Financial Information

Financial summary

Financial highlights for FY2025 (Full Year, January - December 2025)

• Annual Recurring Revenue (ARR): +23% YoY
• Cloud Revenue: +30% YoY
• Recurring Revenue: 83% of total revenue
• Net Retention Rate (NRR): 114%
• Operating Margin Expansion: +5pp YoY 

Message from the CEO

“FY2025 was the year Industrial AI crossed the chasm. Enterprises have moved beyond pilots and are scaling AI across the operations that matter most. Customers are choosing IFS because our technology is purpose-built for industrial complexity and delivers outcomes at scale - as customers see ROI, they expand faster and commit more deeply. IFS's growth is double that of peers when compared to market growth figures published by respected industry analysts. We're accelerating as we enter 2026, and the gap is widening.”

Mark Moffat
Chief Executive Officer
IFS

Financial Summary

Financial highlights for Q3 FY2025 YTD

• Annual Recurring Revenue (ARR): +22% YoY
• Cloud Revenue: +31% YoY
• Recurring Revenue: +20% YoY, now representing 82% of total revenue

Message from the CEO

“Our 22% ARR growth and increase in average deal size is driven by our AI investments and reflects a clear market shift: the world's largest industrial enterprises are done experimenting with AI: they're deploying it at scale, and they're choosing IFS to co-innovate with them. 

They're choosing us because Industrial AI purpose-built for their operations delivers outcomes they can measure and scale. That's only possible because of our deep industry expertise that has enabled IFS to stand out in asset and service management. That proven value drives expansion. As they see returns, they invest more, and that dynamic is accelerating.” 
 

Mark Moffat
Chief Executive Officer
IFS

Financial summary

Financial highlights for H1 FY2025

• Annual Recurring Revenue (ARR): +30% YoY
• Cloud Revenue: +37% YoY
• Recurring Revenue: +24% YoY (now 82% of total revenue) 

Message from the CEO

“Our phenomenal growth proves customers are done with AI theory. They want AI that solves real problems, at scale, and are placing their trust in IFS to lead them through the Industrial AI revolution. 

The connection between our performance and AI innovation is unmistakable. As demand intensifies, IFS stands apart, thanks to our domain depth, contextual intelligence, and unwavering focus on industry.”

Mark Moffat   
Chief Executive Officer   
IFS 
 

Financial summary

Financial highlights for Q1 FY2025

• Annual Recurring Revenue increased by 30% YoY
• Cloud Revenue increased by 39% YoY
• Recurring Revenue share at 82%, increased by 24% YoY

Message from the CEO

“IFS is creating real market momentum thanks to more and more of the world's most respected industrial companies embedding IFS.ai into the very fabric of their operations and business processes. This growth reaffirms our market leadership in mission critical areas of Enterprise Asset Management and Field Service Management.

The development of IFS Nexus Black demonstrates our relentless commitment to innovation for customers. This is a true catalyst for accelerated AI value creation, designed exclusively for the complex needs of the industrial enterprise.”

Mark Moffat  
Chief Executive Officer  
IFS
 

Financial summary
 

Full Year, January - December 2023
 

• FY2023 software revenue was EUR 853m, an increase of 33% versus 2022
• FY2023 recurring revenue was EUR 810m, an increase of 35% versus 2022
• FY2023 net revenue was EUR 1.062m, an increase of 30% versus 2022
• FY2023 annual recurring revenue (ARR) up 26% Year on Year
   

Message from the CEO
 

“This time last year we reported five years of strong consecutive double-digit growth. I am hugely proud that the IFS team has continued this trend and also delivered an outstanding 2023. We will shortly reach a very significant landmark for IFS with $1bn ARR representing a strong vote of trust from our customers. Our core IFS value of being customer obsessed is paying off and with IFS.ai we are creating further productivity and automation opportunities for them while adding a critically important dimension to our proposition. We have delivered AI capabilities to our customers for a number of years now, and with IFS.ai we are driving AI across all our products effectively democratizing AI for all of our customers’ users. 2024 will be a continuation of our strategy to deliver industry-specific and market-leading capabilities in FSM, EAM, ERP & ESM, which includes investing in M&A. For our customers, I am proud to say that IFS moves as one, creating value faster and delivering our best to our customers when it matters most, at the Moment of Service.”

Mark Moffat
Chief Executive Officer
IFS

Financial summary
 

Financial* and Operational Highlights for YTD FY2023
 

• YTD FY2023 software revenue was EUR 597m, an increase of 37% versus YTD 2022
• YTD FY2023 recurring revenue was EUR 560m, an increase of 38% versus YTD 2022
• YTD FY2023 cloud revenue increased 54% versus YTD 2022
• YTD FY2023 total revenue was EUR 749m, an increase of 33% versus YTD 2022

*Note: all figures based in Euros and reported in constant currency.

