ELMO Software Limited - Company of the Year
Company: ELMO Software Limited, Sydney, Australia
Company Description: ELMO Software Limited (ASX: ELO) is Australia and New Zealand’s only integrated cloud HR and payroll solution, offering one vendor, one dashboard and one user-experience, and is the fastest growing HR Tech company in the region. ELMO provides cloud HR and payroll technology to more than 1,000 organisations across Asia Pacific to manage their HR and payroll processes.
Nomination Category: Company / Organization Categories
Nomination Sub Category: Company of the Year - Computer Software - Medium-size
Nomination Title: ELMO Software Limited
Tell the story about what this nominated organization has achieved since 1 January 2017 (up to 650 words). Focus on specific accomplishments, and relate these accomplishments to past performance or industry norms.
ELMO Software(ELO:ASX) is Australia and New Zealand’s (A/NZ) leading integrated cloud HR and payroll solution, providing clients a unified suite with one vendor, one dashboard and one user-experience. ELMO’s suite of solutions aredesigned for mid to large sized businesses across any industry. Modules can be used together or stand-alone and are configurable to an organisation’s unique processes and workflows. ELMO provides organisations with a one stop shop to managean employee’s lifecycle from ‘hire to retire’.
ELMO has grown exponentially since inception in 2002, and 2017/18 was a transformational time for the company. In June 2017, the company listed on the Australian Securities Exchange (ASX) and successfully raised $25 million in new capital to accelerate growth – the listing was dubbed the biggest tech IPO of the year in Australia. After three successful acquisitions, ELMO raised an additional $46 million in March 2018 to fuel the next chapter of growth. ELMO listed at $2.00 per share on 29 June and has since reached a 52-week high of $7.09, up 355% less than a year.
ELMO reported $10.6 million in total revenue for the half year from July 1 to 31 December 2017 (1H2018), increasing by 36% compared to the previous corresponding period (1H2017); a strong recurring revenue of ~95% and SaaS revenue growth of 34%; ELMO’s customer base also increased to 859, up 82% since 31 December 2016, with a customer retention rate of ~93%. ELMO also upgraded its total full year revenue guidance for FY18 to $31 million reflecting an 84% increase on FY17.
In November 2017, ELMO announced the acquisition of two specialised SaaS based, HR management tools PeoplePulse(HR Surveys)and LiveSalary(Salary Benchmarking), in one transaction. This has contributed to the acceleration of ELMO’s product development program and continued innovation to broaden its solution offering.
In December 2017, ELMO acquired cloud-based payroll software solution, Sky Payroll. The payroll market in A/NZ is valued at $600 millionand is ripe for disruption. Sky Payroll has now been fully integrated, and the module is now identified as ELMO Payroll. It was developed with the Australian Tax Office’s (ATO) mandatory Single Touch Payroll (STP) reporting requirement in mind, which will come into effect from 1 July 2018.
In February 2018, ELMO revealed the acquisition of Pivot Remesys Group, the region’s leading cloud-based remuneration software provider. By adding a remuneration module, ELMO broadened its competitive advantage over single-point product vendors, enhanced its performance management suite and further expanded its integrated product offering.
Research & Development
ELMO currently has ~8% market share in A/NZ and is poised for continuing growth with the introduction of five new modules released from 1 January 2017 including Cloud Payroll, Rewards & Recognition, HR Surveys, Salary Benchmarking, and Remuneration. This growth is steeped in innovation – ELMO’s Australian-based dedicated R&D team comprises ~25% of the company’s total staff who are tasked with researching and investing in cutting-edge technology. In 1H18, ELMO invested 17% of revenue in R&D – resulting in 76 product enhancements and the launch of an organically developed new module, Rewards & Recognition.
This translates into time-saving and efficiency, and an increase in transparency and productivity for ELMO’s customers. ELMO recorded increasing penetration amongst its existing customer base, with average modules per customer of 2.48 at 31 December 2017, up 22% from31 December 2016.
In 2017, ELMO was recognised locally in the SmartCompany Smart50 Awards 2017 which showcases Australia’s fastest growing small to medium sized businesses. On the international front, ELMO was admitted into the Deloitte Technology Fast 500 Asia Pacific, the prestigious technology awards program in Asia Pacific acknowledging companies that are transforming the way business is done today. In February 2018, ELMO was granted the ‘Big Kahuna Award’ in the Australian Anthill Cool Company Awards, which recognises companies with 50+ staff that challenge the status quo and acknowledge champion leaders of innovation and entrepreneurship.
In bullet-list form, briefly summarize up to ten (10) of the chief accomplishments of this organization since the beginning of 2017 (up to 150 words).
-Listed on ASX raising $25 million of new capital
-Acquired PeoplePulse / LiveSalary adding new customers and extending ELMO suite
-Raised additional $46 million through capital raise to fuel next chapter of growth
-Launched in-house built Rewards & Recognition module
-Acquired, integrated and launched cloud payroll into ELMO suite doubling market opportunity and entering lucrative payroll market
-Customer base increased from 472 (31 December 2016) to 1,002 (27 March 2018)
-Total revenue increased 36% in the half year ending 31 December 2017 relative to prior corresponding period
-Listed in Deloitte Technology Fast 500 Asia Pacific, SmartCompany Smart50 Awards 2017, winner of Big Kahuna’ Award in Australian Anthill Cool Company Awards
-Opened offices in New Zealand and acquired NZ-based cloud remuneration software specialist Pivot Software
-Full time staff increasedfrom 92 employees (28 February 2017) to 162 (27 March 2018), up 76%
Of the following measures of success, which ONE do you want the judges to most appreciate about your organization's story of achievement since the beginning of 2017? Fast Growth