Major EU Order-to-Cash player reports strong Q2 growth
In Q2 2021, Sidetrade saw a jump in bookings representing an additional €1.2m in annual recurring revenue (ARR) vs €0.94m in Q1 2021. On top of this, it earned €1.05m from set-up and training services for new customers. Overall, Sidetrade gained the equivalent of €2.25m in annual contract value (ACV).
In Q2 2021, Sidetrade onboarded several new global customers due to its capacity to roll out solutions internationally such as XPO Logistics, Tarkett, Sodexo, and Veolia. In fact, Sidetrade is particularly well-positioned, both technologically and geographically, and has recently been selected by Veolia Group and its subsidiaries, as its exclusive global supplier for digital dunning and payment dispute resolution.
Promising US market kick-off
In other news, Sidetrade’s North America operations have had a strong start, representing over a third of new bookings this quarter. Sidetrade has gained a firm foothold in the North American market, through crossselling, bringing on new customers Tarkett US and XPO Logistics US (subsidiaries of European groups who are successful Sidetrade customers), or via upselling to existing customers, such as Tech Data US, Bunzl Canada, and Expedia.
Furthermore, the new Augmented Invoice module, a paperless billing solution developed by Texas-based firm Amalto, recently acquired by Sidetrade, contributed to clinching deals this quarter with US industrial leaders including ProMach (packaging machinery), Imperative Chemical Partners (specialty chemicals) and Johnston Equipment (material handling equipment).
As of February 2021, Sidetrade has 22 employees in North America (11 from Amalto), with a 9-person sales force consisting of 2 managers, 1 pre-sales, and 6 reps, all seasoned O2C experts. Under Sidetrade’s Fusion100 growth plan, this salesforce is expected to double by the end of the financial year.
SaaS recurring revenue up 19%; overall income up 14%
Q2 2021 saw strong growth, with SaaS subscription business up 19% and overall income up 14%.
This sustained progress is now backed by solid growth drivers outside Sidetrade’s home market, which now represent 47% of total revenues, including 16% for North America.
The April 2021 Acquisition of Amalto, a Texas based leader in paperless B2B transaction solutions, has enriched Sidetrade’s product offering, with Augmented Order and Augmented Invoice modules. These modules contributed to the success of Q2 2021, and are expected to dramatically increase sales in the years to come, since they enable companies to meet new requirements for paperless B2B transactions coming into force in Europe and the USA.
Moreover, in June 2021, Sidetrade was cited in a Gartner report on integrated Invoice-to-Cash solutions, yet another sign of Sidetrade’s leadership position in a global market estimated to be worth $10bn.
Given the strength of the first half of the year, Sidetrade’s management confidently projects double-digit growth for FY2021.