XRO
03/04/2012 08:30
GENERAL
REL: 0830 HRS Xero Limited
GENERAL: XRO: Xero doubles revenue and invests for growth
Key metrics for the 12 months to March 31, 2012
o Revenue doubled from $9.3m to over $19m
o Business customers grew from 36,000 to over 78,000
o Offshore revenue rose to 51% of Monthly Committed Revenue (MCR)
o Annualised MCR is now in excess of $25.5m
Doubling of customer growth across regions
Paying customers by segment At 31 March 2011 At 31 March 2012 Year on year
change
New Zealand 23,000 47,000 104%
Australia 6,000 16,000 166%
United Kingdom 5,000 11,000 120%
United States/Global 2,000 4,000 100%
Substantial investment continues
As stated at the Xero Annual Meeting in July 2011, the company is pursuing a
growth agenda and has recently successfully raised $35.6m to fund that
growth.
Xero has become a significant Financial Technology (FinTech) provider having
securely processed over $20 billion of transactions on behalf of customers in
the last quarter and over $100 billion in transactions in total.
Xero has been focused on growing the business significantly in the last year:
o Staff employed rose from 113 to 194 with 44 staff based in offshore markets
o New offices opened in Auckland, Wellington, Melbourne, Canberra, Milton
Keynes and San Francisco
o Two acquisitions were made - PayCycle and WorkflowMax - these have been
successfully integrated into the business
o Substantial investment in the Xero hosting platform, which comprises 50
servers hosted across dual data centers in the US. Xero manages over 50
terabytes of production data.
General Commentary
It was another year of substantial growth for Xero as the company focused on
acquiring customers and growing revenue, as well as building its team. Xero
continues to demonstrate that it can execute effectively across multiple
regions, innovate and keep delivering a best in class product and customer
experience.
In its home market of New Zealand, Xero is proving to be the preferred
provider for the accounting industry. In Australia and the UK, Xero is
emerging as a leading challenger by winning market share from the incumbents
and introducing a new generation of businesses to accounting.
For FY13, New Zealand, Australia and the UK will be the growth engines for
the company. Entry into the US market is progressing well as the company
executes its plan and works with early adopters. Key objectives for the US
during FY13 are to deliver US product features, further build out the US team
and demonstrate traction against incumbent provider Intuit in key accounts.
For more information contact:
Rod Drury
Xero CEO
[email protected]
+64 27 6000 007
End CA:00221487 For:XRO Type:GENERAL Time:2012-04-03 08:30:31
