Sales revenue for 2012 amounted to EUR 40 million, representing an increase of 11% over the previous year at current exchange rates; the fourth quarter ended with a 9% increase at the same exchange rate compared to the same period in 2011.
During this period of economic uncertainty, companies are list of bermuda consumer email often looking for flexibility and maximum productivity from their IT spending. Cloud-based solutions are responding to this challenge, helping to reduce initial investments and operating costs, as well as ensuring continuous software updates. Organizations of all sizes and in all markets have decidedly opted for Cloud solutions, to the detriment of licensed software.
While traditional software sales are stagnating, cloud solutions continue to grow. As a result, recurring revenues generated by subscription-based solutions increased by 24.3% in the fourth quarter and by 22% for the full year, representing a volume of 20 million euros. Given the pace of new on-demand service contracts being signed, this growth is likely to continue in the coming years. Thanks to the strategic positioning and development plans established in 2005, Esker is benefiting from this fundamental change in the IT business, placing itself in a position of significant competitive advantage.
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Sustained profitability
At a minimum, Esker expects to maintain the profitability levels it achieved in 2011. Strong sales in 2012, coupled with rigorous cost control, will allow Esker to quickly transition to a cloud-based model.
As of December 31, 2012, the company's cash position stood at €11.1 million, compared to €10.7 million at the same time in 2011. This highly positive cash position allows Esker to enjoy financial autonomy to invest in its developments while continuing its dividend payment policy and its share buyback programs.
