Company Announcement No. 26-2021
Copenhagen, 25 November 2021
Financial report for the period 1 July 2021 - 30 September 2021
Penneo maintains ARR guidance for 2021 announced in Company Announcement No. 24-2021 of 54-57M DKK, which corresponds to a year-on-year growth rate of 46%-54%.
Growth aspirations before the end of 2022-Q1
In 2022, Penneo continues to invest in long term ARR growth and expects to pursue its growth ambitions in accordance with the announced expansion strategy in the IPO document and the updated strategy of Company Announcement No. 16-2021. Consequently, Penneo aspires to realise a year-on-year ARR growth rate of 40-60% for the year 2022.
Addressing temporary challenges in 2021-Q3
The lower inflow of new customers is attributable to a combination of the following two items:
Automating the lead-to-cash cycle
Penneo initiated a process to automate certain touchpoints in the customer journey to secure long term scalability, however this led to a short term decrease in closing rates. This has now been mitigated, but has affected 2021-Q3.
Higher than expected turnover of commercial staff In 2021-Q3
The turnover negatively affected the inflow of new customers. Replacement employees have been hired.
Raising growth capital to execute the updated strategy
Penneo was listed on First North on 2 June 2020 and has since the listing realised healthy SaaS metrics and ARR growth rates above 50%, supporting readiness to invest in accelerating growth. Consequently, and as announced in Company Announcement No. 16-2021, Penneo updated the strategy with continued growth aspirations by focusing on the strategic customer segments through three investment streams and plans to seek additional growth capital of up to 100M DKK.
The execution of the updated strategy will be accelerated through additional growth capital, which is to be invested in sales, product development and business operations. Raising additional capital is progressing according to the announced plan.
The 2021-Q3 report will be presented at an online conference on 25 November 2021 at 2:00pm CET.
Register for the conference at: https://hcandersencapital643.clickmeeting.com/penneo-praesentation-af-q3-kvartalsregnskabet/register
For more details please see the interim report attached.
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