SoftwareONE has posted an increase in gross profit in its full-year 2021 results to €849 million in 2021.
EBITDA fell a percent year to €217 million, with a margin of 25.7 percent from 30.6 percent in 2020.
SoftwareONE CEO, Dieter Schlosser said: While we are aware that margins fell below expectations, we believe the strategic investments underpin our strong growth and support long-term shareholder value. As organisations continue to embrace the cloud, the demand for services is expected to grow significantly. In order to capitalise on this market opportunity, we have continued to invest in talent and capabilities. ”
The Swiss outfit’s total adjusted operating expenses increased 25.8 percent to €631 million.
It claimed the development of its cost base reflected higher personnel costs as a result of investments in sales & marketing and delivery capabilities to support the company’s continued growth, as well as incremental operating expenses of acquired companies.
Gross profit from Software & Cloud grew three percent year on year to €530.2 million in 2021. SoftwareONE said this was driven by a recovery across the key hyperscalers (Microsoft, AWS, Google) and ISVs during the year.
It added in terms of Microsoft gross billings, which amounted to $14.7 billion in 2021, SoftwareONE’s business developed in line with the overall Microsoft market, with positive momentum across all customer segments.
Microsoft Cloud billings demonstrated double-digit growth, making up 73 percent of total Microsoft volume in 2021, compared to 67 percent in 2020.
