Artificial Intelligence
Good resilience in the 2020 first half results and continued delivery on key strategic initiatives across all solutions
Quadient – Good resilience in the 2020 first half results and continued delivery on key strategic initiatives across all solutions
H1 2020 highlights
- Strong free cash flow1 generation of €76 million in H1 2020 (vs. €21 million in H1 2019) reinforcing our robust liquidity position of €933 million, and low leverage of 0.8x excluding leasing2 as at 31 July 2020;
- Solid business fundamentals with continued resilience of recurring revenue even in the context of the COVID-19 health crisis (-5.9% organically vs. H1 2019, of which -4.5% for Major Operations);
- Sales of €485 million in H1 2020, a contained organic decline of 12.8%3 vs. H1 2019, of which -10.5% for Major Operations;
- Gradual sales recovery starting from May, driven by Business Process Automation and Parcel Locker Solutions activities;
- Current EBIT4 at €61 million in H1 2020 (vs. €93 million in H1 2019), with profitability enforced by active cost management – EBITDA margin of 21.5% and gross margin stable at 73.4% in H1 2020 (vs. 24.6% and 73.8% respectively in H1 2019);
- Net attributable income at €21 million in H1 2020 (vs. €47 million in H1 2019)
Business development and commercial successes
- Several new multi-year contracts signed in the Retail/Carrier sectors worth more than €60 million , including notably:
- First major contract in the US retail sector with Lowes for the nationwide deployment of 1,700+ parcel lockers;
- New contract in Japan with Yamato for the roll-out of 3,000 parcel lockers Lite;
- Acquisition of leading FinTech company YayPay™, specialized in SaaS Accounts Receivable automation solutions;
- Launch of new innovative products: Quadient® Impress™, Parcel Locker Lite™, iX-series.
2020 outlook
Thanks to its business portfolio, Quadient is uniquely positioned to continue to benefit from the acceleration of the shift towards digital solutions and e-commerce booming.
After the resilient performance recorded in the first half of 2020, revenue trend is expected to improve in the second half of 2020, driven by the growth in Business Process Automation and Parcel Locker Solutions activities.
Excluding unfavorable development with regards to the COVID-19 health crisis and worsening economic environment in the coming months, Quadient expects for full-year 20205 :
- Organic sales decline of around 10% compared to full-year 2019;
- Current EBIT4 in the range of €135 million to €145 million6;
- Free cash flow1 above €100 million6.
Paris, 28 September 2020,
Quadient (Euronext Paris: QDT), a leader in business solutions for meaningful customer connections through digital and physical channels, today announces its 2020 second-quarter consolidated sales and first-half results.
Geoffrey Godet, Chief Executive Officer of Quadient, stated: “Thanks to the strength of our highly recurring business model, the tight cost management measures we have implemented and the agility we have demonstrated throughout the difficult economic environment that we have faced, Quadient has succeeded to maintain a high level of profitability with EBITDA margin in excess of 21% and preserve a very robust liquidity position during the first half of the year. Overall, our three growth engines remained broadly stable, proving the relevance of Quadient’s transformation into an integrated provider of software solutions and smart hardware. Our recurring business model with both software subscription revenues on the one hand, and leasing and rental revenues on the other hand, helped to mitigate some of the impact of the COVID-19 crisis had on mail equipment, supplies, services and license sales which have been severely restricted by the lockdown situation.”
“The current context makes Quadient’s solutions more relevant than ever and we are uniquely positioned to benefit in the future from the accelerated adoption by our customers of multichannel and personalized digital communications solutions and more effective last-mile delivery management solutions due to ecommerce booming”, he added.
“In the meantime, we have relentlessly pursued the execution of our strategy, as evidenced by the multiple initiatives carried across our four solutions. We have launched several new innovative products such as a fully-integrated cloud platform for customer document management, a new series of franking machines and compact parcel lockers . In Parcel Locker Solutions, we have entered into new markets including the UK Residential sector and the US Retail sector on the back of an agreement with a top 10 US retail chain, and we also signed a new parcel locker contract with Yamato in Japan. Moreover, we secured promising distribution agreements in the field of Customer Experience Management. Lastly, we kept on reshaping our business portfolio with the divestment of ProShip and the acquisition of YayPay, a leading US FinTech specialized in Account Receivable automation. All these developments will help our customers and positively contribute to the future of Quadient”, he concluded.
RESILIENT RECURRING REVENUE IN H1 2020
Quadient’s strategy is to promote recurring revenues in all solutions through SaaS subscription and rental sales in particular. In the first half of 2020, the Group’s business model has proved once again resilient, with solid recurring revenue performance, despite difficult trading and economic conditions.
Consolidated sales stood at €485 million in the first half of 2020, a contained decline of -12.9% compared to the first half of 2019. Organic change stood at -12.8% (excluding currency impacts and scope effects related to the divestment of ProShip in February 2020).
Recurring revenue (75% of total sales) recorded a limited organic decline of 5.9% in H1 2020 compared to H1 2019, helping to mitigate the 28.3% organic decline experienced in hardware and license sales.
In million euros | H1 2020 | H1 2019 | Change | Change at constant rates | Organic change |
Major Operations | 437 | 483 | -9.6% | -10.5% | -10.5% |
Customer Experience Management | 61 | 65 | -5.2% | -5.5% | -5.5% |
Business Process Automation | 31 | 30 | +1.6% | +1.1% | +1.1% |
Parcel Locker Solutions | 32 | 28 | +12.0% | +9.4% | +9.4% |
Mail-Related Solutions | 313 | 360 | -13.1% | -13.9% | -13.9% |
Additional Operations | 48 | 74 | -34.5% | -33.1% | -28.9% |
Group total | 485 | 557 | -12.9% | -13.5% | -12.8% |
In million euros | H1 2020 | H1 2019 | Change | Change at constant rates | Organic change |
Major Operations | 437 | 483 | -9.6% | -10.5% | -10.5% |
North America | 239 | 250 | -4.5% | -6.0% | -6.0% |
Main European countries(a) | 173 | 210 | -17.4% | -17.6% | -17.6% |
International(b) | 25 | 23 | +4.8% | +4.8% | +4.8% |
Additional Operations | 48 | 74 | -34.5% | -33.1% | -28.9% |
Group total | 485 | 557 | -12.9% | -13.5% | -12.8% |
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Major Operations supported by the performance of growth engines
In the first half of 2020, Major Operations posted revenue of €437 million (90% of total sales), down 10.5% on an organic basis compared to the first half of 2019. The resilience of recurring revenue (77% of Major Operations sales), down only 4.5% organically vs. H1 2019, with strong growth in both Parcel Locker Solutions and Business Process Automation activities, helped partially mitigate the impact of hardware equipment and license sales decline.
Sales in North America recorded a moderate organic decrease (-6.0%) in H1 2020, thanks to strong double-digit growth in Customer Experience Management activity with a very dynamic activity in professional services and in license sales.
