As the firm continues to sign major banks and insurance companies, subscription revenues propel revenue growth.
Bottomline Technologies (NASDAQ:EPAY), fintech firm that focuses on automating payments announced a 6 percent increase in revenues compared to the same time last year, with figures coming in at US$108.2 million. Driving growth were its subscription revenues, which accelerated 15 percent during the same time period. Over the quarter, it signed four banks and three insurance firms for its digital services.
As quoted in the press release:
Adjusted EBITDA for the first quarter was $23.6 million, which was 22% of overall revenue. Core earnings per share was $0.30 for the first quarter. Adjusted EBITDA and core earnings per share are calculated as discussed in the “Non-GAAP Financial Measures” section that follows.
“Bottomline delivered strong results in the first quarter with 16% growth in subscriptions revenue on a constant currency basis,” said Rob Eberle, CEO. “We have a large market opportunity and a leading product set which we are continuing to advance. We’ve targeted 15-20% subscriptions revenue growth per year, and our backlog, pipeline and predictable business model give us a high degree of confidence in achieving our goals. Our business results and market leadership position us to drive sustained business results and shareholder value for years to come.”