TIE Kinetix Reports Q1 2022 Trading Update

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TIE Kinetix, a leader in 100% supply chain digitalization, announced its trading update for the first quarter of financial year 2022 today.

You can download the full report here

Table 1: Key figures

Key Figures Q1 2022 Trading Update

Financial highlights

  • Q1 Order intake at a solid level of € 2,823k, compared to € 1,974k in Q1 2021 (increase of 43%);
  • SaaS revenue growth on plan from € 2,403k (Q1 2021) to € 2,626k (increase of 9%);
  • Total revenue down from € 3,884k (Q1 2021) to € 3,596k (decrease of 7%), following strategic changes impacting the consultancy activities and revenue recognition thereof - refer to heading ’100% SaaS business’ on previous page;
  • EBITDA down from € 572k (Q1 2021) to € 228k (decrease of 60%), following lower revenue and increased expenditures - refer to heading ’100% SaaS business’ on previous page.

Capital markets day

The Company will host a Capital Markets Day on March 2, 2022. During this digital event - organized by Investor Relations Advisory firm Edison - management will update (potential) investors in TIE Kinetix shares on key strategic developments in our markets. Participation in this event is unrestricted and open to all those interested.

Message from Jan Sundelin, CEO

With the first quarter of financial year 2022 behind us, we can say that it has set the tone for the transformative year that we had planned for the Company. As of 1 October 2021 we went live with our customer success teams, which are responsible for driving the successful deployment of FLOW at customers, maintaining and growing client relationships. This frees up our our sales teams to focus on acquiring new customers. In that respect, we have been able to expand our reach in the business-to-government market in Germany significantly with our new customer Da-Di-Werk.

Paired with increases in our marketing expenditure (which had been at minimal levels since the start of the pandemic), the first successes of our new sales focus are materializing with the increased order intake compared to the first quarter of last year. The expansion of our organization is reflected in our staff levels and deployment of external resources for support and onboarding.

As from 1 October 2021, we have taken further steps to prioritize consultancy activities that support SaaS-growth. This means that our portfolio of consultancy projects, and the way we manage our business, has changed.

It is important to acknowledge that all these developments are supportive of one thing: future SaaS-revenue growth for FLOW. Over the past quarter we have proven once again that this is a best-in-class product, now being ISO 27017 and ISO 27018 certified to provide our customers a high level of assurance on information security and privacy.

This document may contain expectations about the financial state of affairs and results of the activities of TIE Kinetix as well as certain related plans and objectives, and may be expressed in a variety of ways, such as ‘expects’, ‘projects’, ‘anticipates’, ‘intends’ or similar words. TIE Kinetix has based these forward-looking statements on its current expectations and projections about future events. Such expectations for the future are naturally associated with risks and uncertainties because they relate to future events, and as such depend on certain circumstances that may not arise in future. Various factors may cause real results and developments to deviate considerably from explicitly or implicitly made statements about future expectations. Such factors may for instance be changes in expenditure by companies in important markets, in statutory changes and changes in financial markets, in the salary levels of employees, in future borrowing costs, in future take-overs or divestitures and the pace of technological developments. TIE Kinetix therefore cannot guarantee that the expectations will be realized. TIE Kinetix also refuses to accept any obligation to update statements made in this document.

For more information please contact:

TIE Kinetix N.V.
Michiel Wolfswinkel (CFO)
De Corridor 5d
3621 ZA Breukelen

T: +31-88-369-8000 (Europe) or 1-800-624-6354 (USA)
W: www.TIEKinetix.com 

About TIE Kinetix
At TIE Kinetix, we help companies of all sizes achieve their digitalization goals. From 1% to 100% or anywhere in between, our cloud-native FLOW Partner Automation platform is designed to completely eliminate paper from the supply chain, enabling our customers to focus on three corporate initiatives that drive true organizational change: business process efficiency, compliance, and corporate social responsibility (CSR).  
We believe that digitalization (not digitization) is the future. We believe in conscious development, and we believe in moving ourselves and our customers forward. More than 2,500 companies have chosen TIE Kinetix to support their EDI, e-invoicing, and general digitalization projects, and we proudly facilitate the exchange of over 1 billion documents through FLOW each year—the equivalent of 100,000 trees saved.  
Founded in 1987, TIE Kinetix is a public company (Euronext: TIE) with offices in the Netherlands (HQ), France, Germany, Australia, and the United States.  For more information, visit www.TIEKinetix.com, and follow us on LinkedinTwitterFacebookXing, and YouTube.

Submitted by Investor Relations on Wednesday, February 2, 2022.