30.3.2023 09:25:03 CEST | Risma Systems A/S |
Annual report
RISMA Systems A/S closes 2022 with an Annual Recurring Revenue at 22.7 MDKK equivalent to a growth of 49% and EBITDA at -19.8 MDKK within guidance
Company Announcement No 5-2023
Copenhagen, 30 March, 2023.
Key figures Full Year 2022
Annual Recurring Revenue increased by 7.4 MDKK equivalent to 49% increase and ended at 22.7 MDKK for 2022 from 15.3 MDKK in 2021
New sales ended at 6.2 MDKK in 2022 compared to 3.1 MDKK in 2021
Upselling ended at 2.8 MDKK in 2022, which was approx. 5 times higher level than last year at 0.5 MDKK
Revenue churn for the full year 2022 was 7% which was at the same level as in 2021
Net Revenue Retention Rate ended at 107% in 2022 which was 11%-points increase compared to 2021, which ended at 96%
Revenue increased by 49% and ended at 22.3 MDKK for 2022 from 14.9 MDKK in 2021
EBITDA ended at -19.8 MDKK which was at the same level as in 2021
Guidance for 2023
RISMA confirms 2023 ARR guidance of 34-38 MDKK and EBITDA of -9 to -13 MDKK. An ARR of 34-38MDKK by end of 2023 corresponds to year-on-year growth rate between 50% and 70%.
Business Update
RISMA had a satisfying 2022. The year-on-year growth in ARR improved from 20% end of 2021 to 49% end of 2022.
The growth was primarily related to solutions embedded in RISMA’s GRC-suite. This is, for example, products like GDPR, IT-security, Enterprise Risk Management and Contract Management. The majority of the growth came from the Danish market, but Norway contributed significantly as from June 2022. In Sweden, a pipeline was established, and we foresee that the Swedish market will a great driver for RISMAs growth as from Q1 2023.
Looking into 2023, we expect a new business area, ESG (sustainability), to become a significant contributor to RISMAs growth. RISMA launched a new ESG-related product, CSRD, in February 2023. By end of March 2023, the first solutions have been sold in Denmark and a strong pipeline has been built in Denmark and Sweden. We expect the new CSRD solution to be a significant growth driver in the remaining part of 2023 and in 2024, especially H2 2023 and H1 2024. We also expect a new IT-security-related solution, NIS2, and a Norwegian ESG related solution, Åpenhetsloven, to contribute to RISMAs growth, especially from H2 2023 and H1 2024.
In Q3 2022, we changed the sales organization, merging direct sales with the partner team. In the process, we also performed a cost cut. This resulted in a slightly better EBITDA than anticipated for 2022. With the cost cut and capital raise performed in Q4 2022, RISMA has secured a solid capital base going into 2023 and beyond.
In Q4 2022, we strengthened our customer implementation team to be able to manage a higher customer intake. We have seen an increase in marketing generated leads in the last months of 2022 and the first months of 2023, and are taking steps to further increase the number of inbound leads. We follow this development and continuously consider the need for more sales resources.
RISMA still expects cash positive operation in Q4 2023 and cash neutral or positive operation in 2024.
The annual report 2022 in included in this announcement and can be found on RISMA Systems investor website.
Further InformationLars Nybro Munksgaard, CEO & FounderMobile (+45) 31 48 11 00e-mail: lnm@rismasystems.comRISMA Systems A/SEjby Industrivej 34-38, 2600 Glostrup, Denmark
Certified AdvisorGrant ThorntonJesper Skaarup VestergaardDirect (+45) 35 27 50 11, Mobile (+45) 31 79 90 00Grant ThorntonStockholmsgade 45, 2100 Copenhagen Ø, Denmark
About Risma Systems A/S
RISMA is a leading SaaS company helping organizations structure, handle, and document their efforts across the business-critical areas of Governance, Risk, and Compliance. RISMA’s unique and user-friendly GRC suite makes cross-organizational collaboration easy to demonstrate and report on regulations and standards such as GDPR & Privacy, ISMS, Risk Management, Financial Controls, ESG and sustainability – and much more. RISMA is listed on Nasdaq First North with a mission to become a leading GRC platform for medium and enterprise businesses and organizations.
Attachments
Download announcement as PDF.pdf
RISMA_Annual_Report_2022.pdf