Main European countries posted a sharper organic sales decline (-17.6%) in H1 2020 due to tougher impact of social distancing measures.
The International segment delivered a solid organic sales growth (+4.8%) in H1 2020, driven by the strong increase of rental revenue from Parcel Locker Solutions in Japan, mitigated by a high comparable base in Q2 2019 for Customer Experience Management, which benefited from two large deals.
Customer Experience Management
In the first half of 2020, Customer Experience Management sales stood at €61 million, down 5.5% organically compared to the first half of 2019. Recurring revenue (77% of Customer Experience Management sales) showed a very good resilience (‑2.5%) with a continuous significant increase in revenue from SaaS7 subscription and growth in maintenance revenue. This performance was offset by the decline in revenue from professional services, mainly operated on-site and thus affected by social distancing measures.
License sales (-14.4%) were affected by a high comparable base in Q2 2019. Moreover, in the social-distancing context, go-to-market was more difficult with large accounts, weighing on new customer acquisitions. Quadient however succeeded in gaining customers in its traditional verticals as well as newer verticals like Governments, Telcommunications and Utilities. Answering customer demand, the progressive shift from on-premise licenses to SaaS-based subscription model impacted license sales by reinforcing the recurrent revenue model of Quadient going-forward.
Sales in North America recorded strong double-digit growth, reflecting good business momentum and a favorable comparable base in H1 2019. Conversely, sales in main European countries were affected by more severe social distancing measures and unfavorable comparable base in professional services in H1 2019. International sales were also down due to a high comparable base in H1 2019.
Business Process Automation
In the first half of 2020, Business Process Automation sales stood at €31 million, up 1.1% organically compared to the first half of 2019.
This increase reflected the strong growth in SaaS revenue thanks to increased level of SaaS subscriptions recorded in the previous quarters. This shift in customer demand to SaaS-mode solutions, particularly in North America and France, contributed to double-digit growth in recurring revenue (+13.2%), representing 88% of Business Process Automation sales in H1 2020. In addition, the Group continued its campaigns to accelerate new customer acquisitions under this subscription model in all regions, with a particularly positive effect on contract activations across North America. The good performance from recurring revenue was partly offset by the decrease in revenue linked to volume-based usage related to Business Process Automation platforms, particularly in the Property Management sector in France. However, this trend tends to reverse at the end of H1 2020, with an improvement in volume-based activity.
License sales, even if representing a relatively small portion of Business Process Automation revenue, were strongly impacted (-43.9%), mainly due to the lower traction of bundled offers with Mail-Related Solutions as the COVID-19 context made more difficult the placement of new hardware equipment.
Parcel Locker Solutions
In the first half of 2020, Parcel Locker Solutions sales stood at €32 million, up 9.4% organically compared to the first half of 2019, due to the strong growth of recurring revenue (+35.2%), representing 64% of Parcel Locker Solutions sales in H1 2020.
In Japan, the rental-based model proved its strength with strong double-digit revenue growth in H1 2020, due to the increase of the installed base in the previous quarters, despite some slowdown in new installations in Q2 2020. In the US, the Property Management sector experienced a strong growth in subscription. In addition, recurring revenue benefited from the increase in maintenance and consumption/usage activity (e.g., resident fees, storage fees).
Hardware sales (-18.3%) were impacted by social distancing measures, especially in the Property Management and Corporate/ University sectors in the US, leading to delays in installations. Bookings were also affected by the economic situation that led to new construction projects being postponed. Moreover, the comparable base was very tough as Q2 2019 delivered strong performance, while Q2 2020 suffered from deals on hold due to institutions focusing on other priorities.
Mail-Related Solutions
In the first half of 2020, Mail-Related Solutions sales stood at €313 million, down 13.9% organically compared to the first half of 2019. Recurrent revenue (77% of Mail-Related Solutions sales), largely supported by multi-year contracts, posted a more moderate decline (-8.7%), benefiting from the good level of new hardware placements in 2019, especially in North America.
Revenue from consumables (ink cartridges) were impacted by the COVID-19 context, but the decrease was less pronounced from May with a gradual recovery in volumes as usage started to return. While the level of activity showed improving trends compared to the second half of Q1 2020, the recovery was still limited due to remote working linked to social distancing measures.
In this context, new hardware placements were affected (-27.6%), especially for large deals (e.g. production mail), in spite of the increase in remote sales (telesales or sales by email). The decline continued to be less marked in North America than in Europe and this trend was amplified by less stringent social distancing measures in place in North America. However, Quadient recorded a progressive recovery from May from the lows experienced in April.
Additional Operations
In the first half of 2020, Additional Operations recorded revenue of €48 million (10% of total sales), down 28.9% on an organic basis compared to the half of 2019. This mainly reflected a drop in revenue from graphics and Mail-Related Solutions sales in the Nordics and Australia, as well as weaker revenue related to the export business (e.g. OEM contracts with third-party Mail-Related Solutions distributors) due to high comparable base in H1 2019. It reflects as well the lower level of recurring revenues in this segment. Furthermore, Quadient sold 4 CVP units of automated packing systems in H1 2020 (vs. 6 units in H1 2019).
Q2 2020 SALES RECOVERED FROM LOWS OF APRIL
In the second quarter of 2020, from May, Quadient has benefited from improving business trends, driven by its growth engines and partial recovery of the Mail Related business versus the trend experienced during the second half of the first quarter. However, the continuation, sometimes loosened, of social distancing measures weighted on the pace of recovery.
Consolidated sales stood at €246 million in the second quarter of 2020, down 14.6% organically compared to the second quarter of 2019 (excluding currency impacts and scope effects related to the divestment of ProShip in February 2020).
Major Operations sales stood at €222 million in Q2 2020, down 12.0% organically compared to Q2 2019, driven by the resilience of recurring revenue (-5.3%).
Customer Experience Management sales stood at €31 million in Q2 2020, down 11.0% organically compared to the Q2 2019, due to a high comparable base in licenses sales and the impact of social distancing measures on professional services and lead generations. SaaS revenues subscriptions however continued to grow very strongly.
Business Process Automation sales stood at €16 million at the end of Q2 2020, slightly down by 2.5% organically compared to Q2 2019. As for Customer Experience Management, the activity continued to experience a strong demand for digital solutions under SaaS model. However, revenues were affected by a decline in licenses sales through bundled offers with Mail-Related Solutions and in volume-based activities, especially in the Property Management sector in France, even if this latest trend starts to reverse at the end of the quarter.
Parcel Locker Solutions sales stood at €17 million in Q2 2020, slightly down by 1.9% organically compared to Q2 2019. This reflected a high comparable base in the Corporate/University sectors in the US in Q2 2019, while booking and installation dynamics were slowed by delays in new building projects in the Property Management sector. In addition, cancellation and postponement of tradeshows impacted lead generations. In Japan, the rental-based model proved its strength with strong double-digit revenue growth in Q2 2020, due to the increase of the installed base in the previous quarters.
