Rimini Street has announced strong results for the first quarter, stating it remains on track to achieve its strategic growth plan of reaching $1bn in annual revenue by 2026. The company achieved record quarterly revenue of $87.9m, up 12.6 percent year on year, a record active client count of 2,550, up 22.8 percent year on year, and delivered a gross margin greater than 61 percent.
Annual recurring revenue was $349m for the first quarter, an increase of 12.8 percent compared to $310m for the same period last year, and the company ended the quarter with strong billings growth of 24.2 percent. It continued making investments to take advantage of growing global demand for Rimini Street’s expanded breadth of support solutions, including its support, application management, security, interoperability, monitoring and professional services.
Michael L. Perica, chief financial officer at Rimini Street, said: “We further strengthened the balance sheet with record cash of $153m and generated $24.5m of operating cash flow for the quarter. We are issuing guidance for the second quarter ending 30 June 2021, maintaining full year 2021 guidance and reaffirming our continued commitment to the long-term goals of increasing operating cash flow and growing GAAP profitability.” Q2 2021 revenue guidance is expected to be in the range of $88.5m to $90.5m. The company is maintaining full year revenue guidance to be in the range of $370m to $380m.