- Successful acquisitions and intensified sales activities are already reflected in the dynamic business performance in the first half of 2022
- Revenue more than tripled to EUR 3.7 million; EBITDA up by EUR 0.5 million
- Management Board confirms FY 2022 revenue and earnings forecast
Görlitz, 30 September 2022 | Following the first half of the year, niiio finance group AG (ISIN: DE000A2G8332), Software-as-a-Service platform for asset and wealth management, is on track to meet the revenue and earnings targets for 2022 that it set for itself. Accordingly, the niiio Group achieved key strategic milestones to implement its organic and non-organic growth plans as planned and recorded a significant increase in revenue along with improved profitability in the first six months of 2022.
Following the acquisition in December 2021 of PATRONAS Financial Systems GmbH, a provider of software for the financial services industry, the integration of the company onto the niiio platform was successfully completed in the first quarter of 2022. In line with the goal of making niiio the leading one-stop-shop solution for digital asset and wealth management in Europe, the platform was consistently further expanded along the entire asset and wealth management value chain in the reporting period, and order routing provider FIXHub GmbH was acquired retroactively as of 1 January 2022. Following these successful acquisitions, niiio combines almost all relevant product groups and market segments on one platform, which offers excellent prospects for organic growth thanks to high scalability and broad up-selling and cross-selling potential.
The first positive effects from the acquisitions that have been realised are already reflected in key financials for the first half of 2022. In total, the niiio Group generated consolidated revenue of EUR 3.7 million (previous year: EUR 1.1 million). Recurring revenue from the licensing business expressed as a share of total revenue rose to around 85% (previous year: 70%). Earnings before interest, tax, depreciation and amortization (EBITDA) also improved significantly to EUR 0.3 million (previous year: EUR -0.2 million).
Johann Horch, CEO of niiio finance group AG, comments: “After the first half of the year, niiio is on track, both strategically and operationally, to be the leading SaaS platform offering banks and financial service providers a holistic ecosystem where all solutions are modular and easily compatible with each other. The smooth integration of PATRONAS and FIXHub is also clear evidence of the success of our roll-up strategy. At the same time, we intensified our sales activities, as planned. We are currently seeing increasing momentum for solutions to digitalize asset and wealth management. Accordingly, we also successfully expanded our customer base. For example, we have further strengthened our activities in Austria and, with Germany’s largest municipal savings bank as a new customer, we are showcasing our strong positioning in the important savings bank sector.”
For the further future, niiio expects the organic growth dynamic to gain further momentum, especially in the asset management segment. Moreover, as a consolidator in a highly fragmented market comprising numerous small niche players, niiio sees excellent opportunities for non-organic growth drivers in the wealth management sector, with the Management Board continuing to pay increased attention to the profitability of potential targets. In this context, niiio had recently expanded its advisory board to include Stefanie Salata and Philipp von Girsewald, who bring many years of experience in the areas of sales and M&A, in particular.
Assuming that no significant delays occur in niiio’s customers’ decision-making processes in the second half of the year, the Management Board expects revenue for the full 2022 year to approximately triple year-on-year to between EUR 7.5 million and EUR 7.9 million. In addition, the Management Board expects to generate between break-even and a slightly positive result at the level of consolidated EBITDA in the current financial year.
The full report on the first half of 2022 is available on the company’s website at www.niiio.finance, in the Investor Relations area.
About niiio finance group AG:
niiio finance group AG (niiio) is creating a scalable pan-European WealthTech platform by bundling technological innovations in order to enable asset and wealth managers to digitalise their processes and optimally serve their clients. niiio is a Software-as-a-Service (SaaS) provider for asset and wealth management. As a “one-stop shop”, the company digitalises the processes of its more than 80 European customers so that they can work efficiently, flexibly and on a legally compliant basis. niiio’s vision is the cost-effective digital issuance, custody, management and subsequent trading of securities based on DLT – and, as a consequence, decentralised settlement based on blockchain technology.
This release contains statements about the future development of the niiio Group. These forward-looking statements are based on the Management Board’s current expectations, assumptions and forecasts, as well as the information currently available to the Management Board. They have been compiled to the best of the Management Board’s knowledge. As far as such forward-looking statements are concerned, no guarantee can be given and no liability can be assumed that the future developments and results mentioned will occur as presented. Rather, future developments and results depend on various factors. They entail risks and uncertainties that lie beyond the Company’s control and are based on assumptions that may not prove to be accurate. Notwithstanding any legal requirements to revise forecasts, we do not assume any obligation to update the forward-looking statements made in this release.