Cloud-based accounting software firm Xero added more than 23,000 customers to its client list since September and says it is on track to double last year's $19.3 million in annual revenue.
The Wellington-based company has more than 135,000 customers and monthly recurring revenue of almost $4 million, it says in a statement. That implies annual sales of some $48 million.
Some 5000 of the new clients are in Australia, where Xero this week extended its range of products and faces increasing competition from incumbents MYOB and Reckon, which have both launched cloud-based services.
"This year is looking very positive for Xero as we see the benefits of all the hard work in our early years," chief executive Rod Drury says. "It's very pleasing to see so much momentum in the business around the world."
Last year, Drury co-founder Hamish Edwards and director Craig Winkler sold down part of their stakes in Xero to US tech investors Valar Ventures and Matrix Capital Management, which also injected $60 million of new capital.
The capital raise left Xero flush with cash, and it had $85 million at the end of December, according to cashflow statements lodged with the ASX.
The company is loss-making at the moment as it looks to secure a million customers in a drive to capture global market share for the online, cloud-based business system.
The shares fell 2.7 percent to $6.84 in trading today.
This article is tagged with the following keywords. Find out more about MyNBR Tags
Most listened to
- Sunday Business with Andrew Patterson
- Business Week in Review with Grant Walker & Andrew Patterson
- “The justice system never troubled itself in the most elementary way to get the facts to decide the case” - Rodney Hide
- Hunter's Corner: Is the ASX taking our best and brightest?
- Cameron Officer on the car of the week: Mercedes-Benz C 300 Coupe