Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Diligent sales growth slows in 4Q, eyes Europe expansion

Diligent sales growth slows in fourth quarter, accelerates European expansion

By Paul McBeth

Jan. 14 (BusinessDesk) - Diligent Board Member Services, the governance software developer, said sales growth slowed in the last three months of 2013, and it has decided to speed up its expansion plans in Europe.

The New York-based company added 145 net new clients in the three months ended Dec. 31, compared to 193 a year earlier. It lifted its cash balance US$8.7 million to US$56.1 million in the quarter, for an annual increase of US$22.8 million. As at Dec. 31 it had 2450 companies and 3,405 boards as clients, with a customer retention rate of 97 percent.

The company released a truncated quarterly update as it continues to work on restating its books for the past three financial years after a series of administrative failings led to the firm recognising revenue too early.

Diligent plans to accelerate its plans to expand more widely across Europe, with operations and a data centre in Germany, which it estimates will cost US$2 million.

“We have had good success in the UK so far, and we believe that there is a large opportunity for us in the continental European countries,” chief executive Alex Sodi said in a statement. “Having operations and a data centre in Europe should allow us to establish a leadership position more quickly.”

The company said it is still working towards providing its restated accounts by Feb. 28, which it has to meet if it wants to avoid having trading in its NZX-listed shares suspended by the stock market operator.

Diligent incurred costs of US$5.1 million relating to the restatement and re-audit of its statements, of which US$3.3million was paid in 2013.

The shares fell 3.9 percent to $4.38 yesterday, and are down 21 percent over the past 12 months.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Balance Of Trade: NZ Posts Trade Deficit In October On Falling Dairy Exports

New Zealand’s posted its largest monthly trade deficit for October in six years, while narrowing the shortfall from September, led by a fall in dairy exports to China while all main imports into the country rose. More>>

ALSO:

Gigatown Winner: Plenty Of Positives For Dunedin

Although the city has taken the Gigatown title, along with new ultrafast 1Gbps broadband and funding for $700,000 worth of UFB-related initiatives across the community, Mr Cull says Dunedin has gained so much more through its involvement. More>>

ALSO:

R18: The Warehouse Group Praised For Removing Games

The decision by New Zealand’s largest retailer The Warehouse Group (TW Group), to withdraw stocks of the latest version of Grand Theft Auto V (GTA V) and other R18 games, has been praised by advocacy group Stop Demand Foundation. More>>

ALSO:

Air NZ Wine Awards: Victory For Villa Maria As Pinot Noir Thrills

It was a night to remember as Villa Maria Estate picked up one of the highest accolades of the evening, the O-I New Zealand Reserve Wine of the Show Trophy, at the 28th Air New Zealand Wine Awards. The Villa Maria Single Vineyard Southern Clays Marlborough ... More>>

ALSO:

Future Brighter Money: RBNZ Releases New Bank Note Designs

New Zealand’s banknotes are getting brighter and better, with the Reserve Bank today unveiling more vibrant and secure banknote designs which will progressively enter circulation later next year. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news