Job search site AD1 Holdings (AD1:AU) published its results for the financial year ended 30 June 2022.

The group reported revenue from operations of AUD 5.9 million (USD 4.1 million), an increase of 12% on the prior corresponding period (pcp) of FY 2021 and cash receipts from customers stood at AUD 6.8 million (USD 4.7 million), an increase of 35% over the previous year period.  Total revenue increased to AUD 7.7 million (USD 5.3 million) following a R&D tax incentive of AUD 1.8 million (USD 1.2 million).

Earlier this year, the company reported cash receipts totalling AUD 1.97 million (USD 1.3 million) in the fourth quarter of 2022, representing an increase of 54% compared to Q4 2021.

AD1 Holdings Chief Executive Officer, Mr Brendan Kavenagh said, “We are pleased to have achieved a solid year of growth with key customer wins across the group. Over the course of the year, we invested heavily into sales and marketing, development of products, and technology to set a strong foundation for growth, and we have already seen benefits with increased upsell activities and new customer with and renewals.”

“Both our AoM (Art of Mentoring) and ApplyDirect divisions showed significant progress with improved adoption of our expanded offerings and received strong interest following progress with our international marketing campaign directed at the North American market,” Kavenagh said.

AD1 had a strong sales focus in FY22 and invested AUD 0.5 million (USD 0.3 million) in sales and marketing to drive greater adoption of its product suite. Overall expenses increased by 26% as the company focused on greater market penetration and geographic expansion. The strong investment in people, product development and marketing for each business has resulted in new client wins during H2 2022.

The Art of Mentoring vertical has shown significant growth in its first full financial year of being integrated with the Group. AoM reported 44% annual growth and had an increase of 78% in cash receipts, which was supported by 27 new contract wins.

During FY22, ApplyDirect maintained its recurring revenue and onboarding new customers and renewals by its core customers including the NSW Public Services Commission and Pharmacy Guild and Development Victoria. Over the year, the ApplyDirect division had a strong focus on investing in software and product development to improve customer experience and drive greater customer penetration over the upcoming year.

Kavenagh said, “We also recently launched HR technology platform Jobtale, an exciting platform that supports small to mid-size businesses attract talent using creative tools including video and storytelling. So far approximately 100 customers signed up and early feedback from pilot partners have been extremely pleasing. Jobtale is a highly scalable SaaS product with a monthly subscription model which generate a new revenue stream and create cross selling opportunities across the group.”

AD1 recently added Jobtale to its growing portfolio of SaaS businesses, offering a complementary platform to ApplyDirect and Art of Mentoring. Jobtale is a disruptive HR SaaS platform providing companies with innovative and creative tools to attract and engage top talent via their network.

The energy crisis nationally has had an impact on USS (Utility Software Services) late in FY22. Despite these impacts USS achieved revenue consistent with FY22. AD1 Holdings continues to monitor the energy impact for USS and remains focused on product experience, supporting existing customers and converting its existing pipeline.

“Moving into FY23, we are well positioned to capitalise on a strong pipeline of contract wins which is currently 200% stronger than the same period last year,” Kavenagh said. “AD1 will remain focused on executing its growth strategy and deliver on its geographic expansion, specifically in North America, while further improving its product suite and growing its portfolio of SaaS businesses.”

The group last traded yesterday, prior to the publication of its full year results. The company has a market cap of AUD 14.19 million (USD 9.8 million).