Q4 2019 was once again an excellent quarter for Visma, with continued top-line revenue growth and profit growth. Total revenue grew 21,9 percent to reach NOK 4 197 million, while EBITDA grew 24,3 percent to NOK 1 149 million.
Growth by division
Each of Visma’s four core divisions delivered double-digit revenue growth year-on-year in Q4. The SMB Division grew revenue by 17 percent, Enterprise by 11 percent, Custom Solutions by an impressive 53 percent, and Commerce Solutions by 25 percent compared to the fourth quarter one year ago.
Continued cloud growth
Annualised Cloud revenue grew by 31 percent year-on-year in Q4, reaching an annualised run rate of NOK 12 200 million. Annualized Cloud revenue continues to grow at a faster pace than revenue.
SaaS customer contracts have also grown substantially year-on-year, the result of both strategic focus in the business units and targeted acquisitions. In Q4, Visma reached nearly 1 million customer contracts, of which more than 700 000 are for SaaS products. This figure is 22% percent higher than SaaS contracts last year.
Three new acquisitions
Visma finished Q4 with three new acquisitions for the quarter, bringing the number of acquired companies during 2019 to a total of 20. One is Netherlands-based VerzuimSignaal, which offers absence management software and promises to be a key complement to Dotweb acquired earlier this year. In Norway, Visma acquired fast-growing PowerOffice to strengthen its cloud offering for accounting practices and small businesses. Finally, with the acquisition of Sweden-based Inyett, Visma enhances its fraud-prevention offering by providing customers automated checks of supplier payments.