Temenos’ earnings up 23% in FY 2015
Temenos CEO David Arnott
Temenos’ earnings have risen by 23% for the full year (FY) 2015 on the back of 52% growth in total software licensing.
Along with FY 2015, the vendor reported good results for the fourth quarter of 2015 – its IFRS (International Financial Reporting Standards) revenue was $168.4 million, up from $133.1 million in Q4 2014. Non-IFRS revenue was $173.4 million for Q4 2015 up from $133.1 million in Q4 2014, representing an absolute increase of 30% and a 36% increase in constant currency.
Temenos CEO David Arnott says 2015 was a “landmark year” for the company and that “geographically our growth … was driven largely by developed markets, with emerging markets only contributing 22% of total software licensing revenues”.
It said it had “significant growth” across all products in Q4 2015, in particular private banking and channels. In April 2015, Banking Technology reported on ABN Amro’s plans to implement the Temenos WealthSuite integrated wealth management platform for its international private banking business.
In terms of 2016, Arnott says he expects Temenos’ offerings to open up “substantial opportunities with tier 1 banks”.
Temenos CFO and COO Max Chuard says the company anticipates its “strong” financial performance to continue in 2016 with non-IFRS total software licensing growth of 10% to 15% and total revenue growth of between 7.5% and 11.0%.
Chuard says Temenos is also looking for a non-IFRS EBIT of $180 million to $185 million in 2016, which “implies” a margin of 30%.
