→ First-half revenue growth up 11.0% organically and 6.6%
overall
→ Q2 revenue up 11.7% organically and 5.9% overall
→ Annual Recurrent Revenue (ARR) of €203.1m, up 11.2%
organically on end-June 2022
→ First-half profit on operating activities of 12.2% on track
for full-year targets
→ Improved free cash flow totaling €16.5m compared to €8.2m
in H1 2022
Regulatory News:
Axway Software's Board of Directors, chaired by Pierre Pasquier,
today approved the financial statements for the first half of 2023,
which were subject to a limited review by the statutory auditors1.
As a consequence, Axway’s management announces:
Axway Software: 2023 Half-year results
Key income statement
items* Half-year 2023 Half-year 2022 (€m) (% Rev)
(€m) (% Rev)
Revenue
145.5
136.4
Organic growth + 11.0% Growth at constant exchange rates + 6.3%
Total growth + 6.6%
Profit on Operating Activities
17.8
12.2%
6.7
4.9%
Profit from Recurring Operations
14.7
10.1%
2.5
1.8%
Operating Profit
11.2
7.7%
1.1
0.8%
Net Profit attributable to the Group
3.7
2.5%
2.4
1.8%
Basic earnings per share (in €)
0.17
0.11
* Alternative performance measures are defined in the glossary at
the end of this document
Patrick Donovan, Chief Executive Officer, declared:
"I’m delighted that Axway has maintained strong organic growth
over the last 3 quarters. Our activities, particularly in Europe,
are benefiting from the solid, long-term relationships we have
built up with our customers, as well as from the relevance of our
core offerings, which have met with considerable commercial success
over the semester. As I mentioned in Q1, Axway's teams continue to
exceed expectations, not only in terms of bookings and sales, but
also in a number of key initiatives . Our efforts to adopt a
completely customer-centric model, including the changes we have
made to our organization over the past 2 years, are producing good
results and clearly improving our clients’ experience. In the
field, this is reflected in our continuously improving NPS, but
above all in smoother interactions and stronger partnerships with
the companies we accompany daily. While the macroeconomic situation
remains uncertain, we see that the need for and commitment to our
offerings are stronger than ever. In the first half of 2023, we
benefited from a favorable comparison basis to get the year off to
a good start, and we're on track, but given the record performance
set in Q4 2022, we know the bar is much higher towards the end of
the year. At this stage, we are not changing our annual guidance as
we still have a lot of work to do, but considering our first-half
results, we are well on the way to reach the upper end of our
forecasts in terms of both revenue growth and profitability."
Comments on business activity in the first half of
2023
Axway (Euronext: AXW.PA) recorded a great performance in Q2 2023
contributing to strong overall first-half revenue growth. Following
the record performance over the previous 2 quarters, Axway once
again set a high mark in terms of revenue in Q2 2023. Over the
quarter, as in the first 3 months of the year, the reinvestments
made by several major customers in their long-term partnerships
with Axway confirmed the full adoption of the subscription-based
business model.
Beyond the contractual aspects, the strategy of rationalizing
the product portfolio to maximize customer engagement and
satisfaction has proved to be effective. To be as close as possible
to its customers, Axway concentrates on its core products and
targets state-of-the-art technologies and offerings. This ongoing
effort, at all levels of the organization, has already resulted in
an acceleration in bookings, a lengthening of collaborations and a
rise in the NPS, attesting to customers' reinforced confidence. In
fact, over H1 2023, bookings were up 130% on the previous year.
In terms of recent M&A operations, the integration of
AdValvas, a European expert in e-invoicing processes acquired by
Axway in Q2 2023, is nearing completion. The capabilities acquired
in the fields of e-invoicing and compliance significantly
strengthen several of Axway's core offerings, as evidenced by the
growing pipeline. The DXchange cloud integration platform, acquired
in mid-2022, has pursued its roadmap evolution and will continue to
be integrated into the overall portfolio. The new Amplify
Integration Platform offering, based on DXchange technology, has
already convinced several early adopters, and will be officially
launched on the market in the second half of 2023.
Finally, during Q2 2023, Axway brought its customers and
partners together with members of its teams at 3 major regional
events in Brussels, Scottsdale and Sao Paulo to present the latest
developments in its markets and technologies to the world's most
advanced companies and experts in the field. These 3 in-person
events were a great success and have since contributed to the
creation of several new opportunities.