Mail-Related Solutions sales stood at €158 million in Q2 2020, down 13.9% organically compared to Q2 2019, experiencing improving trend compared to the second half of Q1 2020. The recovery is still limited by the social distancing measures in place, impacting hardware sales and placements and, to a lower extent than in Q1 2020, supplies.
Additional Operations sales stood at €24 million in Q2 2020, down 32.5% organically compared to Q2 2019.
REVIEW OF 2020 FIRST-HALF RESULTS
Simplified P&L
In € million | 2020 | 2019 | Change |
Sales | 485 | 557 | -12.9% |
Gross profit | 356 | 411 | -13.4% |
EBITDA | 104 | 137 | -24.0% |
Current operating income before acquisition-related expenses | 61 | 93 | -34.2% |
Current operating income | 50 | 82 | -39.0% |
Net attributable income | 21 | 47 | -54.5% |
Earnings per share | 0.50 | 1.24 | -59.7% |
Diluted earnings per share | 0.50 | 1.18 | -57.6% |
Operating income enforced by active cost management
2020 | 2019 | |||||
Major Operations |
Additional Operations | Group total | Major Operations | Additional Operations | Group total | |
Revenue | 437 | 48 | 485 | 483 | 74 | 557 |
Current operating income before acquisition-related expenses | 65 | (4) | 61 | 96 | (3) | 93 |
Current operating income before acquisition-related expenses stood at €61 million in H1 2020 compared to €93 million in H1 2019, mainly reflecting the decrease in revenue. Active cost management in both cost of sales and operating expense levels partially helped protect the profitability.
Gross margin remained broadly stable at 73.4% in H1 2020 compared to 73.8% in H1 2020, despite a significant volume effect, due to the built-in flexibility of the cost base resulting from a high proportion of outsourcing in hardware manufacturing (90% of mail equipment, 100% of parcel lockers) and a more favorable mix. Moreover, continued tight cost optimization measures helped to generate approximately €23 million of savings in operating expenses, before impact of bad debt, in H1 2020, while allowing the Group to maintain ongoing investment efforts to support the implementation of its strategic initiatives.
Current operating margin before acquisitions-related expenses stood at 12.6% of sales in H1 2020 compared to 16.6% in H1 2019.
Acquisition-related expenses reached €11 million in H1 2020, a stable level compared to H1 2019, and notably included costs associated with the divestment of ProShip (bonus contingent to the closing of the transaction) and the acquisition of YayPay (non-recourse loans to the founders).
Current operating income totaled €50 million in H1 2020 compared to €82 million in H1 2019.
Optimization and other operating expenses amounted to €8 million in H1 2020 compared to €3 million in H1 2019, including costs related to the shutdown of Temando and increased restructuring expenses associated with cost optimization measures.
Operating income totaled €42 million in H1 2020 compared to €79 million in H1 2019.
Net attributable income of €21 million
The net cost of debt amounted to -€16 million in H1 2020 compared to -€17 million in H1 2019, reflecting the positive impact from 2019/2020 refinancing operations on interest expenses.
The Group reduced its currency losses and other financial items to -€1 million in H1 2020 compared to -€2 million in H1 2019.
As a result, net financial result was a loss of -€17 million in H1 2020 compared to a loss of -€19 million in H1 2019.
Income tax amounted to -€3 million in H1 2020 compared to -€14 million in H1 2019, mainly thanks to the benefit of tax loss carry-back measures implemented in the US in H1 2020 to support corporates in the COVID-19 context.
The corporate tax rate stood at 11.1% in H1 2020 compared to 22.6% in H1 2019. Excluding non-recurring items, corporate tax rate would have been at 22.8% in H1 2020.
Net attributable income amounted to €21 million in H1 2020 compared to €47 million in H1 2019. Earnings per share stood at €0.50 in H1 2020 compared to €1.24 in H1 2019.
STRONG CASH FLOW GENERATION
EBITDA8 totaled €104 million in H1 2020 compared to €137 million in H1 2019, reflecting lower current operating income and broadly stable depreciation and amortization. EBITDA margin stood at 21.5% in H1 2020 compared to 24.6% in H1 2019.
The change in working capital generated a net cash outflow of €25 million in H1 2020 compared to a net cash outflow of €55 million in H1 2019. This mainly reflected the lower level of activity, as well as the postponement of payments of some social and VAT charges to H2 2020 in several countries.
The Group recorded a higher decrease in its lease receivables (€54 million in H1 2020 compared to €31 million in H1 2019) due to lower placements of new equipment in the current context of social distancing.
The leasing portfolio and other financing services amounted to €613 million as at 31 July 2020 compared to €698 million as at 31 January 2020, representing an organic decrease of 7.6% in H1 2020 versus an organic decrease of 4.3% in H1 2019.
At the end of H1 2020, the default rate of the leasing portfolio stood at around 1.7%.
Interest and taxes paid totaled -€16 million in H1 2020 compared to -€37 million in H1 2019, mainly thanks to the positive impact from 2019/2020 refinancing operations on interest expenses and reduced amount of tax paid.
Capital expenditure amounted to €39 million in H1 2020 compared to €49 million in H1 2019. This reflected lower investments related to maintenance, in line with decreased level of activity, and reduced investments related to Parcel Locker Solutions in Japan (mostly due to a high comparable base in 2019), as well as in rented mail equipment.
In total, the Group recorded cash flow after capital expenditure of €76 million in H1 2020 compared to €21 million in H1 2019.
IMPROVED LEVERAGE AND ROBUST LIQUIDITY POSITION
Net debt was reduced by 82 millon to €586 million as at 31 July 2020, from €668 million as at 31 January 2020. The leverage ratio (net debt/EBITDA) slightly improved at 2.3x9 as at 31 July 2020 compared to 2.4x9 as at 31 January 2020. The Group’s net debt is backed by future cash flows generated from its rental and leasing activities.
Excluding leasing, the leverage ratio remained low at 0.8x9 as at 31 July 2020 compared to 0.9x9 as at 31 January 2020.
Shareholders’ equity amounted to €1,221 million as at 31 July 2020 compared to €1,249 million as at 31 January 2020. The gearing10 ratio decreased to 48% of shareholders’ equity as at 31 July 2020 compared to 54% as at 31 January 2020.
The Group has a robust liquidity position of €933 million as at 31 July 2020, of which €533 million in cash and €400 million of undrawn credit line, the latter maturing in 2024.
2020 OUTLOOK
Thanks to its business portfolio, Quadient is uniquely positioned to continue to benefit from the acceleration of the shift towards digital solutions and e-commerce booming.
After the resilient performance recorded in the first half of 2020, revenue trend is expected to improve in the second half of 2020, driven by the growth in Business Process Automation and Parcel Locker Solutions activities.
