Oslo, 29 April 2022
Effective business continuity plans contributed to Itera delivering strong organic growth of 22% and an operating margin of 15% in the first quarter of 2022.
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The company has been able to maintain almost full delivery capacity in its Ukrainian operations following relocations of employees to less affected locations or abroad. Itera discontinued its data centre operations as planned at the end of the quarter.
Itera reports operating revenue of NOK 176.0 million (NOK 144.4 million) for the first quarter of 2022, which represents growth of 22%.
Itera's headcount for its core digital business at the end of the first quarter of 2022 was 642 as compared to 524 at the end of the first quarter of 2021. This represents an increase of 118 employees (22%) over the last 12 months, of which 25 during the first quarter of 2022.
I was in Lviv and Kyiv in early April and am very impressed to see how dedicated our Ukrainian colleagues are to continuing to deliver high quality, even in such times of crisis.
Arne Mjøs
CEO
When Russia invaded Ukraine, Itera's business continuity plans were immediately implemented, focusing on the safety of our employees and customers deliveries. The activity level in most of our projects was back to normal after only a few days.
- I was in Lviv and Kyiv in early April and am very impressed to see how dedicated our Ukrainian colleagues are to continuing to deliver high quality, even in such times of crisis. I would also like to thank our customers who have stood together with us in support of Ukraine and our employees in the best possible way, as well as the warmth they show to our Ukrainian colleagues, says Arne Mjøs, CEO of Itera.
Total operating expenses in the first quarter of 2022 were 23% higher at NOK 149.9 million (NOK 122.3 million).
The operating result before depreciation and amortisation (EBITDA) for the first quarter of 2022 was a profit of NOK 33.3 million (NOK 28.1 million), giving an EBITDA margin of 18.9% (19.5%).
The operating result (EBIT) for the first quarter was NOK 26.1 million (NOK 22.1 million), giving an EBIT margin of 14.9% (15.3%).
At the end of the first quarter, Itera's data centre operations were finally discontinued, according to plan. This was done by a transfer of the remaining business to another data centre vendor. The business is reported on net profit basis as discontinued and shows a profit after tax of NOK -8.7 million (NOK -2.9 million) including termination costs.
- After completing the migration of data centre customers who were ready to move their servers to the cloud, we were finally able to transfer the remaining business to a new data centre partner to focus fully on our scalable digitalisation factory with a state-of-the-art Cloud Centre of Excellence, says Arne Mjøs, CEO of Itera.
- We are experiencing a strong increase in the number of customers who choose us as their technology and business partner through digital transformation. Our Digital Factory at Scale connects all our service areas, such as strategy, customer experience and cloud transformation to cloud migration, development of new applications, advanced use of data and artificial intelligence as well as handling applications throughout the life cycle. We are today in the best position in the company's history to help our customers in their journey towards becoming sustainable and digital, Mjøs continues.
The revenue from Itera's 30 largest customers accounted for 81% of its operating revenue, which is seven percentage points higher compared to the first quarter of 2021. New customers accounted for 9% of revenue.
