IFS, the rising leader in global cloud enterprise applications, today announced its financial results for the full year ending 31 December 2022.
Software revenue growth for the firm rose by 28 percent year-on-year to SEK 6.6bn. Cloud revenue growth was up 80 percent as existing and new customers switched to IFS Cloud, accelerated with the launch of Arcwide in April last year.
Annual recurring revenue was up 57 percent year-on-year, with the rise driven by bookings from new customers. Net revenue was 8.4bn, representing a 19 percent increase on 2021 figures.
It marks the fifth consecutive year IFS has secured strong double-digit revenue growth. The firm attributes its success to its evergreen model, with its twice-yearly release cycle allowing IFS more than 10,000 customers to adopt regular updates while negating the need for costly upgrades. New customers are currently averaging 9.5 months from contract to value.
The IFS partner ecosystem also grew 65 percent year-on-year, and participated in over 50 percent of implementations, with over two-thirds of its largest partners signing up to the IFS partner success program following its launch in Q1.
The 2022 financial year also saw IFS win several awards for its software, notably ERP Today’s Vendor of the year award, as well as the Gartner Magic Quadrant for Field Service Management, which IFS maintained for the ninth year running.
IFS CEO Darren Roos said: “For IFS, 2022 was a year characterized by acceleration. We increased our headcount to over 5,500 employees, reached a significant landmark in revenue at $1bn and outpaced our competitors by delivering double-digit growth for the fifth consecutive year.
“Quarter after quarter, our leadership in capabilities and in time to value enabled us to build on our performance.” Roos continued, “2023 will be an exciting year as we continue to bring together our employees, our partners and our products and industry expertise across FSM, EAM, and ERP so that our customers can create value faster and deliver their best to their customers when it matters most, at the moment of service.”
IFS chief financial officer, Constance Minc, said: “In 2022, IFS has shown resilience and consistency; despite the macroeconomic headwinds we have accelerated our growth across our key metrics for the group. Growing our cloud revenue at 80 percent year-on-year and our annual recurring revenue at 57 percent year-on-year in challenging market conditions demonstrates a level of robustness and reliability that’s a testament to our relevance and customer focus.”