Visma achieved revenue of EUR 694 million in the third quarter of 2024, a growth of 17% year-over-year. The increase was mainly driven by higher spending from existing customers and a growing customer base. Group EBITDA in Q3 was EUR 256 million, up 26% year-over-year, and representing a margin of 37%.
“Q3 was another strong quarter for Visma on all fronts, as we continue to grow profitably through a combination of leading software products and economies of scale”, says Merete Hverven, CEO of Visma.
Visma’s Annualized Repeatable Revenue (ARR) increased to a new all-time high of EUR 2 574 million at the end of the quarter, up 18% year-over-year.
“With 1.9 million customers served and an ARR fast approaching 2.6 billion euros, we are solidifying our position as a leading SaaS provider in Europe and Latin America”, says Hverven.
Double-digit growth in all segments
Visma delivers mission-critical software to four segments; Small Business, Medium Business, Ecosystem and Public. All segments continued to show double digit ARR growth in Q3, with Small Business achieving the highest increase of 29% year-over-year.
SaaS (Software as a Service) remains the cornerstone of Visma’s product offerings, growing 22% as a category year-over-year in Q3, and now constituting 77% of total revenue, up from 74% at the same point in 2023.
Visma continues to combine healthy organic growth with strategic SaaS acquisitions, adding six new software companies to the Group in Q3.
“We continued our expansion in major European markets, including HRM and payroll solutions provider Quarksup in France, which became our fourth acquisition in this country so far in 2024. We also invested in Pathway Solutions, a rising star in eCommerce solutions for the German market, and strengthened our HR tech offering in Chile with the acquisition of Rex+ Group. Based on our current pipeline and ongoing processes, I expect our M&A-team to remain very busy also in Q4”, Hverven says.
A common purpose
In his recent and much-publicised report on the future of European competitiveness, former ECB President Mario Draghi points out the growing regulatory burden on European companies, which are especially costly for SME’s. According to the report, more than half of Europe’s SME’s flag regulatory obstacles and administrative burdens as their greatest challenge.
“For Visma, this is a timely reminder of the purpose that connects our 190 software companies. By leading the way in software innovation to automate and simplify time-consuming and complex processes, we can play our part in promoting a more digitally enhanced, efficient and prosperous society for all”, says Hverven.
Key highlights for Q3 2024:
- Revenue of EUR 694 million, 17% growth year-over-year
- EBITDA of EUR 256 million, 26% growth year-over-year
- Annualized Repeatable Revenue (ARR) reached EUR 2.57 billion
- Closed six acquisitions during the quarter
Q3 2024 by the numbers
For more information, please contact:
Lage Bøhren, Director of Communications at Visma, +47 921 57 801
About Visma
Visma is a leading provider of mission-critical cloud software, with revenue of € 2.4 billion in 2023, nearly 16,000 employees and 1.9 million customers across Europe and Latin America. By simplifying and automating the work of businesses and organisations of all sizes, we enable a more efficient and prosperous society. Visit us at visma.com.