Excluding unfavorable development with regards to the COVID-19 health crisis and worsening economic environement in the coming months, Quadient expects for full-year 202011 :
- Organic sales decline of around 10% compared to full-year 2019;
- Current EBIT12 in the range of €135 million to €145 million13;
- Free cash flow14 above €100 million13.
BUSINESS HIGHLIGHTS
Quadient continued to actively execute its “Back to Growth” strategy in the first half of H1 2020, leading to the implementation of multiple strategic initiatives across all solutions, which encompassed new innovative product launches, new contracts and partnerships, as well as further reshaping of the portfolio with one divestment (ProShip) and one acquisition (YayPay).
Acquisition of leading FinTech company YayPay™, specialized in Accounts Receivable automation
On 29 July 2020, Quadient announced the acquisition of YayPay, a best-in -class and rapidly growing company at the forefront of SaaS accounts receivable (AR) automation solutions. Founded in 2015, YayPay provides a combination of automated invoice delivery paired with collections management, credit assessment, payment and cash application solutions, delivering a comprehensive cloud-based platform to more than 3,000 users globally. YayPay’s solution also combines real-time reporting with artificial intelligence to provide companies insight into future payer behavior and how it impacts their cash flow, helping them reduce write-offs and Days Sales Outstanding (DSOs). The acquisition of YayPay will expand Quadient’s Business Process Automation offer, notably complementing its cloud-based platform Quadient® Impress™, a multichannel document automation platform for small and medium businesses. YayPay is based in New York and has a team of nearly 60 people.
Quadient owns c.87% in the parent company of YayPay. The purchase price, excluding transaction-related costs, amounted to more than €17 million.
Global Partnership with Infosys to enhance delivery of Customer Experience Management solutions
On 23 July 2020, Quadient announced that Infosys has become a Platinum Business Partner in Quadient’s Partner Advantage Program. Infosys is a global provider of next-generation digital services and consulting. Under the partnership, it aims to leverage and supply Quadient solutions to provide businesses with the leading omnichannel Customer Communication Management (CCM) platform and the capability to meet complex communication needs, while being aligned to their customer experience strategy. Additionally, Infosys and Quadient will jointly develop innovative solutions in the customer experience management (CXM) space, making demonstrations available at Infosys technology and innovation hubs.
Introduction of iX-Series Mailing Systems to US Market
On 30 June 2020, Quadient announced the launch of the iX-Series Mailing Systems and S.M.A.R.T. Mail Center software in the US, designed to meet the needs of small, medium and large businesses across a variety of industry verticals. The new series brings customers additional features and technology updates while meeting the latest requirements of the US Postal Service. This development initiative is part of Quadient objective to extend its leadership in the mail industry in the US, as outlined in the frame of its Back to Growth strategy.
Further expansion of Quadient Parcel Lockers Solution offering and activity
Combining the expertise of recently acquired US-based Parcel Pending with its longstanding global leadership in parcel locker solutions for carriers, retailers, commercial buildings or universities, Quadient has adopted the “Parcel Pending by Quadient” brand across its entire parcel locker portfolio in North-America and Europe since June 2020.
On 22 June 2020, Quadient announced the simultaneous launch in France, Japan, the UK and the US of Parcel Locker Lite™, a new series of compact and modular parcel lockers, designed to facilitate the roll-out and accelerate the adoption of parcel locker solutions at an affordable cost by customers with smaller floor areas and lower volumes of parcels.
In Japan, Quadient signed in Q1 2020 a new contract with Yamato concerning the installation of 3,000 Parcel Locker Lite units for its pick-up and drop-off sites that include convenience stores, train stations, supermarkets and drugstores. Rollout has started last summer and will continue through 2023.
On 16 July 2020, Quadient announced the launch of Parcel Pending by Quadient for multi-tenant residential buildings across the UK. The customizable parcel locker systems provide seamless management of incoming packages through an automated parcel process, securing delivery, storage and pick-up, enhancing resident satisfaction and improving operational efficiency.
Successful Launch of Cloud-based Platform Quadient® Impress™ for small and medium-size businesses
On 16 June 2020, Quadient announced the general availability of Quadient® Impress™, a user-friendly outbound document automation platform that automates the customer communication workflow for small and medium businesses (SMBs). The comprehensive cloud-based platform provides the flexibility to prepare and send single or batch transactional documents to customers through any combination of channels—print, digital or outsourced.
Quadient Impress is a major milestone in the consolidation and streamlining of the Company’s Business Process Automation solutions into a single software platform integrating four suites of applications (Automate, Portal, Dispatch, and Outsourced Hybrid Mail). The Impress software RD development benefited from strong RD synergies from its flagship Inspire (CXM) platform. More than 140 new customers have been acquired since the launch.
Divestment of ProShip
In February 2020, Quadient announced the sale of its subsidiary, ProShip, a global provider of automated multi-carrier shipping software, to FOG Software Group, a division of Constellation Software, Inc., a company listed in Toronto. The transaction was closed on 28 February 2020 and the selling price totaled 15 million US dollar.
POST-CLOSING EVENTS
Major contract in the US retail sector with Lowes
In September 2020, Quadient announced it has signed with Lowes, an US-based retail chain specializing in home improvement, a major contract for the deployment of Parcel Lockers Solutions in the US retail sector. The nationwide rollout of more than 1,700 self-service parcel lockers is planned. Lowes ranks amongst the top 10 US retailers with more than 2,200 stores.
Quadient Named Finalist in Two Categories in the Parcel and Postal Technology International Awards 2020
On 8 September 2020, Quadient announced it achieved finalist status in two categories in the Parcel and Postal Technology International (PPTI) Awards 2020 for its Parcel Pending Lite and CVP Everest solutions. The PPTI Awards recognize the latest developments in the postal sector.
Repayment of all borrowings contracted under US private placements, for a total of USD 115 million
On 4 September 2020, Quadient proceeded to the repayment of all borrowings contracted under US private placements, for a total amount of 115 million US dollar. On top of the mandatory repayment of 30 million US dollar scheduled for September 2020, Quadient decided the early repayment of 85 million US dollar of debt, maturing in 2021 (35 million US dollar) and 2022 (50 million US dollar). This operation is in the straight continuation of the Group’s policy aiming at managing its balance sheet in a dynamic way and at optimizing its financing resources.
The impact on the Group’s cost of net debt will be slightly positive over the remaining term of the early-repaid borrowings.
CONFERENCE CALL & WEBCAST
Quadient will host a conference call and webcast on 28 September 2020 at 6:15pm Paris time (5:15pm London time). The meeting will be held in English.
To join the webcast, click on the following link: Webcast.
To join the conference call, please use one of the following phone number:
▪ France: +33 (0) 1 70 37 71 66;
▪ United States: +1 212 999 6659;
▪ United Kingdom: +44 (0) 20 3003 2666;
▪ Switzerland: +41 (0) 43 456 9986.
Password: Quadient.
