Esker Q2 2012 Sales Activity
Cloud-based solutions drive growth
Madison, WI – July 18, 2012
A record second quarter
In Q2 2012, Esker achieved its second best quarter in company history with sales revenue increasing 13% — based on a current exchange rate and 5% based on a fixed rate — over a strong Q2 2011 (+10%). These excellent results, attained in an imperfect economic climate, can largely be attributed to the success of Esker’s document process automation solutions (+11%) as well as the shrinking gap between the euro and the U.S. dollar.
Cloud-based solutions still climbing
During economic downswings, companies will often abandon their traditional software license projects or, at best, put them on hold. Cloud-based solutions require less capital and offer a faster return on investment. Esker on-demand solutions (i.e., FlyDoc and Esker on Demand) grew at a steady rate (+27%), representing over half of the company’s activity this quarter (54%). Cloud-based solutions alone grew by over 1.3 million euros in Q2 2012, and new cloud computing contracts have continued to grow since 2011, despite a sluggish economy. This continued success positions Esker to achieve sustainable and profitable growth throughout the upcoming years.
A profitable first half
Strong sales in the first half of 2012, coupled with rigorous spending controls and a significant increase in the U.S. dollar, will enable Esker to realize an increase in operating income over the same period in 2011. As of June 30, 2012, company cash rests at over 10.9 million euros (versus 8.7 million euros on June 30, 2011, after dividend payment (552k euros)).
Positive outlook for 2012
Factors such as recurring revenue (over 70%), the persistent rate at which Esker continues to sign new contracts, and a stronger U.S. dollar will be instrumental in achieving growth of 10% over the course of 2012 — a trend confirmed by the excellent results of this first half of the year.
About Esker
Esker is the worldwide leader in document process automation solutions. Addressing all types of business processes — from accounts payable and accounts receivable to sales order processing and procurement — Esker cloud computing solutions enable companies to automate the reception, processing and sending of any business document with one platform. Esker helps over 80,000 companies across the world to reduce the use of paper and eliminate manual processes while improving their productivity, efficiency and environmental impact.
With 36 million euros in sales revenue in 2011, Esker operates in North America, Europe and Asia Pacific with global headquarters in Lyon, France and U.S. headquarters in Madison, Wisconsin. Esker is listed on the NYSE Alternext in Paris (Code ISIN FR0000035818). For more information, visit www.esker.com. Follow Esker on Twitter at twitter.com/eskerinc and join the conversation on the Esker blog at www.quitpaper.com.