Comments on operational performance in the first half of
2023
In the first half of 2023, Axway generated revenue of €145.5m,
up 11.0% organically and 6.6% in total. The scope effect for the
semester was negative by €5.8m following the different product
portfolio rationalization operations finalized in H2 2022 and the
acquisition of AdValvas finalized at the beginning of Q2 2023.
Currency fluctuations had a positive impact on revenue of €0.4m.
Profit on operating activities amounted to €17.8m for the period,
or 12.2% of revenue, up sharply compared with the first half of
2022 (€6.7m or 4.9% of revenue).
Axway Software: Revenue by business line Half-year 2023
(€m) H1 2023 H1 2022Restated* H1
2022Reported TotalGrowth OrganicGrowth License
3.0
5.5
6.3
-52.5%
-44.9%
Subscription
78.7
52.3
55.9
40.8%
50.5%
Maintenance
44.6
55.1
56.0
-20.4%
-19.1%
Services
19.2
18.2
18.2
5.3%
5.7%
Axway Software
145.5
131.0
136.4
6.6%
11.0%
* Revenue at 2023 scope and exchange rates
Primarily limited to one of Axway's specialized products,
License activity revenue was €3.0m for the half-year, down
organically by 44.9% on H1 2022 and now representing only 2% of
Axway’s total revenue.
The Subscription activity delivered, as expected, a very
good performance in the first half of 2023, and is on track for
strong full-year growth for the fourth year in a row. With revenue
of €78.7m, up organically by 50.5% over the first 6 months of the
year, the activity continues to drive the company's growth, and
represented 54% of its total revenue. Axway Managed contracts
pursued their sustained and steady growth, with a revenue increase
close to 11% compared to H1 2022, while Customer Managed contracts
once again reached record levels, with sales growth over 75%
generating the recognition of €34.2m in upfront revenue over the
period. During the half-year, the annual value of new subscription
contracts signed (ACV) reached €18.7m, an increase of 13.2%.
Maintenance revenue amounted to €44.6m in the first half
of 2023 (31% of total revenue), down 19.1% organically, in line
with forecasts. Customers are continuing to migrate to the new
subscription offers, which they now systematically favor.
At the end of June 2023, Axway's ARR (Annual Recurrent Revenue)
which combines recurring revenues from all active Maintenance and
Subscription contracts, including, where applicable, upfront
subscription revenue recalculated monthly, was €203.1m, up 11.2% at
constant scope and exchange rates. In addition, revenue from
renewable contracts reached a high of 85% of total revenue in H1
2023.
Services generated revenue of €19.2m in H1 2023, up
organically by 5.7%, staying in a strategic range of 10 to 13% of
Axway’s total revenue. The activity continued on the good trend
established in 2022 with strong traction in EMEA and North America
thanks to recurrent business with several key customers.
Axway Software: Revenue by geographic area Half-year 2023
(€m) H1 2023 H1 2022Restated* H1
2022Reported TotalGrowth OrganicGrowth France
45.5
37.2
37.7
20.5%
22.1%
Rest of Europe
35.6
26.6
27.2
31.0%
34.2%
Americas
57.2
56.7
60.8
-5.9%
0.9%
Asia/Pacific
7.1
10.5
10.7
-33.6%
-32.6%
Axway Software
145.5
131.0
136.4
6.6%
11.0%
* Revenue at 2023 scope and exchange rates
France had a particularly dynamic first half, with sales
of €45.5m over the period. The 22.1% organic growth in revenue was
due in particular to the continued conversion of the License and
Maintenance customer base to Subscription, allowing greater
consumption and maximizing long-term commitment. This resulted in
the signature of several Axway Managed contracts, primarily with
the Amplify Marketplace offering.
With revenue of €35.6m, the Rest of Europe zone enjoyed
strong growth over the half-year (+34.2% organically), mainly
thanks to Customer Managed subscription offers. Several clients in
the region increased their use of Axway's MFT and B2B offerings and
the company was able to conclude a major deal through a multi-year
MFT contract with one of its long-standing German B2B
customers.
The Americas (USA & Latin America) generated revenue
of €57.2m over H1 2023, with an organic growth of 0.9%. Demand for
Axway Managed subscription contracts from new and existing
customers was strong in the US, explaining the modest growth over
the period as generated revenue is recognized evenly over the
duration of the contract.