A replay of the audio webcast will be available for a period of one year.
CALENDAR
- October 2020: Education session on Customer Experience activity (event details will be communicated later);
- 24 November 2020: Q3 2020 sales release (after close of trading on the Euronext Paris regulated market).
About Quadient®
Quadient is the driving force behind the world’s most meaningful customer experiences. By focusing on four key solution areas including Customer Experience Management, Business Process Automation, Mail-Related Solutions, and Parcel Locker Solutions, Quadient helps simplify the connection between people and what matters. Quadient supports hundreds of thousands of customers worldwide in their quest to create relevant, personalized connections and achieve customer experience excellence. Quadient is listed in compartment B of Euronext Paris (QDT) and is part of the CAC® Mid & Small and EnterNext® Tech 40 indices.
For more information about Quadient, visit https://invest.quadient.com/en-US.
Contacts
Laurent Sfaxi, Quadient +33 (0)1 45 36 61 39 [email protected] [email protected] |
OPRG Financial Isabelle Laurent / Fabrice Baron +33 (0)1 53 32 61 51 /+33 (0)1 53 32 61 27 [email protected] f[email protected] |
Caroline Baude, Quadient
+33 (0)1 45 36 31 82
[email protected]
APPENDICES
Glossary
- Major solutions: The four major solutions in which Quadient has already acquired strong legitimacy and which have the potential to reach a significant size and have significant growth potential. The Solutions are: Customer Experience Management, Business Process Automation, Parcel Lockers Solutions and Mail-related Solutions. These Solutions are sold by both Major Operations and Additional Operations.
- Customer Experience Management: Solutions enabling companies to create, manage and provide omnichannel and personalized solutions on demand and in high volumes;
- Business Process Automation: Range of business process automation solutions, especially in the field of invoicing flows (hybrid mail, accounts receivable, accounts payable);
- Parcel Locker Solutions: Automated parcel lockers system to solve “last-mile” delivery issues in high density urban areas;
- Mail-Related Solutions: Solutions linked to mail management, mainly franking machines, folders/inserters and mailroom shipping software.
- Major Operations: The four major solutions in the two main geographies, i.e. North America and the main European countries, as well as the activities of Parcel Locker Solutions in Japan and of Customer Experience Management in the International segment.
- Additional Operations: Mail-Related Solutions, Business Process Automation and Parcel Locker Solutions (excluding Japan) outside Major Operations, and the Group’s Other Solutions including graphics, shipping software and the CVP automated packing system.
- Other Solutions: Graphics, shipping software and the CVP automated packing system.
- Other Geographies: All countries outside the two main geographies, i.e. North America and the main European countries.
Change in Q2 2020 sales
In million euros | Q2 2020 | Q2 2019 | Change | Change at constant rates | Organic change |
Major Operations | 222 | 252 | -11.9% | -12.0% | -12.0% |
Customer Experience Management | 31 | 36 | -11.4% | -11.0% | -11.0% |
Business Process Automation | 16 | 16 | -2.5% | -2.5% | -2.5% |
Parcel Locker Solutions | 17 | 17 | -1.0% | -1.9% | -1.9% |
Mail-Related Solutions | 158 | 183 | -13.8% | -13.9% | -13.9% |
Additional Operations | 24 | 39 | -38.1% | -37.0% | -32.5% |
Group total | 246 | 291 | -15.4% | -15.3% | -14.6% |
In million euros | Q2 2020 | Q2 2019 | Change | Change at constant rates | Organic change |
