Hubwoo Announces Financial Information for Q3 2012
- Revenue: EUR 25.4 M YTD, down slightly as compared to 2011
- Recurring SaaS revenue was stable YTD compared to 2011; one-off services
revenue was down
PARIS, Oct. 31, 2012
PARIS, Oct. 31, 2012 /PRNewswire/ -- Hubwoo SA (Euronext: HBW.NX), a leading
global provider of B2B buying and selling solutions in the cloud, today
announced financial information for Q3 2012, in accordance with the "European
Transparency Obligations Directive" financial disclosure requirements.
Gregory A. Mark, Hubwoo CEO commented "Clearly, uncertainty in the market
concerning the future of Hubwoo's Cloud Procurement offerings, powered by SAP
software, has caused a significant slowdown in new customer acquisition.
Notwithstanding the decrease in revenues, namely services revenue, we remain
committed to an aggressive investment plan aimed at extending Hubwoo's
existing intellectual property and in so doing, create a new type of network,
a business network. Utilizing open, intelligent and intuitive design, we look
to solve real business problems with complex collaborative processes, in ways
never before imagined prior to the advent of the digital network. This will
not be just another document transaction platform, nor one that increasingly
taxes commerce through the imposition of purchase order or invoice value based
supplier fees. We look to innovate around well-accepted social, professional
and B2C ecommerce network and platform principles, creating a new type of
network offering, a business network. As a minimum, the remainder of 2012 will
be a transitional period as we communicate our vision to the analyst community
and begin to roll out new business network solutions into the market. We
remain optimistic about the future while remaining cautious about the near
term revenue impact during this transition."
1. Q3 Revenues
in EUR Q1 Q1 Q2 Q2 Q3 Q3 Change YTD YTD Change
million 2011 2012 2011 2012 2011 2012 2012 / Q1-Q3 Q1-Q3 2012 /
2011 2011 2012 2011
Consolidated 9.0 8.7 8.8 8.7 9.2 8.0 -13% 27.0 25.4 -6%
SaaS (**) 6.9 6.9 6.8 7.0 6.8 6.6 -3% 20.5 20.5 0%
Services 2.1 1.8 2.0 1.7 2.4 1.4 -41% 6.5 4.9 -23%
(*) Percentages calculated on exact numbers, not
the rounded numbers shown
(**) SaaS is a model of delivering technology
where a software solution is hosted (cloud
computing) as a service for its customers.
Clients do not buy the technology but pay a
subscription fee to use it.
Revenue in the quarter suffered from a challenging economic environment
accentuated by competitive market conditions in which significant merger and
acquisition announcements have delayed prospects' businesses decisions for new
The recurring components of revenue remained stable in a YTD comparison to
2011, while services from one-time implementation projects declined (-23%)
against 2011. Overall, total revenues decreased slightly (-6%) as compared to
the first three quarters of 2011.
On a quarter to quarter comparison, SaaS was overall stable but one-time
services showed a strong decline (-41%) as compared to Q3 2011 which had been
one of the highest ever recorded in terms of services.
2. Major Q3 2012 events
New Buyer Contracts and sales activity
Significant new contracts in the quarter included Philips, Pacific Rubiales,
Boehringer, H.B. Fuller, and BVG.
Rationalization of Achat Pro acquisition
During the quarter, the Company shut down a significant portion of the
technology platform obtained from the Achat Pro acquisition as part of our
technology consolidation project. Future cost savings are expected.
Additionally, as UniHA migrates its CHU hospital network onto Hubwoo's eBuy
solution, resulting from the ten (10) year contract signed earlier this year,
it is expected that the entire Achat Pro platform and data centre will be
retired fully in early 2013.
About Hubwoo (www.hubwoo.com)
Hubwoo is a leading global provider of B2B buying and selling solutions in the
cloud. The Company manages a Business Network with hundreds of thousands of
active businesses and over 100 major international corporations as buyer
customers of which 50+ are in the Global 1000. Significant customers include
BASF, Honeywell, Shell, Evonik, EDF, Nokia, Monsanto, Nationwide, Michelin,
Henkel, Statoil, CONSOL Energy, EcoPetrol, Carl Zeiss, Burton's Foods, and The
Dow Chemical Company.
Hubwoo has major operations in France, multiple U.S. centers, Germany, the
U.K., Philippines, Belgium, and Eastern Europe.Listed in Compartment C on the
Euronext Paris Eurolist.
ISIN: FR0004052561, Euronext: HBW, Reuters: HBWO.PA, Bloomberg: HBW:FP
Contact: Rinus Strydom, SVP Solutions & CMO, or Sergio Lovera, Chief Financial
Officer, +33 (0)1 53 25 55 00, firstname.lastname@example.org
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