Tecsys Inc., an industry-leading supply chain management SaaS company, announced its results for the fourth quarter and full year of fiscal year 2021, ended April 30, 2021. All dollar amounts are expressed in Canadian currency and are prepared in accordance with International Financial Reporting Standards (IFRS).
Fourth Quarter Highlights:
- SaaS revenue increased by 107% to $5.5 million in Q4 2021, up from $2.7 million in Q4 2020.
- Cloud, maintenance and subscription revenue increased 30% year-over-year to $13.8 million in Q4 2021, up from $10.6 million in Q4 2020. The performance was primarily driven by SaaS.
- Annual Recurring Revenue (ARRi) at April 30, 2021 was up 9% to $52.5 million compared to $48.1 million at April 30, 2020 and up 6% sequentially from January 31, 2021 on a constant currency basis.
- During Q4 2021, SaaS subscription bookingsi(measured on an ARRi basis) were $3.5 million, down 14% compared to a record $4.1 million in the fourth quarter of 2020 but up 252% sequentially from $1.0 million in Q3 2021.
- Professional services revenue was up 12% to $12.1 million in Q4 2021 compared to $10.8 million in Q4 2020.
- Total revenue was a record $32.4 million, 17% higher than $27.7 million reported for Q4 2020.
- Gross margin was 49% compared to 46% in the prior year quarter. Total gross profit increased to $15.7 million, up 22% from $12.9 million in Q4 2020.
- Operating expenses increased to $13.1 million, higher by $0.8 million or 6% compared to $12.3 million in Q4 fiscal 2020 with continuing investment in sales and marketing as well as research and development.
- Profit from operations in Q4 2021 was $2.6 million, up 343% from $0.6 million in Q4 2020.
- Net profit was $2.0 million or $0.14 per share on a fully diluted basis in Q4 2021 compared to a net profit of $0.4 million or $0.03 per share for the same period in fiscal 2020.
- Adjusted EBITDAiiwas $3.9 million in Q4 2021, up 101% compared to $2.0 million reported in Q4 2020.
“We are pleased by our record results as we wrap up an extraordinary year. Our performance for the fourth quarter of fiscal 2021, as well as full year, is a testament to the need for truly adaptable and agile solutions. It was humbling to watch our clients adapt their businesses with the help of our solutions in the midst of a pandemic,” said Peter Brereton, president and CEO of Tecsys Inc. “As we report our ninth straight quarter of record revenue, as well as several notable wins over the last year, we are ready to hit the ground running into FY22 with a very strong pipeline. Our strategy to transition to a SaaS model is proving to be a home run for Tecsys.”
Mark Bentler, chief financial officer of Tecsys Inc., added, “Our revenue mix continues to arc towards SaaS across both new accounts and existing account expansions and migrations. This accelerating transition is improving the quality and consistency of our revenue streams and increasing the lifetime value of our customer base.”
Fiscal 2021 Highlights:
- SaaS revenue fiscal 2021 increased 113% to $19.2 million, up from $9.0 million in fiscal 2020.
- Cloud, maintenance and subscription revenue increased 29% year-over-year to $52.9 million in fiscal 2021, up from $41.1 million in fiscal 2020, driven primarily by SaaS revenue.
- SaaS subscription bookingsiincreased 9% to $9.5 million in fiscal 2021 compared to $8.8 million in fiscal 2020.
- Professional services revenue was up 17% to $47.4 million in fiscal 2021 compared to $40.6 million in fiscal 2020.
- Revenue for fiscal 2021 was $123.1 million, up 17% from $104.9 million reported in fiscal 2020.
- Total gross profit increased to $60.6 million, up $10.3 million or 20% in fiscal 2021 compared to $50.3 million in the same period last year.
- Total gross profit margin was 49% in fiscal 2021 compared to 48% for fiscal 2020.
- Net profit for fiscal 2021 was $7.2 million, or $0.49 per diluted share, compared to a profit $2.3 million or $0.18 per share, for fiscal 2020.
- Adjusted EBITDAiifor fiscal 2021 was $16.2 million, up 58% compared to $10.3 million for fiscal 2020.
On June 29, 2021, the Company declared a quarterly dividend of $0.065 per share payable on August 6, 2021 to shareholders of record at the close of business on July 16, 2021.
Pursuant to the Canadian Income Tax Act, dividends paid by the Company to Canadian residents are considered to be “eligible” dividends.