Major Operations | 222 | 252 | -11.9% | -12.0% | -12.0% |
North America | 121 | 131 | -7.5% | -7.7% | -7.7% |
Main European countries | 88 | 108 | -18.0% | -18.1% | -18.1% |
International | 13 | 13 | -5.5% | -4.2% | -4.2% |
Additional Operations | 24 | 39 | -38.1% | -37.0% | -32.5% |
Group total | 246 | 291 | -15.4% | -15.3% | -14.6% |
FIRST-HALF 2020
Consolidated income statement
In € million |
H1 2020 (period ended on 31 July 2020) |
H1 2019 (period ended on 31 July 2019) |
Sales | 485 | 557 |
Cost of sales | (129) | (146) |
Gross margin | 356 | 411 |
R&D expenses | (25) | (25) |
Sales expenses | (126) | (136) |
Administrative and general expenses | (101) | (107) |
Maintenance and other expenses | (45) | (51) |
Employee profit-sharing and share-based payments | 2 | 0 |
Current operating income before acquisition-related expenses | 61 | 93 |
Acquisition-related expenses | (11) | (11) |
Current operating income | 50 | 82 |
Gains/(losses) on disposals and others | (0) | (0) |
Structure optimization expenses, net of reversals | (8) | (3) |
Operating income | 42 | 79 |
Financial income/(expense) | (17) | (19) |
Income before taxes | 25 | 60 |
Income taxes | (3) | (14) |
Share of results of associated companies | 0 | 1 |
Net income | 22 | 47 |
Minority interests | (1) | 0 |
Net attributable income | 21 | 47 |
Simplified consolidated balance sheet
Assets In € million |
31 July 2020
|
31 July 2019
|
31 January 2020
|
Goodwill | 1,040 | 1,140 | 1,045 |
Intangible fixed assets | 129 | 141 | 130 |
Tangible fixed assets | 213 | 228 | 235 |
Other non-current financial assets | 62 | 66 | 69 |
Leasing receivables | 613 | 685 | 698 |
Other non-current receivables | 3 | 3 | 4 |
Deferred tax assets | 18 | 5 | 9 |
Inventories | 75 | 84 | 77 |
Receivables | 187 | 198 | 233 |
Other current assets | 105 | 87 | 96 |
Cash and cash equivalents | 533 | 427 | 498 |
Assets held for sale | – | – | 21 |
TOTAL ASSETS | 2,978 | 3,064 | 3,115
|
Liabilities In € million |
31 July 2020
|
31 July 2019
|
31 January 2020
|
Shareholders’ equity | 1,221 | 1,277 | 1,249 |
Long-term provisions | 25 | 25 | 29 |
Non-current financial debt | 822 | 902 | 1,055 |
Other non-current liabilities | 1 | 8 | 1 |
Current financial debt | 297 | 234 | 112 |
Deferred tax liabilities | 144 | 145 | 135 |
Deferred income | 168 | 165 | 198 |
Financial instruments | 4 | 1 | 2 |
Other current liabilities | 296 | 307 | 327 |
Liabilities held for sales | 0 | – | 7 |
TOTAL LIABILITIES | 2,978 | 3,064 | 3,115 |
Simplified cash flow statement
In €millions |
H1 2020 (period ended on 31 July 2020) |
H1 2019 (period ended on 31 July 2019) |
EBITDA | 104 | 137 |
Other elements | (2) | (6) |
Cash flow before net cost of debt and income tax | 102 | 131 |
Change in the working capital requirement | (25) | (55) |
Net change in leasing receivables | 54 | 31 |
Cash flow from operating activities | 131 | 107 |
Interest and tax paid | (16) | (37) |
Net cash flow from operating activities | 115 | 70 |
Capital expenditure | (39) | (49) |
Net cash flow after investing activities | 76 | 21 |
Impact of changes in scope | (9) | (12) |
Disposals of fixed assets | 0 | 0 |
Others | 1 | 0 |
Net cash flow after acquisitions and disposals | 68 | 9 |
Capital increase | – | – |
Share buyback | (1) | 0 |
Dividends paid | – | – |
Change in debt and others | (33) | 173 |
Net cash flow from financing activities | (34) | 173 |
Cumulative translation adjustments on cash | (1) | (2) |
Change in net cash position | 33 | 180 |
1 Cash flow after capital expenditure.
2 Including IFRS 16.
3 H1 2020 sales are compared to H1 2019 sales, from which is deducted revenue from ProShip for an amount of €4.3 million, and are restated of a € 3.1 million positive currency impact over the period. Q2 2020 sales are compared to Q2 2019 sales, from which is deducted revenue from ProShip for an amount of € 2.6 million, and are restated of a € 0.2 million negative currency impact over the period.
4 Current operating income before acquisition-related expenses.
5 Based on H1 2020 average exchange rates.
6 The indications given up to 2022 as part of the “Back to Growth” plan remain suspended.
7 SaaS = Software as a Service
8 EBITDA = current operating income + provisions for depreciation of tangible and intangible fixed assets.
9 Including IFRS 16.
10 Net debt / shareholders’ equity
11 Based on H1 2020 average exchange rates.
12 Current operating income before acquisition-related expenses.
13 The indications given up to 2022 as part of the “Back to Growth” plan remain suspended.
14 Cash flow after capital expenditure.
Attachment
Artificial Intelligence
WIO Taps Gracenote to Revolutionize Television Broadcast Reporting
LOS ANGELES, May 11, 2024 /PRNewswire/ — WIO LLC, parent company of the global TV broadcast airings platform, WIOpro™, has announced a new strategic agreement with Gracenote, the global content data business unit of Nielsen, to address the longstanding challenge of accurately tracking and collecting music royalties generated by broadcast television and digital programming, With this agreement, WIO will integrate Gracenote TV program metadata and show airings into its WIOpro™ (“When’s It On – Professional”) platform enabling performance rights organizations, copyright management organizations and other entities to better monitor broadcast schedules and identify when royalties have been earned.
By integrating Gracenote historical program data into WIOpro’s new LookBack™ feature, WIO is enhancing its reporting capabilities and empowering Collection Societies, Rights Management Companies and the royalty-earning community to more easily monitor and export broadcast airings and better understand collections opportunities.
“At WIO, we are committed to empowering collection societies and copyright holders around the world with our platform tools and unprecedented access to the best and most accurate television broadcast and streaming data available,” said Shawn Pierce, Co-Founder and CEO of WIO LLC. “We have enjoyed an incredible relationship with Gracenote for 10 years. With the solidification of this agreement, we are able to deliver an unrivaled dataset to the royalty and residual community in a way that has not been offered before.” said Adam Shafron, Co-Founder and CTO of WIO LLC.
“WIO’s platform developed to solve the difficult matter of royalty tracking only becomes more powerful based on the integration of accurate, timely and comprehensive Gracenote metadata,” said Scott Monahan, Director, Strategic Partnerships, Gracenote. “We look forward to the combination of WIOpro’s technology and Gracenote’s program metadata delivering on the promise of transforming music royalty collection so that rights holders can be fairly compensated for use of their work.”
WIO and Gracenote will be at the MusicBiz 2024 conference in Nashville, TN May 13 – 16. Contact Dave Pelman, COO of WIO LLC at [email protected] for media queries or to book an appointment for a product demonstration.
About WIO:WIO is a technology company dedicated to providing broadcast television and digital programming data tailored specifically for the royalty and residual collection industry. Through its platform WIOpro (wiopro.com), users obtain access to real-time broadcast insights, reporting and curated data delivery.
About Gracenote:Gracenote is the content data business unit of Nielsen providing entertainment metadata, connected IDs and related offerings to the world’s leading creators, distributors and platforms. Gracenote enables advanced content navigation and discovery capabilities helping individuals easily connect to the TV shows, movies, music, podcasts and sports they love while delivering powerful content analytics making complex business decisions simpler.
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Artificial Intelligence
IDTechEx Explores Printed Electronics in Electrified and Autonomous Mobility
BOSTON, May 10, 2024 /PRNewswire/ — Electrification, autonomy, and vehicle ownership saturation are causing a technological revolution in the automotive sector. These automotive meta-trends are driving drastic changes in electronic component requirements and present a high-volume opportunity for printed electronics to capitalize on.
Historically, printed electronics technologies have nurtured a close relationship with the automotive sector, with printed force sensors pioneering passenger safety through seat occupancy and seatbelt detection. As such, the automotive sector continues to represent the lion’s share of the global printed and flexible sensor market, which IDTechEx’s report on the topic evaluates as worth US$421M in 2024. However, if the automotive sector is to continue to be a reliable revenue stream, printed electronics technology providers must adapt to address the emerging technical challenges facing future mobility.
Augmenting autonomous vehicles with printed electronics
As vehicle autonomy levels advance, the increasing number and distribution of spatial mapping sensors required will need continuous performance improvements to ensure passenger safety. Emerging printed electronics technologies can augment these sensors, extending detection bandwidth and maximizing reliability during operation.
Transparent conductive films (TCFs) are being developed to heat and defog LiDAR sensor panels, ensuring the function is unperturbed by external environmental conditions. Properties such as high transparency and low haze are important for defogging. These properties can be easily tuned using the wide variety of material options available for TCFs, including carbon nanotubes and silver nanowires.
IDTechEx identifies printed heating as a leading application of transparent conductive films. This is attributed to diminishing growth prospects in capacitive touch sensing applications. Innovations in thin film coating techniques have enabled indium tin oxide (ITO) to dominate touch sensing applications, all but displacing TCFs completely.
Looking towards the future, printed electronics technologies could play a more active role in advanced autonomous driving. Emerging semiconductive materials, such as quantum dots, printed directly onto conventional silicon image sensor arrays can extend detection range and sensitivity deeper into the infrared region. Augmenting existing image sensor technology with enhanced spectral range could facilitate the competition of hybrid silicon sensors with established InGaAs detectors.
Printed sensors promise granularized battery health monitoring
Vehicle electrification is driving the sustained development and evolution of electronic management systems, particularly in the battery and electric drivetrain. A strong market pull exists for technologies that increase vehicle efficiency, range, and lifetime while reducing recharge times.
