Matrix42 Fiscal Year 2018 successfully completed: 2019 still on Course!
Security sector experiences strong growth, while cloud and subscription business more than quadruples in 2018
Matrix42 enjoyed a successful end to the 2018 business year. The specialist in digital workspace experience solutions was able to achieve its highly ambitious revenue and profitability goals for 2018. Matrix42 is set to continue on its trajectory of growth and development in 2019 from this strong position to become a comprehensive provider.
“The demand for comprehensive software solutions that make digital work simple and secure has continued to show positive growth. We have managed to achieve our best possible performance levels in the history of the company. We owe our customers, partners, and the Matrix42 team a massive thanks. The very good results for 2018 confirm that we are pursuing the right strategy of offering integrated solutions for managing digital workspaces,” explains Oliver Bendig, CEO at Matrix42. The company managed to quadruple its turnover for cloud and subscription business in 2018. And the fourth quarter stood out in particular.
Number of new customers rises significantly
243 new customers in total put their trust in Matrix42 in 2018. These included renowned companies such as BayWa, Accor Hotels, Kelvion, CompuGroup, Hannover 96, VFL Wolfsburg, Fastweb, tipico, and adesso. Revenue from new customers increased by 38 percent compared to the previous year, thus breaking the company record. “We have acquired increasing numbers of larger customers over the last year, which has increased the average sales rate by 16 percent,” explains Bendig. Matrix42 now supports over 5,000 customers in total and manages over six million digital workplaces. With a contract renewal rate of 98 percent, Matrix42 has remained an industry leader, while also achieving its customer satisfaction targets. This was also indicated by the sales results provided by the Customer Service and Consulting department, which grew by 27 percent in 2018.
Security sector is the third-largest portfolio segment
Revenue from security solutions increased by 54 percent compared to 2017. This means that the security sector is the third-biggest segment of the company, after integrated solutions for digital workplace management and unified endpoint management. Matrix42 expanded its security offer in 2018 by acquiring EgoSecure, the leading German provider for endpoint security. As well as this, products from enSilo were integrated into Matrix42’s Workspace Management suite as a result of a strategic partnership concluded in 2017. As Bendig says: “Only a managed, digital workplace is a truly secure workplace. That’s why endpoint security is ubiquitous, and demand for integrated solutions is very high among our customers. We offer 360° security management for prevention and protecting devices, applications, and data with our endpoint security solution. Our solutions allow us to demonstrate that protecting the working environment. While also increasing user productivity at the same time is possible.”
Internationalization given a boost
Internationalization at the company was also further developed in 2018. In 2017 the international sector provided the best results since geographical expansion began. The Alpine region, France, and Italy impressed with a particularly good performance. The company was able to successfully implement its market entry in eastern Europe in 2018.
Partner business and Matrix42 Marketplace indicate positive development
The increased focus on partner business over the last few years is beginning to bear fruit, as revenue from channel partners increased by ten percent in 2018. “We are sticking to our goal of generating 80 percent of our business from partners by 2020. And we want to increase partner revenue to 70 percent in 2019,” says Bendig. “Our new partner program will support us in achieving our targets. This program pays homage to and expands upon existing partnerships, but also appears attractive to new partners. We are currently looking primarily for partners who would like to offer a comprehensive digital workspace portfolio, or can bring experience in the security sector to the table.” Business from partners’ product enhancements via Matrix42 Marketplace is growing steadily. In 2018 this sector posted an increase of ten percent.
Business focus in 2019
About 350 employees currently work at Matrix42. In 2019 the company focused on offering its customers simple, integrated solutions for digital workplaces and continued on its growth trajectory with innovative products. “We plan to concentrate mainly on integrating ITSM, UEM, SAM, and security functions, and further expanding our international business,” says Bendig.