In its statement to the ASX this morning, MYOB revealed revenue of $140 million for the six months, up 21% on the corresponding period last year, while earnings jumped by 29% to $70 million.
MYOB CEO Tim Reed said the first half growth signalled “continued sales momentum in cloud and mobile solutions” and said the company was the leader in cloud accounting for SMEs in Australia.
MYOB’s strong performance and its claim of market leadership in the SME space comes as the accounting software market continues to heat up, with aggressive competition for MYOB coming from the other key players – New Zealand-based Xero and American giant Intuit, makers of Quickbooks.
“In addition to the rapid growth of our cloud solutions, we’ve continued to build on our leading position in SME accounting software. Usage of MYOB accounting software is more than four times our nearest competitor.
“With a $40 million investment in R&D this financial year, we have continued to expand our cloud offerings to meet the evolving needs of small and medium businesses. In the first half, we introduced innovative mobile solutions such as MYOB PayDirect – a category-first for credit card payments on smart phone – while the MYOB OnTheGo app is enabling greater mobility for businesses.
“MYOB also continued to invest in talented people, with the business adding 100 new jobs over the past six months to meet rising client demand for an expanding product suite.”
According to Reed, MYOB’s ongoing acquisition and investment in successful and innovative companies has put it at the forefront of cloud accounting solutions for Australia and New Zealand.
Reed says MYOB will continue to focus on providing cloud accounting for businesses of every size and “supporting them as they grow from micro to mid-sized.”
“The recently announced acquisition of PayGlobal has doubled our presence in the mid-to-large sized business market in Australia and New Zealand. It is a complementary offering to MYOB EXO, and in early 2015, we expect to introduce a new cloud-based business management system for larger enterprises. We are excited by its development as it will help growing businesses to become more flexible and mobile.”