LeadDesk’s strong growth continues during the first quarter

LeadDesk Plc Press Release 28/4/2022 at 9.35 

LeadDesk Plc Business review 1/1–31/3/2022

Unofficial translation of company release 28 April 2022, 9:30 am. In case the document differs from the original, the Finnish version prevails.

Figures in parenthesis refer to the equivalent period in the previous year, unless otherwise stated. Figures presented in this business review are unaudited.
 

In addition to the Financial statements and the Half year review, starting from 2022 LeadDesk will publish abbreviated business reviews for January–March and July–September.

January–March 2022

• Revenue EUR 6,850 (5,876) thousand, growth 16.6%
• Annual recurring revenue contract base EUR 23,036 (17,659) thousand, growth 30.4%
• EBITDA EUR 685 (778) thousand, 10.0% (13.2) of revenue

The company’s outlook for 2022 remains unchanged. The company expects 13–23% annual revenue growth for 2022 and expects positive profitability as measured by EBITDA and operating cash flow. The outlook does not consider the impact of significant acquisitions on revenue or profitability. 

CEO Olli Nokso-Koivisto’s thoughts on the first quarter of 2022:

”LeadDesk is a European cloud-based contact center software vendor. Our position as a leading European company and trusted partner for customer service and sales organisations is now even stronger.

Our strategic themes for 2022 are the bedrock of our growth

Our long-term goal is to reach EUR 100 million revenue and improve our EBITDA margin to 20%. Our continuously strengthening position has not gone unnoticed in the market. Research firm Frost&Sullivan (www.frost.com) states in their analysis: “LeadDesk’s cloud-based contact centre solution is an excellent fit for dynamic businesses with large contact volumes. With its substantial R&D team, excellence in professional services and commitment to flexibility, LeadDesk has attracted large-enterprise customers and experienced remarkable above-average growth. If it continues on this growth trajectory and taps into high-growth markets outside its Nordic stronghold, LeadDesk could approach €100 million in revenue within 6-8 years.”

To reach our revenue goal, we have set four strategic themes for this year. The themes are organic growth, growth through acquisitions, expansion of our product portfolio and development of our ecosystem and partner networks.

We are still on the path of profitable organic growth. Our international growth is supported by the ongoing cloud disruption and our competitive products. In the first quarter of the year, our most important source of organic growth were our Northern European Enterprise customers. During Q1, we also launched a subsidiary in France. Our goal is to grow our French team. Compared with the same period last year, our growth was also supported by the GetJenny acquisition.

Enterprise customers play an even more important role

Our previously announced enterprise deals are currently being implemented. LeadDesk systems are business critical systems to our customers. Our software often replaces systems that our customers have been using for years or even decades. Therefore, implementations can take up to 12 months, depending on the customer’s implementation maturity. New implementations are proceeding in phases and will materialize as revenue during 2022.

Enterprise customers are a significant growth driver for us. We have invested considerably in both our Enterprise organisation and our Enterprise delivery model. I’m super happy with the development. We now have an even smoother and leaner delivery process.

Making the best ecosystems and brands support each other

Early this year, we launched our new outbound sales user interface. The new user interface works better together with the other integrated software our customers are using. We are also piloting a new user interface for both sales and customer service to be launched at the marketplaces of significant ecosystems. We believe that the strong brands of the ecosystems will support LeadDesk’s leading position in the market. Our goal is to publish the user interfaces during this year.

We are carefully monitoring the geopolitical situation

As a result of Russia’s attack on Ukraine, the security situation in Europe has radically changed. The situation has shocked the entire Western world. The crisis has increased the existing macroenomic risks of an already uncertain economic situation. The situation has had an impact especially on our Western European energy sector customers. Their use of the LeadDesk software has, at least temporarily, decreased. We are carefully monitoring the situation and striving to minimise the impact on our growth.

Our experts and corporate culture are key to reaching our 100-million-euro revenue goal. According to our personnel survey, our experts particularly value the work of our team leaders and the collaborative spirit of the company.

I’m super proud of our LeadDesk team. The team has proved its resilience and performance despite the global challenges. The corona pandemic and Russia’s attack on Ukraine have certainly burdened everyone’s resources. We have remained supportive of each other – together we are stronger. We head towards the upcoming quarters in calm yet vigilant spirits.

LeadDesk Plc

Board of Directors

More information

Olli Nokso-Koivisto, CEO, LeadDesk Plc

+358 44 066 5765

olli.nokso-koivisto@leaddesk.com
 

Approved advisor:

Oaklins Merasco Ltd, tel. +358 9 6129 670
 

Distribution:

Nasdaq Helsinki

Relevant media
http://www.leaddesk.com

LeadDesk in brief

LeadDesk is a fast growing and internationalizing software company, operating in the cloud-based software market in Europe. The company offers the LeadDesk cloud service for sales and customer service and has grown to a leading cloud service vendor in sales and customer service in the Nordics. In 2021, the company’s revenue was €24.6 million. The international revenue share was approximately 61%. LeadDesk’s shares are traded in the Nasdaq First North Finland market under the ticker LEADD. The company has offices in seven European countries. The LeadDesk cloud service is used by ca. 1500 customers around the world.  www.leaddesk.com