Printed pressure and temperature sensors measure battery cell swelling and thermal profiles, providing granularized physical data that can be used to optimize battery deployment and recharging. Moreover, hybrid printed sensors that combine integrated printed heating elements promise a solution to actively address battery temperature. IDTechEx estimates that printed sensor-enabled battery deployment and charging optimizations could be worth up to US$3000 in savings per vehicle.
There remains uncertainty about whether electrification trends will correspond to increased demand for physical sensors in electric vehicle batteries, owing to the utility of existing electronic readouts for managing deployment. Virtual sensors also pose a threat, where AI-enabled software models interpret data to predict and emulate physical sensor functions without the need for discreet components. However, emerging regulations regarding safety and sensor redundancy will likely favor measurable metrics and see automotive makers continue to adopt physical sensors. IDTechEx predicts that virtual sensors are unlikely to displace their physical counterparts – so long as low-cost sensors remain widely available.
Embedding printed electronics in the car of the future
IDTechEx predicts that global car sales will saturate over the next decade, with automakers increasingly looking for premium features and technical innovations to differentiate themselves from the competition. In-cabin technologies will be highly desirable – as the location where passengers reside and interact with the vehicle the most.
Lighting elements are emerging as a prominent differentiator, described as “the new chrome” by Volkswagen’s chief designer. The use of in-mold structural electronics (IMSE) enables the integration of embedded lighting elements using existing manufacturing processes. 3D electronics technologies are intrinsically attractive for automotive integration, as functional layers are conformable and lightweight while easily embedded within existing aesthetic elements.
Despite strong tailwinds, the adoption of in-mold electronics within automotive interiors has been sluggish. This is attributed to the challenges of meeting automotive qualification requirements, as well as stiff competition with less sophisticated alternatives such as applying functional films to thermoformed parts. Nevertheless, momentum is building, with technology providers like Tactotek partnering with Mercedes-Benz and Stallantis to progress the automotive validation of IMSE to TRL5.
Outlook for printed electronics in automotive applications
Just as printed force sensors heralded early passenger safety systems, printed electronics technology is poised to underpin next-generation innovations for the car of the future. But this time, the competition will be stiff. Critical cost requirements must be met, while desirable new functionality must address existing challenges faced by manufacturers. Printed electronics can play a role in supporting emerging electrified and autonomous mobility, such as augmenting LiDAR sensors or optimizing electric battery deployment. Demand for technologies that enhance passenger experience and vehicle aesthetics will continue to grow, and printed electronics can supply low-power, lightweight lighting solutions for these.
Sustained engagement from tier suppliers and manufacturers continues to make the automotive sector key to printed sensor market growth opportunities – a total market IDTechEx predicts will reach US$960M by 2034. Strong partnerships between material providers and printed electronics technology providers are complementary to those of the highly vertically integrated automotive value chains between tier suppliers and OEMs. Leveraging printing techniques to provide solutions that slot into existing manufacturing processes and designs will be crucial. In the medium term, the printed electronics technologies most likely to realize revenue potential are those that can adapt to service emerging challenges already known to the automotive industry.
For more information on IDTechEx’s research on this topic, please see their report, “Printed and Flexible Sensors 2024-2034: Technologies, Players, Markets”. Downloadable sample pages are available for this report.
For the full portfolio of printed and flexible electronics market research from IDTechEx, please visit www.IDTechEx.com/Research/PE.
About IDTechEx:
IDTechEx provides trusted independent research on emerging technologies and their markets. Since 1999, we have been helping our clients to understand new technologies, their supply chains, market requirements, opportunities and forecasts. For more information, contact [email protected] or visit www.IDTechEx.com.
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Artificial Intelligence
Identity Threat Detection and Response (ITDR) Market worth $35.6 billion by 2029- Exclusive Report by MarketsandMarkets™
CHICAGO, May 10, 2024 /PRNewswire/ — The growing need for identity-centric security solutions brought on by an increase in cyberattacks and regulatory compliance requirements will define the Identity Threat Detection and Response (ITDR) Market in the future. The growth of ITDR solutions towards more proactive and autonomous security operations is being shaped by several major trends, including integration with IAM platforms, use of AI and ML technologies, and emphasis on UEBA and Zero Trust security.
The global Identity Threat Detection and Response Market size is projected to grow from USD 12.8 billion in 2024 to USD 35.6 billion by 2029 at a Compound Annual Growth Rate (CAGR) of 22.6% during the forecast period, according to a new report by MarketsandMarkets™. The expansion of identity threat detection and response (ITDR) is propelled by the continuously evolving global threat landscape and combating threat-targeting identities and identity systems. ITDR provides response strategies ensuring the protection of sensitive and confidential data.
Browse in-depth TOC on “Identity Threat Detection and Response (ITDR) Market”
266 – Tables 48 – Figures273 – Pages
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Scope of the Report
Report Metrics
Details
Market size available for years
2022-2029
Base year considered
2023
Forecast period
2024-2029
Forecast units
Value (USD) Billion
Segments Covered
By offering deployment mode, organization size, vertical and region
Region covered
North America, Europe, Asia Pacific, Middle East and Africa, and Latin America
Companies covered
Microsoft (US), IBM (US), CrowdStrike (US), Zscaler (US), Tenable (US), Veronis (US), BeyondTrust (US), CyberArk (US), Proofpoint (US), Quest (US), Oort(US), Vectra (US), Proficio (US), Qomplx (US), Adaptive Shield (Israel), Acalvio (US), Authorize (Israel), Illusive (US), Mindfire (UAE), Rezonate (US), Semperis (US), Sentinelone (US), Silverfort (Israel), Netwrix (US), Vericlouds (US), Microminder (UK), Quorum Cyber (UK) and Mix mode (US).
Governments worldwide increasingly emphasize the importance of robust identity threat detection and response (ITDR) solutions to counter growing cyber threats and safeguard critical infrastructure. Key initiatives include funding research and development grants, supporting startups through grants and incubator programs, and enforcing data privacy regulations like GDPR and CCPA. They also promote cybersecurity frameworks, critical infrastructure protection standards, and public awareness campaigns. Collaboration with the private sector, through partnerships and procurement policies, further drives ITDR market growth. These efforts underscore a global recognition of ITDR’s significance in enhancing digital security and compliance with industry regulations.
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By deployment mode, the cloud segment is expected to demonstrate the highest growth rate in the Identity Threat Detection and Response Market during the forecast period.
The Identity Threat Detection and Response (ITDR) Market is experiencing a notable shift towards cloud-based deployments, which are projected to dominate in the coming years. Cloud solutions offer various advantages, including scalability, reduced infrastructure costs, faster deployment, improved accessibility, and automatic updates. With businesses increasingly adopting cloud technologies and prioritizing agility and innovation, cloud-based ITDR solutions align well with this evolving landscape. The cybersecurity skills shortage further drives the preference for cloud solutions, given their built-in automation and ease of management. While on-premises ITDR solutions may still be favored in scenarios with stringent data security requirements, the overall trend favors cloud-based deployments due to their scalability, agility, and cost-effectiveness. Cloud providers continue to innovate and enhance their offerings, making them increasingly attractive to businesses of all sizes, ultimately shaping the dominance of cloud-based ITDR in the foreseeable future.
