SAS Institute's NZ sales surge in 2019, but profits not so much
- 21 June, 2020 19:55
Data analytics software specialist SAS Institute NZ enjoyed a nearly 40 per cent surge in sales in the year ended 31 December 2019.
Sales were up from $21.7 million to $30.3 million, however, cost of sales moved almost in lockstep, reducing the impact on both gross and net profit.
Inter-company royalties due to SAS Institute NZ's North Carolina-based parent, for instance, increased from $9.6 million to $14 million, during the year.
Gross profit lifted 13 per cent from $7.5 million to $8.5 million while net profit after tax was up 5.4 per cent from $539,000 in 2018 to $568,000.
Most of the sales increase came from software, with services revenue only slightly up from $12 million to $12.5 million.
A disclosure from Inland Revenue also revealed it had awarded three contracts to SAS during the nine months ended 31 March with a total value of just under $10 million.
SAS Institute declined to comment on the local results.