £21 million while recurring revenues rose 30 per cent to £14m. Like-for-like bookings stood at £14.5m, an increase of 34 per cent, while Software as a Service (SaaS) bookings showed an increase of 80 per cent to £6.6m.
There were significant operational highlights in the year, including the acquisitions of Morgan Kai Group Ltd and InspectionXpert Ltd, doubling Ideagen’s audit and quality inspection business.
GlaxoSmithKline, Clydesdale Bank, McLaren and Mercedes were among the prominent new client wins in the period.
Ben Dorks, who took up his position as CEO in May 2018 said: “We are delighted to report on another strong performance from the group across all of our vertical markets and geographies during the first half of the year.
“The group continues to generate significant international sales growth and momentum in our SaaS business, which is driven by customer demand. This will enable the acceleration of our transition to a subscription licence model whilst maintaining high margins and organic growth.
“Current trading is in line with market expectations and the acquisitions made in H1 are performing well.
“The Integrated Risk Management market continues to grow and our success in winning new business, together with our levels of recurring revenue and repeat business from our 4,000 strong customer base, provides the board with confidence in the outlook for this year and beyond.”
Ideagen enjoyed strong momentum in global sales with 162 ‘new logo’ wins, 121 of which were outside of the UK.
The company’s ongoing customer success focus cemented retention rates at 95 per cent and helped secure multiple new contracts from its existing client base from organisations such as Triumph Group, Sanofi, Pfizer and Thales.
Dorks added: “The group has a clear and proven strategy to grow the business organically while continuing to identify and acquire businesses that offer strong synergies in terms of product, customers and geographical reach.
“The acquisitions made in the period demonstrate the ongoing execution of our acquisition strategy with both InspectionXpert and Morgan Kai consolidating our position in core product markets while providing further footprint in the US.
“Our markets remain significant and Ideagen is well positioned to deliver on opportunities across our strategic verticals and geographies.”
Ideagen develops software that allows businesses in regulated sectors, such as aviation, aerospace & defence, banking, manufacturing and pharmaceuticals, to meet their safety, compliance, audit and risk requirements.