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→ Annual revenue expected at €285.5 million
→ Operating margin on activity of at least 11.0% of confirmed revenue
PARIS–(BUSINESS WIRE)–Regulatory news:
In accordance with Regulation (EU) n°596/2014, Axway (Euronext: AXW.PA) is adjusting its annual revenue forecasts for the 2021 financial year. an operating margin on activity of at least 11.0% of its turnover, the company announces today that total turnover will not reach the expected organic growth.
While the company anticipated organic revenue growth of between 2.0 and 4.0% in 2021, preliminary estimates, not yet finalized or audited, suggest that annual revenue will be in the range of of €285.5 million, representing an organic decline of around 2.7%. %.
After growing by 2.0% in the first nine months of the year, Axway’s activity fell by 13.5% in Q4 2021. Over the period, several operations saw their schedules shifted or their budgets reallocated . Some major customers and prospects, exposed to significant recruitment difficulties in their IT and administrative teams, have not launched the expected projects. These labor shortages could continue throughout fiscal 2022.
Patrick Donovan, Chief Executive Officer of Axway, said:
“Over the past year, our teams have worked extremely hard under difficult conditions to better meet the needs of our customers. While all regions started the fourth quarter with sufficient visibility to meet our guidance, we faced similar challenges in our various markets due to budget cuts or staffing difficulties at several major customers. I remain confident in our ability to deliver significant value to our customers through our solutions and we will continue to do so during these challenging times, while preparing for their return to normal business levels.”
As planned, the details of the 2021 annual results will be published on February 22, 2022, after the close of trading and will be commented on the same evening during a presentation to analysts scheduled for 6:30 p.m. (UTC+1).
However, to provide an early analysis of the company’s performance in Q4 2021, Axway’s management team will hold a conference call tomorrow morning, Thursday January 20, 2022, at 8:00 a.m. (UTC+1).
Thursday January 20, 2022, 8:00 a.m. (UTC+1): Analysts & Investors Conference
Conference registration: Click here
Or join us by telephone by dialing one of the numbers below and quoting “Axway” when requested by the operator:
– International: +44 (0) 33 0551 0200 / France: +33 (0) 1 7037 7166 / USA: +1 212 999 6659
Please note that the meeting will be held in English and will be available for replay on the company’s website.
Tuesday February 22, 2022, after market close: Publication of 2021 annual results.
Tuesday, February 22, 2022, 6:30 p.m. (UTC+1): Virtual analyst conference on 2021 annual results.
Glossary and alternative performance indicators
Restated turnover: Revenue for the previous year adjusted for the scope of consolidation and exchange rates for the current year.
Organic growth: Growth in turnover between the period under review and the previous period, restated for scope and exchange rate effects.
Growth at constant exchange rates: Growth in turnover between the period under review and the previous period restated for currency effects.
VCA: Annual contract value – Annual contractual value of a subscription contract.
VTC: Total contract value – Total contract value of a subscription contract over the term of the contract.
Signature metric: Amount of license sales plus three times the annual contract value (3xACV) of new subscription contracts signed during a given period.
Net Signature Metric: Net signing metric of maintenance attrition by migration to new subscription contracts
Profit from operating activities: Current operating income adjusted for the expense of non-cash share-based payments, as well as the amortization of affected intangible assets.
NPS: Net Promoter Score – Indicator of customer satisfaction and recommendation for a company.
Employee Engagement Score: Measurement of employee commitment through an independent annual survey.
This press release contains forward-looking statements that may be subject to various risks and uncertainties regarding Axway’s growth and profitability, including in the event of future acquisitions. Axway stresses that contract signings, which represent investments for customers, are more significant in the second half and can therefore have a more or less favorable impact on performance for the year. Furthermore, Axway notes that possible acquisitions could also impact these financial data. Furthermore, the activity for the year and/or the actual results may differ from those described in this document due to a number of risks and uncertainties set out in the 2020 Universal Registration Document filed with the Financial Markets Authority (Financial Markets Authority, AMF) on March 18, 2021, under number D.21-0147. The distribution of this document in certain countries may be subject to the laws and regulations in force. Individuals in such countries and in which this material is released, published or distributed should inform themselves about and observe any such restrictions.
Axway (Euronext: AXW.PA) enables its customers to succeed by using hybrid integration to connect people, systems, businesses and digital ecosystems. Axway’s hybrid integration platform, Amplify, helps power users, IT specialists, developers and business partners accelerate digital transformation, create compelling experiences and innovate new services. Amplify accelerates integrations by combining traditional integration models with API management and application integration (providing over 150 pre-built connectors). More than 11,000 organizations in 100 countries trust Axway to meet their data integration challenges. For more information, visit www.investors.axway.com/fr
Source: Axway software