TechnologyOne has announced its results for the first half of the 2018 financial year, reporting net profit after tax of AU$10.4 million, a 1 percent increase year over year.
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Revenue from ordinary activities was AU$120 million and the company expects total annual recurring revenue to reach AU$173 million by the end of FY18.
Cloud delivered the company AU$3 million in profit, an increase of 217 percent over the same period last year, on revenue of AU$11.9 million. The company's consulting business recorded a loss of AU$484,000 from revenue of AU$26.6 million.
The enterprise software firm boosted its enterprise cloud customer base to 280 during the period, with CEO Edward Chung telling shareholders on Tuesday this means his company is the "largest, single instance ERP SaaS offering" in Australia. The company has set a target of 1,200 enterprise customers by 2022.
During the six months ended March 31, 2018, TechnologyOne spent AU$25.6 million on research and development (R&D), and is expecting that figure to reach AU$54 million by the end of the financial year.
The investment in R&D is part of the company's Digital Strategy, which has a heavy focus on the use of artificial intelligence and machine learning.
"TechnologyOne will in the coming months release the next stage of