OTRS AG Faces Revenue Decline Amid Continuous Modernization Efforts

In the first half of 2024, OTRS AG reported a 6.4% revenue decline, largely due to reduced consulting services. Total revenue fell to EUR 5,877 thousand, though recurring revenues remained stable at EUR 5,581 thousand. The decline comes amid a challenging market with restrained investment and demand.

The company focused on modernizing its product offerings and corporate structures, investing EUR 2,493 thousand in software development. Despite these efforts, personnel costs rose by 12.2%, reflecting strategic hiring to strengthen product quality.

Cost-cutting measures helped mitigate losses, with operating cash flow improving to EUR 606 thousand. However, EBITDA stood at EUR -406 thousand, highlighting ongoing economic pressures. The forecasted revenue for 2024 is revised downwards, yet the company remains poised for potential growth due to ongoing digitalization trends.