Efecte updates its strategy and long-term financial targets

EFECTE PLC — COMPANY ANNOUNCEMENT — 23 March 2020 at 18.45The Board of Directors of Efecte Plc has today approved Efecte’s strategy and long-term financial targets for the years 2020-2023.Our operating environmentThe trends of digitalization and “servicification” (everything being provided as-a-service) remain unchanged and keep fueling Efecte’s growth. Organizations across the private and public sector look for ways to provide better services more efficiently. At the same time, they also look for ways to increase their agility to be able to respond to changes in today’s fast-changing business environment promptly. Digitalization and automation of work, including the use of artificial intelligence, are considered vital vehicles to achieve these outcomes.While technology is critical, at the same time, human experience is more important than ever. Human-to-human matters a lot, especially when talking about services. Improving employee and customer experience is high on the agendas for most organizations. And in the aftermath of globalization, local alternatives are welcomed in Europe and elsewhere as a way to address topics ranging from privacy and security to the ability to meet and be heard by the vendor’s decision-makers. Shared values work better than any agreement in ensuring mutually beneficial outcomes in the long run.Efecte’s strategyOur mission remains unchanged: we love services, and our mission is to perfect them.We help service organizations digitalize and automate their work through the use of our cloud-based service management software. We are The European Alternative to global players in this space.Our vision is to reach industry-leading employee and customer satisfaction by 2023. We also want to be the fastest-growing European service management company, ranked by analysts as the number one European cloud solution in our field.Efecte’s strategic cornerstones to achieving that vision:Help service organizations digitalize and automate their workGrow in Europe as The European Alternative to global playersDifferentiate through better agility, experience and total cost of ownershipFocus on customer success to grow our user base and SaaS business“Service organizations that we help come in many forms, starting with our traditional customer base of IT departments of European businesses and the public sector. Since then, an increasing amount of HR teams and business divisions have adopted Efecte as a way to digitalize and automate service processes. Local and regional service providers, for example, in the areas of IT, HR and accounting, keep increasing in importance as a customer segment. The unifying theme is service that is being provided and consumed by humans”, says Efecte’s CEO Niilo Fredrikson.“During 2019, we proved that our basic formula works. This update is a natural evolution of our strategy, helping us even better realize the full potential of Efecte. Clearly stating that we are The European Alternative to global players in our space allows us to highlight how we are different not just based on technology, but also based on values and culture”, Fredrikson continues.Long-term financial targets for the period 2020-2023Efecte aims for over 20% annual organic growth of SaaS net sales on average in 2020 – 2023. Substantial investments in international growth and product development will decrease operating profit in the next few years, but the company aims for a double-digit operating profit percentage by the end of the strategy period.Further inquiries:CEO Niilo Fredrikson, +358 50 356 7177Certified Adviser:
Evli Bank Plc, tel +358 40 579 6210 Efecte PlcEfecte is a Finnish software company offering cloud-based Service Management solutions and related supportive professional services. With Efecte’s software, organizations can flexibly manage all internal and external services, for example, an IT, HR or finance department’s services, customer service and access rights. Efecte is one of the leading software vendors in its field for medium-sized and public organizations in Finland and the Nordic countries. The company was established in 1998 and is listed on the Nasdaq First North Growth Market Finland marketplace. Efecte operates in Finland, Sweden, Germany, and Denmark. www.efecte.com