The trend towards Axway Managed subscription offers was even
more marked in Asia/Pacific, where more than 50% of
first-half bookings were made on this type of contract. Half-year
revenue thus totaled €7.1m, representing an organic decrease of
32.6% compared with the first half of 2022, which represented a
high basis of comparison with more than €3.0m of upfront revenue
recognized at that time.
Comments on net profit for the first half of 2023
Profit from recurring operations was €14.7m in H1 2023, or 10.1%
of revenue, up significantly compared to 1.8% (€2.5m) in H1 2022.
It includes amortization of allocated intangible assets of €1.7m
and a share-based payment expense of €1.4m.
Operating profit for the half-year was €11.2m, or 7.7% of
revenue, also up strongly from the €1.1m, or 0.8% of revenue in H1
2022.
Net profit for the period was €3.7m, representing 2.5% of
revenue compared to 1.8% in H1 2022.
Basic earnings per share were €0.17 for the period, up from
€0.11 in H1 2022.
Financial position at June 30, 2023
At June 30, 2023, Axway's financial position was solid, with
cash of €14.2m and bank debt of €87.5m.
As expected, following the transition to a subscription-based
business model, Axway’s free cash flow started to improve in H1
2023 reaching €16.5m, compared to €8.2m a year earlier.
Shareholders' equity stood at €314.6m at June 30, 2022, compared
to €381.1m at the end of June 2022.
Axway’s bank lines, in place through 2027, provide financing of
up to €125.0m. Axway highlights that, if necessary, it has access
to available financing capacity under its existing revolving credit
facility.
Change in the workforce
At June 30, 2023, Axway had 1,457 employees compared to 1,525 at
December 31, 2022.
2023 Targets & Outlook
For 2023, Axway confirms its annual objectives of organic
revenue growth of between 0 and 3% and further improvement of
profit on operating activities to reach 15 to 18% of revenue.
Axway's medium-term ambitions remain:
- to achieve revenue of €500m through organic growth and
acquisitions;
- to deliver a profit on operating activities approaching 20% of
revenue.
Today, Wednesday, July 26, 2023, 6.30 p.m.
(UTC+2)
2023 Half-Year Results Virtual Analyst
Conference
- Conference registration: Click here Or join by phone by
dialing one of the numbers below and announcing "Axway" at the
operator's request:
- International: +44 (0) 33 0551 0200
- France: +33 (0) 1 70 37 71 66
- USA: +1 786 697 3501
Please note that the meeting will be held in
English.
Financial Calendar
Friday, August 4, 2023: Filing of the 2023 Half-Year Financial
Report
Thursday, October 26, 2023, before market opening: Publication
of Q3 2023 Revenue
Glossary and Alternative Performance Measures
ACV: Annual Contract Value – Annual
contract value of a subscription agreement.
ARR: Annual Recurring Revenue –
Expected annual billing amounts from all active maintenance and
subscription agreements.
Employee Engagement Score:
Measurement of employee engagement through an independent annual
survey.
Growth at constant exchange rates:
Growth in revenue between the period under review and the prior
period restated for exchange rate impacts.
NPS: Net Promoter Score – Customer
satisfaction and recommendation indicator for a company.
Organic growth: Growth in revenue
between the period under review and the prior period, restated for
consolidation scope and exchange rate impacts.
Profit on operating activities:
Profit from recurring operations adjusted for the non-cash
share-based payment expense, as well as the amortization of
allocated intangible assets.
Restated revenue: Revenue for the
prior year, adjusted for the consolidation scope and exchange rates
of the current year.
TCV: Total Contract Value – Full
contracted value of a subscription agreement over the contract
term.
Disclaimer
This press release contains forward-looking statements that may
be subject to various risks and uncertainties concerning Axway’s
growth and profitability, notably in the event of future
acquisitions. Axway highlights that signature of contracts, which
represent investments for customers, are more significant in the
second half of the year and may therefore have a more or less
favorable impact on full-year performance. In addition, Axway notes
that potential acquisition(s) could also impact this financial
data. Furthermore, activity during the year and/or actual results
may differ from those described in this document as a result of a
number of risks and uncertainties set out in the 2021 Universal
Registration Document filed with the French Financial Markets
Authority (Autorité des Marchés Financiers, AMF) on March 24, 2022,
under number D.22-0145. The distribution of this document in
certain countries may be subject to prevailing laws and
regulations. Natural persons present in these countries and in
which this document is disseminated, published, or distributed,
should obtain information about such restrictions, and comply with
them.
