StepStone software sales accelerate in Q3

 

TIDMSTPS 
 
RNS Number : 2907Z 
StepStone ASA 
18 September 2009 
 

StepStone software sales accelerate in third quarter - SaaS model wins 
increasing acceptance from global customers 
 
 
London, 18 Sept 2009 - StepStone, a global leader in talent management 
solutions, is recording an acceleration in sales of its Software-as-a-Service 
(SaaS) offerings in the third quarter of 2009, partly driven by a number of new 
contracts with large enterprise customers. In the first two months of the 
current quarter (July-September 2009) StepStone has seen key performance 
indicators - recurring revenue increase, new customer wins and upsells/cross 
sells - showing increases of up to 20% over the equivalent period in the second 
quarter. Wins with large enterprise customers include successes in the retail, 
pharmaceutical, financial services, construction and entertainment sectors, 
underlining the breadth of applicability of StepStone's Talent Management 
technology. With StepStone's SaaS business model, these sales translate into a 
continuing, month by month increase in the company's recurring revenue base. 
 
 
"Our third quarter has historically not been strong for us in terms of bookable 
new business, as our European customers are typically not very active in July 
and August," said StepStone CEO, Colin Tenwick. "But as we grow our global 
footprint in the US, Asia and countries such as South Africa, combined with 
increasing business confidence and acceptance of our SaaS business model in all 
markets, we have seen a measurable acceleration of both new customers and 
additional business with existing users. This growth in Solutions, combined with 
signs of stabilisation we are seeing in our Online business, supports the view 
that we have turned the corner in our market." 
 
 
Notable successes recently include the completion of the first stages of a major 
project with a South African retail group; three substantial deals in 
Switzerland in the pharmaceutical and entertainment sectors won against major 
software industry players; five new customers won in manufacturing and 
professional services businesses in Denmark; an important deal with a major 
energy company; and a sizeable contract in the US in the construction sector. 
 
 
StepStone's on-demand, SaaS business model delivers a solid, predictable revenue 
stream back to the business while offering customers the opportunity to benefit 
from enterprise level software without the penalty of high up front licensing 
charges or substantial implementation costs. "With businesses starting to think 
again in terms of growth and rebuilding market share, the need for talent 
strategies to find, retain and develop the next generation of business leaders 
is getting stronger," adds Colin Tenwick. "Our ability to win in global markets, 
often against very substantial competitors and in a macro environment that is 
still difficult, underlines the value and rapid ROI that our SaaS business model 
and software technology can deliver." 
 
 
Contact : Ian Cole, CFO, 
Tel : + 44 7808 946404 
 
 
About StepStone 
 
 
StepStone helps businesses get increased performance from their people, helps 
them build and develop global talent pools, and helps people find new jobs that 
match their talents. StepStone was founded in Norway in 1996 and listed on the 
Oslo Børs (Ticker@ STP.NO) in 2000 and the London Stock Exchange (LSE: STPS) in 
2008. For more information see www.stepstone.com 
 
 
Ends 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
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