Keystone
There is no calm at the software company Softwareone. The company from Stans NW has appointed a new CEO, Raphael Erb. At the same time, it is lowering its targets for 2024.
Erb will succeed Brian Duffy on November 1st, who, according to Thursday’s announcement, has decided to take on a new challenge in the USA. Erb has worked at Softwareone for more than 25 years. Most recently, he was appointed Chief Revenue Officer and member of the Executive Board as of July 1, 2024.
One of his priorities as CEO will be strengthening customer focus, Erb said on a conference call. He plans to give more responsibility and authority to frontline teams to develop a more efficient and customer-focused growth strategy.
Below expectations
The company prepared investors for weaker than expected business development. The results in the third quarter were below expectations. The reasons given were a reduction in incentives from Microsoft and thus a sales driver, cautious investments in important markets or problems with the introduction of a new sales model
The business development developed very differently, explained CFO Rodolfo Savitzky. The Asia-Pacific region shone with strong growth, and the German-speaking region also increased. In North America, on the other hand, there has been a decline.
Growth target lowered
For the current year, Softwareone is now expecting currency-adjusted sales growth of 2 to 5 percent compared to the previous year. Growth of 7 to 9 percent had previously been forecast. The adjusted EBITDA margin is now expected to be 21 to 23 percent instead of 24.5 to 25.5 percent. The dividend expectation remains unchanged, said Savitzky.
At the same time, the company confirms that discussions with interested parties regarding a possible going-private transaction are ongoing.
Just a few weeks ago, the Bloomberg news agency reported that Softwareone could not only hold talks with potential buyers, but was also considering a merger with its smaller Norwegian competitor Crayon.
SDA
