Video Communications Company Pexip Announces Annual Recurring Revenue Growth of 70%
(Oslo, Norway, 6th October 2020) The video communications provider, Pexip, today presented its annual recurring revenue (ARR) for the third quarter of 2020
- Pexip’s subscription base measured in ARR reached USD 72.8 million in Q3 2020, up from USD 42.8 million in Q3 2019, representing an increase of 70%.
- The Company reported an increase in ARR of USD 7.0 million for Q3 2020, compared with USD 2.7 million in Q3 2019.
- In addition, the customer base acquisition announced in July is expected to have an overall impact on ARR of USD 2 to 3 million. Most of the bookings are expected to happen in Q4 2020. USD 0.4 million was booked in Q3 2020.
- Net revenue retention rate, showing the percent of retained revenue from existing customers, was 115% year-on-year, including churn of -10% year-on-year. Net new sales accounted for 55% of the year-on-year growth.
- ARR from Infinity, Pexip’s software platform, grew 55% year-on-year, and ARR from Pexip’s Cloud Service grew 101% year-on-year.
- The Company continues to track ahead of its plan to reach USD 300 million in ARR by 2025.
“In Q3, we delivered our best third quarter ever, with impressive net new sales, as more organizations are seeing the benefit of a best-in-class meeting experience and the need for a secure and interoperable video platform.” said Odd Sverre Østlie, CEO of Pexip. “We added several major Fortune 500 and NATO defense organizations to our customer portfolio, reflecting the strength of our value proposition in the large enterprise and public sector segments.”
Pexip will present the full third quarter 2020 interim report on 10th November 2020.
For questions, please contact:
Øystein Hem, CFO, +47 992 34 596, IR@pexip.com
Gillian Dalslaaen, VP Marketing, +47 40461025
About Pexip | pexip.com
Pexip simplifies complex videoconferencing to empower organizations with face-to-face collaboration, no matter the location or technology. Our scalable platform enables high-quality video meetings, with enterprise-grade security, and is easily adapted to fit customers’ IT requirements and existing infrastructure. This makes Pexip the leading provider for large enterprises and public sector organizations. The solution is sold through 300 channel partners in 75 countries and used in more than 190 countries. Pexip was listed on the Oslo Stock Exchange in May 2020.