Kinaxis experienced “growth across all fundamentals” of its business in the first three months of 2016, CEO John Sicard said when the company announced its first-quarter results earlier this week.
“This momentum continues to be driven by a consistent and growing base of subscription revenue and robust professional services revenues as we engage with our customers on deeper deployments,” Mr. Sicard, who took over as chief executive in January, said in a statement.
Kinaxis reported first-quarter revenue of $27 million US, an increase of 37 per cent year-over-year. Subscription revenue also jumped substantially to $18.5 million, a 20 per cent hike from the same period in 2015, due to new contracts secured in the last year as well as the expansion of existing subscriptions, the company said.
The firm’s gross profit of $18.9 million was up 36 per cent year-over-year, while its adjusted earnings increased 44 per cent to $8 million.
As of March 31, Kinaxis had $108.3 million in cash and cash equivalents, up from $99.4 million at the end of the previous quarter.
The company also updated its full-year guidance and is now projecting total revenue for 2016 between $108 million and $111 million. Subscription revenue is expected to grow between 20 per cent and 22 percent.
“Our strategic partnerships together with our proven land and expand strategy position us to deliver continued strong results,” Mr. Sicard said.