Heidelberg, May 20, 2021 – Datavard did finish the financial year 2020 very well.
The software and consulting company generated total sales of 17.6 million euros and was able to grow by 4% compared to the previous year. Thanks to prudent cost management, the EBIT margin was in the high single digits. The outlook for the current year 2021 is even more positive. Datavard is planning sales of 21 million euros.
“The investments into transforming Datavard into a technology provider are showing first results and our medium- and long-term corporate strategy is paying off,” said Gregor Stoeckler, CEO of Datavard. “Nevertheless, the general conditions in 2020 were of course also a great challenge for us. But we have consistently implemented our strategy and acted very cautious. All employees did a super job – under conditions that were not easy. In short, we are very satisfied with both the result and the way we got there.”
Datavard is specialized in data management and transformation services for SAP landscapes and is supporting companies migrating to SAP S/4HANA, modernizing analytics landscapes as well as executing mergers & acquisitions, carve-out and company splits. The global working group “SAP S/4HANA Selective Data Transition Engagement” where Datavard together with SAP and three other consulting firms is founding member, helped to strengthen the market position.
Datavard offers solutions for data lifecycle management, business intelligence and analytics, as well as innovative SAP applications in the areas of artificial intelligence, machine learning and the Internet of Things. “We continue to see very good order income in all areas of our portfolio and are successively winning new customers,” explains Peter Kuhl, CFO of Datavard. “Currently, the ratio of incoming orders to sales – the so-called book-to-bill ratio is stable above 1.5.”
In addition to further streamlining the portfolio, Datavard was also further advancing its go-to-market strategy. For the software business, the company successfully expanded indirect sales with and through partners. As a result, Datavard works with national and international players such as Accenture, AppDynamics, Google and Microsoft. This made it possible to increase the software share of total sales to 42 percent – and the trend is rising.
Business was good overall, with winning important new customers as well as expanding business with existing customers. Especially in the regions DACH and EMEA, Datavard was able to grow by 20% compared to the previous year. The USA and Asia-Pacific regions were more strongly impacted by the economic effects of the Corona pandemic, but also by the dollar exchange rate, and were slightly below the previous year.
Dr. Stefan Elsser, Chairman of the Supervisory Board of Datavard AG and founder and partner of the investment company Marondo Capital, comments: “We would like to thank the management and all employees for the excellent result in the past year. The development of sales and profitability prove that we have invested in a strong company with innovative power and great growth opportunities.”
The market environment for Datavard is currently better than ever. Various market studies show that more and more SAP customers will migrate to SAP S/4HANA and the cloud, and that the number of mergers and acquisitions will increase significantly after the Corona pandemic. Datavard intends to profit from this in the long term. “We are very well positioned in the SAP market, have a software & service portfolio that is in demand, are represented with locations in all parts of the world and are building on strong relationship with our partners.,” says Gregor Stoeckler, describing the positive outlook for the current fiscal year. In the past 1st quarter, Datavard grew by 16% compared to the previous year and increased its planning for the full year 2021 to 21 million euros in sales – with a double-digit EBIT margin.
Datavard is an innovative provider of intelligent solutions for SAP data management (archiving, legacy system decommissioning, SAP data integration), SAP S/4HANA migration, data warehouse modernization and Big Data. As a trusted SAP partner with over 20 years of expertise, Datavard helps companies worldwide run their SAP systems leanly, efficiently, and profitably. Datavard is headquartered in Heidelberg, Germany, with offices in EMEA, the US and Asia. For more information, visit www.datavard.com or social media: Xing, LinkedIn, Instagram and blog.
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