Organic growth: +5%
Solid Cloud performance: +8% SaaS revenues
Reinforcement of 'Target25' strategy
ORGANIC GROWTH OF 5%
| First Half (non-audited) Turnover (in € 000's) | 2014 | 2013 | Variation |
| Sidetrade Network Turnover | 5.36 | 4.98 | 8% |
| Consolidated Turnover | 6.94 | 6.61 | 5% |
Sidetrade achieved turnover of €6.94 million during the first half of 2014, representing organic growth of 5%. This increase outperformed the wider Software and Information Services market, forecasted at 1.1% for 2014 (source: Syntec Numérique).
The first half of 2014 saw performance held back by:
- The continued migration of Sage FRP Collect accounts acquired at the start of 2013 (2014 H1: - €0.16 million) to the SaaS model.
- The exit from Treasury Consulting activities (2014 H1: - €0.13 million).
Adjusting for these factors, overall growth of 9% was achieved, 11% for the Sidetrade Network business alone.
The base effect of the above items will have a continued impact throughout the 2014 trading period.
SOLID CLOUD PERFORMANCE: +8% Saas revenues
SaaS subscription revenues posted 8% growth (11% like-for-like) over the period (€5.36 million versus €4.98 million for 2013 first half). The product-mix continues to develop towards Cloud-related revenue streams, with the Sidetrade Network business now representing more than 77% of Group Turnover.
Major commercial successes for the period include Loxam Morocco, Bonna Sabla, Emeraude, The Soufflet Group (France and Belgium), Primagaz, Capio, Cofely Italy (GDF-Suez), Norbert Dentressangle UK, Geodis Wilson (UAE, Hong Kong, Qatar).
REINFORCEMENT OF 'TARGET25' STRATEGY
Sidetrade has reinforced its investment commitment in Europe, in line with the strategic plan.
Under the auspices of Target25 Innovation, the Group has redoubled R&D efforts to enhance the Euler Hermes Intelligence by Sidetrade solution, targeting the French market. This partnership with Euler Hermes, the world leader in credit insurance, has been extended to the UK through a collaborative innovation programme and dedicated commercial launch. In parallel, Sidetrade is progressing in the Big Data space, with the creation of a dedicated research team in this area.
At the international level, Sidetrade has built the foundations to accelerate the deployment of its pan-European platform in Dublin by 1) establishing a team of twenty multilingual cross-disciplinary employees, and 2) relocating to new premises capable of supporting the expected growth of services and associated headcount. In terms of Sales and Marketing capability, seven business engineers have joined the group over the first half, bolstering productive capacity in readiness for 2015.
Management is confident of the Group's ability to post overall growth through the 2014 period.
