NetSuite announced operating results for its fourth quarter and fiscal year ended December 31, 2014.
The cloud-based ERP and omnichannel commerce software provider’s total revenue for the fourth quarter of 2014 was $157.9 million, a 37 percent increase over the prior year, and total revenue for the year was $556.3 million, marking a 34 percent year-over-year increase.
The $20.9 million in cash flow from operations NetSuite recorded in the fourth quarter was an increase of $3.6 million, or 21 percent, over the same quarter last year. For the year, cash flow from operations increased 20 percent over 2013, to $74.9 million.
The GAAP net loss for the fourth quarter of 2014 was $25.3 million ($0.33 per share), while the fourth quarter of 2013 had a net loss of $20.2 million ($0.27 per share). GAAP net loss for the year was $100 million in 2014 ($1.31 per share), compared to the GAAP net loss of $70.4 million ($0.95 per share) in 2013.
Non-GAAP net income for the fourth quarter of 2014 was $7.5 million, or $0.10 pershare ($6.2 million or $0.08 per share in the fourth quarter of 2013). Non-GAAP net income for the year was $25 million ($0.32 per share) compared to non-GAAP net income of $19.9 million ($0.26 per share) in 2013.
“Our record results for the quarter and fiscal year 2014 contrast with the results announced by legacy on-premise software companies as the cloud and NetSuite disrupt the business software landscape,” stated NetSuite CEO Zach Nelson. “The fourth quarter of 2014 was our seventh consecutive quarter of more than 30 percent year-over-year recurring revenue growth. In addition, fiscal year 2014 represents a fifth consecutive year of accelerating recurring revenue growth, which, based on public disclosures, we believe is a record unmatched by any publicly-traded on-premise or cloud software company during the last five years.”
Additionally, NetSuite announced three new partners to its NetSuite Solution Provider Program: Adaptive Road, BrainSell and Faye Business Systems Group.
Minneapolis-based Adaptive Road is a new solution provider focusing solely on NetSuite ERP, CRM and ecommerce. Adaptive Road partnered with NetSuite after a two-year search for an ERP solution, and plans to expand beyond its initial focus on manufacturing, wholesale distribution and retail companies in the Twin Cities and greater Minnesota market.
“NetSuite is a very comprehensive cloud-based business management suite that can be easily integrated with other solutions as needed to deliver business management solutions tailored to the industries we serve,” stated Alan Campbell, practice manager at Adaptive Road. “The NetSuite Solution Provider Program is excellent. NetSuite is putting major effort into enabling and training our sales and service professionals to deliver cloud solutions—lots of other vendors talk about that, but NetSuite actually does it very well.”
BrainSell, based in Topsfield, Mass, is adding NetSuite to a portfolio that includes Sage, Microsoft Dynamics and SugarCRM. BrainSell, which brought on several new NetSuite customers in its first month of partnership, offers its integrated cloud-based ERP, CRM, ecommerce and professional services automation solutions to companies in distribution, light manufacturing, software, retail, IT, professional services and financial services.
“With NetSuite we’re very excited to offer our customers a truly unified cloud-based platform without patching together different applications,” stated Sonja Fridell, executive vice president at BrainSell. “We wanted to offer an all-in-one cloud solution to our clients, and NetSuite is clearly the leader in the market with a breadth of functionality and the ability to easily integrate with third-party applications.”
Software company Faye Business Systems Group, based in Woodland Hills, Calif., is expanding its portfolio of SugarCRM, Sage, Act-On and more with the NetSuite partnership. FayeBSG specializes in CRM and ERP platforms and recently released Sugar NetSuite Integration.
“NetSuite is clearly the cloud leader in the ERP space with a very customizable solution that gives partners like us the ability to build add-on solutions,” stated FayeBSG CEO David Faye. “NetSuite is the only product in the cloud that can meet customers’ diverse requirements from inventory management to financials with a great variety of features and strong APIs to enable integration and customization. We’re excited to join the team.”
The NetSuite Solution Provider Program provides its hundreds of channel partners with not only its cloud solution but benefits that include training and education.