About Axway
Axway enables enterprises to securely open everything by
integrating and moving data across a complex world of new and old
technologies. Axway’s API-driven B2B integration and MFT software,
refined over 20 years, complements Axway Amplify, an open API
management platform that makes APIs easier to discover and reuse
across multiple teams, vendors, and cloud environments. Axway has
helped over 11,000 businesses unlock the full value of their
existing digital ecosystems to create brilliant experiences,
innovate new services, and reach new markets. Learn more at
axway.com
Appendices (1/4)
Axway Software: Revenue by business line 1st
Quarter 2023 (€m) Q1 2023 Q1 2022Restated* Q1
2022Reported TotalGrowth OrganicGrowth License
2.1
3.5
3.7
-42.6%
-39.5%
Subscription
37.8
24.7
26.4
43.1%
53.1%
Maintenance
22.5
27.9
27.9
-19.5%
-19.6%
Services
9.5
9.0
9.0
6.1%
5.4%
Axway Software
71.8
65.1
66.9
7.3%
10.3%
2nd Quarter 2023 (€m) Q2 2023 Q2
2022Restated* Q2 2022Reported TotalGrowth
OrganicGrowth License
0.9
1.9
2.6
-66.6%
-54.8%
Subscription
40.9
27.6
29.5
38.7%
48.2%
Maintenance
22.1
27.2
28.1
-21.3%
-18.6%
Services
9.7
9.1
9.3
4.5%
6.0%
Axway Software
73.6
65.9
69.5
5.9%
11.7%
* Revenue at 2023 scope and exchange rates
Axway Software:
Revenue by geographic area 1st Quarter 2023 (€m)
Q1 2023 Q1 2022Restated* Q1 2022Reported
TotalGrowth OrganicGrowth France
24.7
17.9
18.1
36.2%
38.3%
Rest of Europe
13.5
12.6
13.2
1.7%
6.9%
Americas
30.9
29.3
30.3
1.9%
5.2%
Asia/Pacific
2.8
5.3
5.3
-46.8%
-47.4%
Axway Software
71.8
65.1
66.9
7.3%
10.3%
2nd Quarter 2023 (€m) Q2 2023 Q2
2022Restated* Q2 2022Reported TotalGrowth
OrganicGrowth France
20.8
19.4
19.6
6.0%
7.2%
Rest of Europe
22.2
14.0
14.0
58.7%
58.8%
Americas
26.4
27.4
30.5
-13.6%
-3.6%
Asia/Pacific
4.3
5.2
5.4
-20.7%
-17.3%
Axway Software
73.6
65.9
69.5
5.9%
11.7%
* Revenue at 2023 scope and exchange rates
Appendices (2/4)
Axway Software : Consolidated Income Statement
Half-year 2023 H1 2023 H1 2022 Full-year
2022 €m % Rev. €m % Rev. €m % Rev.