Based on organization size, the SMEs segment is projected to exhibit the highest growth rate at the highest CAGR during the forecast period.
The Identity Threat Detection and Response (ITDR) Market is set for significant growth, particularly among Small and Medium-Sized Enterprises, driven by several key factors. SMEs face increased vulnerability due to limited security resources, a growing reliance on digital tools, and evolving cyber threats. Heightened awareness of cyber risks and emerging data privacy regulations are pressuring SMEs to invest in ITDR solutions. The affordability and scalability of cloud-based ITDR solutions further contribute to SME adoption. These solutions offer improved threat detection, enhanced user access control, and simplified compliance management, positioning SMEs as pivotal drivers of growth in the ITDR market.
Asia Pacific is anticipated to experience substantial growth with the highest CAGR in the Identity Threat Detection and Response Market during the forecast period.
The Identity Threat Detection and Response (ITDR) Market is experiencing remarkable growth globally, particularly in the Asia-Pacific region, where it is projected to witness the highest Compound Annual Growth Rate. This surge is fueled by several factors specific to the area. APAC’s rapid digital transformation, propelled by adopting cloud computing, mobile technologies, and e-commerce platforms, creates an expanded attack surface for cyber threats. Heightened regulatory focus on data privacy regulations in countries like China, India, and Australia drives the demand for robust ITDR solutions to ensure compliance. The emergence of domestic cybersecurity vendors in APAC and the increasing adoption of cloud-based ITDR solutions contribute to market growth. Government initiatives, such as heavy investments in cybersecurity infrastructure and public-private partnerships, create a supportive environment for the ITDR market’s expansion. Despite facing challenges like a shortage of skilled cybersecurity professionals, the APAC region’s unique dynamics position it as a key driver of ITDR market growth. It is crucial in protecting critical infrastructure and businesses against cyber threats in the digital age.
Top Key Companies in Identity Threat Detection and Response (ITDR) Market:
The major players in the Identity Threat Detection and Response Market are Microsoft (US), IBM (US), CrowdStrike (US), Zscaler (US), Tenable (US), Veronis (US), BeyondTrust (US), CyberArk (US), Proofpoint (US), Quest (US), Oort(US), Vectra (US), Proficio (US), Qomplx (US), Adaptive Shield ( Israel), Acalvio (US), Authomize (Israel), Illusive (US), Mindfire (UAE), Rezonate (US), Semperis (US), Sentinelone (US), Silverfort (Israel), Netwrix (US), Vericlouds (US), Microminder (UK), Quorum Cyber (UK) and Mixmode (US).
Recent Developments
January 2024 – IBM collaborated with ASUS to enhance cybersecurity by utilizing AI-powered security technologies to detect and remediate attacks swiftly. IBM’s QRadar EDR will be integrated directly into ASUS’s business hardware, supported by MDR services from IBM.January 2024 – Aembit integrates its Workload IAM Platform with CrowdStrike Falcon for real-time security posture assessment, enabling dynamic access policy enforcement. This collaboration enhances ITDR capabilities, ensuring secure workload-to-workload access.October 2023 – BeyondTrust partnered with the AWS SaaS Factory team to build their Identity Security Insights solution as a SaaS offering on AWS. This collaboration helped BeyondTrust navigate business and technical decisions for a successful SaaS model launch.September 2023 – CyberArk collaborates with Accenture to deploy CyberArk Privilege Cloud to enhance PAM solutions. This initiative aims to bolster cybersecurity defenses by managing and monitoring privileged access, which is crucial for ITDR. The collaboration leverages CyberArk’s Identity Security Platform, enabling comprehensive security for identities across various IT environments, aligning with ITDR principles by securing access and mitigating risks associated with privileged accounts.July 2023 – Microsoft partnered with CISA by offering expanded cloud logging capabilities at no additional cost. This initiative directly supports ITDR by improving detection and response to identity-related threats, making it easier for organizations to maintain identity integrity and security through better visibility and monitoring of security incidents.Inquire Before Buying@ https://www.marketsandmarkets.com/Enquiry_Before_BuyingNew.asp?id=259116012
Identity Threat Detection and Response (ITDR) Market Advantages:
ITDR solutions assist avoid security breaches and data loss by enabling organisations to proactively detect and respond in real-time to identity-related threats such account takeovers, credential stuffing, and insider threats.ITDR solutions assist organisations in strengthening their security posture and safeguarding sensitive data and assets from unauthorised access and misuse by continually monitoring user activities, access patterns, and behaviour across digital channels and systems.Rapid incident response is made possible by ITDR systems, which immediately notify security teams of potentially dangerous activity and security issues. This allows the teams to quickly investigate and neutralise threats to minimise the damage to the organisation.By offering thorough visibility, audit trails, and reporting capabilities, ITDR solutions help enterprises comply with legal and regulatory requirements pertaining to identity and access management, data protection, and cybersecurity.ITDR systems with advanced analytics and machine learning capabilities help minimise noise and false positives, allowing security professionals to concentrate on real threats and efficiently prioritise their response efforts.Numerous ITDR systems come with easy-to-use dashboards and interfaces that give security teams the tools and knowledge they need to effectively monitor, assess, and address identity-related threats without the need for in-depth training or specialised knowledge.Organisations may take advantage of their investments and coordinate automated response activities throughout the security ecosystem by integrating ITDR solutions with pre-existing security technologies and systems like SIEM, IAM, CASB, and SOAR platforms.Report Objectives
To describe and forecast the global Identity Threat Detection and Response Market by offering, deployment mode, organization size, vertical, and regionTo forecast the market size of five central regions: North America, Europe, Asia Pacific (APAC), Middle East and Africa (MEA), and Latin AmericaTo analyze the subsegments of the market concerning individual growth trends, prospects, and contributions to the overall marketTo provide detailed information related to significant factors (drivers, restraints, opportunities, and challenges) influencing the growth of the marketTo analyze the opportunities in the market for stakeholders and provide the competitive landscape details of major playersTo profile the key players of the Identity Threat Detection and Response Market and comprehensively analyze their market shares and core competenciesTo track and analyze competitive developments, such as Mergers and Acquisitions (M&A), new product developments, and partnerships and collaborations in the marketTo track and analyze the impact of COVID-19 on the Identity Threat Detection and Response MarketBrowse Adjacent Market: Information Security Market Research Reports & Consulting
Browse Other Reports:
Physical Security Information Management Market- Global Forecast to 2029
Operational Technology Security Market- Global Forecast to 2029
Identity Verification Market- Global Forecast to 2028
Cloud Data Security Market- Global Forecast to 2027
Big Data Security Market- Global Forecast to 2026
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