News

Ailleron with record-high revenue for 2021 in every segment of operations

In 2021, Ailleron recorded a consolidated revenue on sales of PLN 216.8M and generated PLN 17.1M of net profit, significantly improving its results in all segments of operations. The Group reported an EBITDA of PLN 35.8M, which is nearly 50% more than in the previous year. Net profit increased by more than 81% y/y, while revenue by nearly 39%. The company has an optimistic outlook for the coming quarters due to the high potential of the new version of LiveBank, the dynamically developing market of software houses, increasing export sales, and the acquisitions that are being carried out.

“In 2021, Ailleron recorded, at the consolidated level, revenue on sales of over PLN 216.8M, which means an increase of nearly 39% in comparison with 2020. Ailleron reported an EBITDA of PLN 35.8M for 2021, which is approx. 50% more than in 2020 when it stood at approx. PLN 23.8. This means an increment of almost PLN 12M. The other profitability parameters were as follows: operating profit amounted to PLN 27.5M, while net profit was PLN 17.1M. This means that the Company’s operations generated a result that is better by more than 77% than in 2020. In the case of net profit, this is an increase of more than 81%,” Tomasz Król, CFO and a Member of the Management Board of Ailleron S.A., says.

It is significant that in 2021, each of the segments of the Group’s operations recorded a y/y increase in revenue on sales and had a positive operating result.
The Group’s dominant segment, both in terms of scale (measured through sales) and results, is Enterprise Services, which includes Technology Services, i.e. dedicated, comprehensive IT solutions for finance, e-commerce, and health care developed for clients based in the UK, the USA, and Western Europe, and Telco Solutions, which comprises the development and maintenance of telecommunications systems and the services provided on the basis of the Group’s own telecommunications products and platforms.

“In 2021, Enterprise Services recorded sales of approx. PLN 153.4M, which means an increase of 51% in comparison with 2020 when revenue amounted to approx. PLN 101.7M. However, you need to remember that this segment has already started to show the effects of consolidation, which is related to the acquisition of ValueLogic of Wroclaw, which took place in April 2021. As a result, operating profit amounted to PLN 24.7M, which is PLN 7.7M more than in 2020,” Tomasz Król adds.

In the FinTech segment, the revenue in 2021 was much higher than in 2020, amounting to PLN 56.5M (+16%). Importantly, the operating result also improved.

“In the LiveBank area, the Company sees high potential for the new cloud version of the product, while still incurring the costs of developing the new solution in line with the LiveBank SaaS development strategy. Product development continues in the other areas of FinTech, too. The goal is to make the offer more attractive and create options in terms of addressing it to new new clients, especially on export markets. As a result, in 2021, FinTech recorded an operating profit of PLN 2.7M, while in 2020, the result was slightly over PLN 0.1M,” Tomasz Król explains.

In the HotelTech segment, revenue increase by more than PLN 4.3M, which means an approx. 24% improvement over 2020. Importantly, in 2021, the Company recorded a positive result on operations in this segment, amounting to approx. PLN 0.1M. This is a result of the management’s quick response to the pandemic, consisting in costs reduction and an exit from Hoteliga. The actions taken by the Company in the HotelTech sector are ultimately intended to reinforce this portion of the business in terms of revenue and results, so as to carry out a spin-off in the future and retain iLumio as a separate, independent company.

In 2021, the Group’s export sales increased to more than PLN 126M, with a dynamics of nearly 71%.

“The gradual export increase is mainly a result of the growing share of Technology Services in our business—this segment is nearly 100% export-focused—and of more export of products such as LiveBank. Ailleron focuses on growing in several areas that are crucial for the Company, including in particular Western Europe, South-East Asia, and the United States, i.e. the markets where the Company is able to have higher margins. From the point of view of the two key export markets, it has to be emphasized that the y/y revenue growth in M12 2021 was nearly 100% in the European Union and approx. 36% in the United States,” Tomasz Król adds.

In 2022 and in the next years, both the Company and the Ailleron Group will focus on expanding abroad. Today, Ailleron implements its solutions in more than 30 countries on five continents. The Group wants to expand more into German-speaking countries, such as Germany, Austria, and Switzerland. At the same time, Ailleron is developing its operations in the United States where it carries out interesting contracts and wants to increase its market share. The share of export in revenue is systematically growing, now standing at more than 58%—and the Ailleron Group wants to maintain this trend. Further development of the Group through more acquisitions, primarily abroad, is also planned.