Intershop Communications AG Experiences Notable Cloud Growth

In its 2024 financial year, Intershop Communications AG reported a significant 27% increase in cloud revenues, reaching EUR 20.5 million. This growth contributed to a 2% overall revenue increase, totaling EUR 38.8 million. Operating results turned positive with an EBIT of EUR 0.1 million compared to the previous year’s EUR -2.5 million.

The cloud and subscription segment now accounts for 53% of total revenues, with cloud Annual Recurring Revenues up 16% to EUR 20.1 million. Cloud orders slightly increased by 1% to EUR 20.0 million. Despite a 14% rise in license revenues, service revenues fell by 35% due to project complexities and a partner-first approach.

Gross profit improved with a margin rising to 46%. Operating expenses decreased, and R&D expenses fell by 3%. Intershop's EBITDA climbed to EUR 3.3 million, marking an 8% EBITDA margin. Looking ahead, a slight increase in cloud orders is expected, despite a forecasted revenue decline due to the strategic shift.