Elmo Software announced updated FY21 guidance to the market on Tuesday. The cloud-based human resources and software solution provider refined numbers for Annualised Recurring Revenue, Revenue and EBITDA.
Annualised recurring revenue is projected to come in at $83 million to $85 million. This is within the mid-range of the previous $81.5 million to $88.5 million indicated.
Revenue is set to increase between $68 million to $70 million. Previously, the company had revenue set at $65 million to $71 million for FY21.
Earnings before interest, tax, depreciation and amortisation were narrowed to a loss of -$2.5 million to -$3.5 million. This is a smaller gap than the previously stated EBITDA of -$2.4 million to -$7.4 million.
The company has seen momentum continue with growth across the business. An increasingly remote-based workforce has highlighted the mission-critical nature of having cloud-based business solutions such as ELMO.
Established in 2002, ELMO is a cloud-based HR, payroll and expense management provider. The company offers customers a unified platform to help organisations streamline their people, process and pay. ELMO operates on a software-as-a-service business model based on recurrent subscription revenues.
CEO and Co-founder Danny Lessem commented on the update, “I am encouraged by the strong growth we’ve seen so far in the second half. There is positive sentiment in the market, and it is pleasing to see procurement starting to return to pre-COVID levels. Our growth strategy remains on track. ELMO’s customers are able to effectively manage increasingly dispersed workforces with our broad, integrated and convergent solution. Our value proposition is stronger than ever, and ELMO remains well placed to benefit from tailwinds in the adoption of cloud-based technology.”