Temenos Sees 15% YoY Growth in ARR for Fourth Quarter and Full Year 2022

Temenos AG, the banking software company, has released its financial results for its fourth quarter and full year 2022, showing a stable yearly growth in its Annual Recurring Revenue (ARR).

Q4-22 Financial Results

• The ARR came in at $626.1 million in Q4-22, up 15% on a yearly basis.

• SaaS Annual Contract Value (ACV) amounted to $10.5 million in Q4-22.

• Total Bookings decline of 10% in Q4-22.

• $47.3 million of non-IFRS subscription licenses signed in Q4-22

• Non-IFRS SaaS revenue growth of 36% in Q4-22.

• Non-IFRS total software licensing revenues down 4% in Q4-22.

• Non-IFRS total revenue down 1% in Q4-22.

• Non-IFRS EBIT decline of 28% in Q4-22.

• non-IFRS EBIT margin of 33.8% in Q4-22.

• Operating Cash Flow of $135 million in Q4-22, down 38% on YoY basis.

• Free Cash Flow of $106 million in Q4-22, down 43% on YoY basis.

FY-22 Financial Results

• The ARR recorded a growth of 15% in FY-22 Constant currency (c.c.).

• ACV reached $58.1 million in FY-22.

• Total Bookings growth of 4% in FY-22 c.c..

• $105.7 million of non-IFRS subscription licenses signed in FY-22

• Non-IFRS SaaS revenue growth of 37% in FY-22 c.c..

• Non-IFRS total software licensing revenues remains equivalent.

• Non-IFRS total revenue up 1% in FY-22 c.c..

• Non-IFRS EBIT decline of 25% in FY-22 c.c..

• non-IFRS EBIT margin of 28.7% in FY-22.

• Operating Cash Flow of $317 million in FY-22, down 33% on YoY basis.

• Free Cash Flow of $193 million in FY-22, down 46% on YoY basis.

• Leverage at 2.0x at end of Q4-22.