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TechOne surges in New Zealand as SaaS drives sales overall

SaaS revenue gains are way ahead of overall sales increases for Aussie firm
TechnologyOne CEO, Edward Chung,

TechnologyOne CEO, Edward Chung,

Australia-based enterprise resource planning software house TechnologyOne has seen sales in New Zealand surge year-on-year.

The ASX-listed company today reported strong results, including for its Asia/Pacific region that showed revenues up from a restated $26.8 million in the year to the end of September 2018 to $35.4 million in the current year.

A comparison between results posted on the New Zealand Companies Office and the ASX indicates the vast bulk of TechnologyOne's Asia Pacific region revenue comes out of New Zealand.

The company announced on the ASX that overall SaaS sales were driving growth with profit up 208 per cent to A$76.4 million.

SaaS annual recurring revenue reached A$102 million, up 44 per cent, while overall revenue was A$286 million, up 13 per cent.

Technology One CEO Edward Chung said the company now had 435 customers on its SaaS ERP solution, making it the largest single instance SaaS ERP offering in Australia.

In April, Hastings-based Unison Networks opted to roll out Technology One's OneEnergy suite to replace its SAP software, for which ongoing support after 2025 was threatened.

Last year the company scored a SaaS win at the government's central agency shared services unit for HR and payroll services.

It also picked up business at the Tamaki Redevelopment Company, which reported it completed the implementation of a new TechnologyOne ERP system during its 2018 financial year.

"The initial budget for the project was $286k and the final actual expenditure for the project was $305k," the agency said. "The initial estimated go live date which was achieved was 1 July 2018. The project timeframe was three months and was achieved."