Revenue
145.5
136.4
314.0
of which License
3.0
6.3
11.6
of which Subscription
78.7
55.9
154.0
of which Maintenance
44.6
56.0
111.2
Sub-total License, Subscription & Maintenance
126.3
118.2
276.7
Services
19.2
18.2
37.3
Cost of sales
42.9
45.8
91.4
of which License and Maintenance
10.8
13.4
26.4
of which Subscription
14.2
14.5
29.4
of which Services
17.9
17.9
35.6
Gross profit
102.6
70.5%
90.6
66.4%
222.6
70.8%
Operating expenses
84.8
83.9
176.4
of which Sales and marketing
42.1
42.8
93.2
of which Research and development
29.4
28.2
57.3
of which General and administrative
13.3
12.9
25.9
Profit on operating activities
17.8
12.2%
6.7
4.9%
46.3
11.5%
Share-based payment expense
-1.4
-1.3
-3.4
Amortization of intangible assets
-1.7
-2.9
-5.5
Profit from recurring operations
14.7
10.1%
2.5
1.8%
37.4
7.0%
Other income and expenses
-3.5
-1.4
-83.8
Operating profit
11.2
7.7%
1.1
0.8%
-46.4
6.1%
Cost of net financial debt
-2.1
-0.7
-2.1
Other financial revenues and expenses
0.4
1.0
1.0
Income taxes
-5.9
1.1
7.4
Net profit
3.7
2.5%
2.4
1.8%
-40.0
3.4%
Basic earnings per share (in €)
0.17
0.11
-1.85
Appendices (3/4)
Axway Software: Simplified Balance Sheet Half-year
2023 6/30/2023 6/30/2022 12/31/2022 (€m)
(€m) (€m)
Assets Goodwill
299.3
383.7
297.8
Intangible assets
6.9
13.0
8.7
Property, plant and equipment
10.4
13.2
12.5
Lease right-of-use assets
12.9
21.7
20.1
Other non-current assets
32.6
26.5
34.9
Non-current assets
362.1
458.2
374.0
Trade receivables
135.2
106.8
148.1
Other current assets
34.0
36.0
30.6
Cash and cash equivalents
14.2
19.5
18.3
Current assets
183.4
162.3
197.1
Total Assets
545.4
620.5
571.1
Equity and Liabilities Share capital
43.3
43.3
43.3
Reserves and net profit
271.4
337.8
284.5
Total Equity
314.6
381.1
327.8
Financial debt - long-term portion
83.8
76.1
84.6
Lease liabilities - long-term portion
13.2
25.7
23.5
Other non-current liabilities
14.1
11.7
11.7
Non-current liabilities
111.2
113.4
119.8
Financial debt - short-term portion
3.7
2.3
3.2
Lease liabilities - short-term portion
6.1
5.6
5.8
Deferred Revenues
66.5
78.8
55.6
Other current liabilities
43.3
39.3
58.9
Current liabilities
119.7
126.0
123.5
Total Liabilities
230.8
239.4
243.3
Total Equity and Liabilities
545.4
620.5
571.1
Appendices (4/4)
Axway Software: Cash Flow Statement Half-year
2023 H1 2023 H1 2022 Full-year 2022
(€m) (€m) (€m) Net profit for the
period
3.7
2.4
-40.0
Net charges to amortization, depreciation and provisions
9.4
8.8
16.5
Other income and expense items
-1.0
1.6
85.3
Cash from operations after cost of net debt and tax
12.2
12.8
61.8
Change in operating working capital requirements (incl. employee
benefits liability)
4.5
2.3
-41.0
Cost of net financial debt
2.1
0.7
2.1
Income tax paid net of accrual
4.4
-2.7
-10.0
Net cash from operating activities
23.1
13.1
13.0
Net cash used in investing activities
-8.6
-9.7
-11.1
Purchases and proceeds from disposal of treasury shares
-4.4
-8.6
-13.7
Dividends paid
-8.4
-8.5
-8.5
Change in loans
-0.4
10.5
20.7
Change in lease liabilities
-3.5
-3.7
-7.2
Net interest paid
-1.6
-0.4
-1.2
Other flows
-0.3
0.2
0.6
Net cash from (used in) financing activities
-18.6
-10.5
-9.4
Effect of foreign exchange rate changes
-0.1
1.0
0.7
Net change in cash and cash equivalents
-4.2
-6.1
-6.9
Opening cash position
18.3
25.2
25.2
Closing cash position
14.2
19.1
18.3
Axway Software: Impact on revenue of changes in scope and
exchange rates Half-year 2023 (€m) H1 2023
H1 2022 Growth Revenue
145.5
136.4
6.6%
Changes in exchange rates +0.4
Revenue at constant exchange
rates
145.5
136.8
6.3%
Changes in scope
-5.8
Revenue at constant scope and exchange rates
145.5
131.0
11.0%
Axway Software: Changes in exchange rates
Half-year 2023For 1€ Average rateH1 2023 Average
rateH1 2022 Change US Dollar
1.081
1.093
+ 1.2%
1 The interim consolidated financial statements were subject to
limited review procedures. The limited review report is in the
process of being issued by the auditors.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230726763162/en/
Investor Relations: Arthur Carli – +33 (0)1 47 17 24 65 –
acarli@axway.com
Axway Software (EU:AXW)
過去 株価チャート
から 4 2024 まで 5 2024
Axway Software (EU:AXW)
過去 株価チャート
から 5 2023 まで 5 2024