Neuilly-sur-Seine, 6 February 2024 – Linedata (LIN:FP) reported full-year 2023 revenue of €183.3m, an increase of 6.1% compared to 2022. At constant structure and exchange rates, organic growth was 6.2%, driven by momentum in all Linedata businesses. The Group posted organic revenue growth for the third consecutive year.
Recurring revenue for the fiscal year was €137.5m, representing 75% of total revenue. On a comparable basis, recurring revenue was up €4.7m, mainly driven by service activities in Asset Management, and Lending & Leasing.
In Q4 2023, bookings accelerated to €25.4m, representing a €6.2m increase versus the same period last year which was largely due to the Lending & Leasing segment. Full year bookings were up nearly 22%, at €75.6m, versus €62.0m in 2022.
Performance by segment:
ASSET MANAGEMENT (Q1: €29.1m, +6.3%; Q2: €30.5m, +3.9%; Q3: €30.4m, +6.1%; Q4: €32.2m, +0.0%)
Revenue generated in the Asset Management segment increased to €122.1m, representing organic growth of 6.1%. In reported data, the increase is 3.9% due to a negative currency impact on the year, particularly on the dollar. Commercial activity surged, with full-year bookings up 13.3%, at €43.0m.
Revenue of the Software segment came to €89.2m, slightly down by 1.2% on a reported basis and stable at constant exchange rates.
AMP platform migration projects continued at a brisk pace, enabling Front Office solutions to post organic growth of +€3.5m. Furthermore, in the United Kingdom, Linedata successfully deployed the first phase of a new contract signed in early 2022 with a global player in Asset Management. The performance of the Front Office and the dynamism of the projects in the field of «Transfer Agency» made it possible to compensate for the income decline in Fund Services.
2023 saw the Services sub-segment continue its robust momentum, with revenue up 20.9% in reported terms versus the same period last year. This continued upward trend further illustrates Linedata's sound positioning in co-sourcing for the investment management market. As a result, revenue for this activity has nearly doubled in three years, up from €17.0m in 2020 to €32.9m in 2023.
LENDING & LEASING (Q1: €13.4m, +5.0%; Q2: €14.5m, +7.8%; Q3: €14.2m, +6.6%, Q4: €19.1m, +22.0%)
Revenue for the Lending & Leasing segment amounted to €61.2m in 2023, up 10.9% in reported terms. Excluding perimeter and currency effects, revenue was up 6.4%, propelled by a major project signed by Linedata Ekip360 in Q4 2023. Full-year bookings came in at €32.6m, versus €24.1m in 2022, representing an increase of 35.4%.
With the successful integration of Audaxys, a company acquired in Portugal in early 2023, Linedata is in line with its development plan in Southern Europe.
Outlook
Linedata expects its operating profit to improve during the second half of 2023.
Next communication: Full-year 2023 results, 13 February 2024, after trading.
ABOUT LINEDATA
With 25 years’ experience and 700+ clients in 50 countries, Linedata’s 1200 employees in 20 offices provide global humanized technology solutions and services for the asset management and credit industries that help its clients to evolve and to operate at the highest levels.
Headquartered in France, Linedata achieved revenues of EUR 183.3 million in 2023 and is listed on Euronext Paris compartment B FR0004156297-LIN – Reuters LDSV.PA – Bloomberg LIN:FP