Message from the CEO
 

“The 37 percent increase in software revenue over the last 12 months is a testament to the trust our customers have in IFS and the dedication of our teams. IFS has transformed into a cloud-first technology vendor and continue to create value through organic growth and acquisition to stay at the forefront of innovation. IFS.ai is a continuation of our ambition to innovate and puts IFS in a leading position to democratize AI for all users. Our goal is to anticipate our customers’ needs and deliver when it matters to them, creating value at every step.”

Darren Roos
Chief Executive Officer
IFS

Financial summary

Financial* and Operational Highlights for H1 FY2023
 

• H1 FY2023 software revenue was EUR 392m, an increase of 44% versus H1 2022
• H1 FY2023 recurring revenue was EUR 373m, an increase of 49% versus H1 2022
• H1 FY2023 cloud revenue increased 55% versus H1 2022
• H1 FY2023 total revenue was EUR 493m, an increase of 38% versus H1 2022

*Note: all figures based in Euros and reported in constant currency.

Message from the CEO

“These results are the culmination of 5 years of hard work in establishing our business as a thought leader and as a partner that has the agility to respond to the needs of its customers. We have consistently been able to adapt faster to market dynamics than much larger competitors. Our 37 percent, 5-year ARR CAGR, is a validation of our customer intimacy and focus. I am proud of the ongoing commitment from our employees and partners and of the trust customers have shown us. The success of our organic and inorganic growth strategies is evidenced by our results and by our rankings as leaders year after year by customers and analysts.”

Darren Roos
Chief Executive Officer
IFS

Financial summary

Year To Date, January - March 2023
 

• Q1 FY2023 software revenue was EUR 186m, an increase of 44% versus Q1 2022
• Q1 FY2023 recurring revenue was EUR 176m, an increase of 48% versus Q1 2022
• Q1 FY2023 cloud revenue increased 55% versus Q1 2022
• Q1 FY2023 net revenue was EUR 236m, an increase of 38% versus Q1 2022

Message from the CEO

“I am very proud that we are taking our performance trend from 2022 into 2023. As well as the strength of our technology and the trust our customers place in us, our strong Q1 performance is underpinned by contribution from our FY22 acquisitions which are all performing to plan. Over the past 5 years we’ve worked hard to improve the agility, quality and resilience of our business model and these investments are paying off as we continue to create shareholder value despite the macroeconomic uncertainty.”

Darren Roos
Chief Executive Officer
IFS

Financial Summary

Full Year, January - December 2021

• FY2021 software revenue was SEK bn 4.928, an increase of 22 percent versus 2020
• FY2021 recurring revenue was SEK bn 4.061, an increase of 30 percent versus 2020
• FY2021 cloud revenue increased 105% percent versus 2020
• FY2021 net revenue was SEK bn 6.767, an increase of 14 percent versus 2020

Message from the CEO

“Four consecutive years of double-digit growth is something the entire organization is hugely proud of, particularly in view of the challenging circumstances we’ve experienced since 2020. In 2021, our goal to help companies deliver their greatest Moment of Service™ also became a reality through our M&A strategy. We successfully integrated two companies into IFS and, since our acquisiton of Axios systems in June, have increased subscription bookings for IFS assyst by 236 percent compared to the same period in 2020. The numbers paint the picture of a strong and healthy business and I am particularly delighted that we are not compromising on any other metrics to achieve this level of sustained growth.”

Darren Roos
Chief Executive Officer
IFS

Financial Summary

Year To Date, January - September 2021

• Software revenue was SEK 3.4bln, an increase of 17% Year on Year
• Recurring revenue was SEK 2.75bln, an increase of 19% Year on Year and representing 81% of software revenue
• Cloud revenue increased 104% Year on Year representing more than 29% of software revenue

Message from the CEO

“At heart, IFS is a technology-driven software company and the investments we have – and continue to make – into the IFS Cloud platform and our customer-facing services evidence themselves in these stellar results. The strong growth in software revenue is testament to us attracting new customers, but also in our commitment to our current customers whose ongoing success is of paramount importance to us. I’m proud of the work that our team has done to create market differentiation with our industrial asset and service capabilities, which continues to create positive momentum.”

Darren Roos
Chief Executive Officer
IFS

Financial Summary

First Half, January–June 2021

• H1 software revenue was SEK 2.6bn, an increase of 20% Year on Year
• H1 recurring revenue was SEK 2bn, an increase of 27% Year on Year and representing more than 80% of software revenue
• H1 cloud revenue increased 79% Year on Year representing 39% of software revenue
• Proportion of license revenues from net new customers 54% of total

Message from the CEO

“IFS is a technology led company with the single goal to make the latest technology advancements available to our customers in a way that creates value fast, has a low total cost of ownership, and is easy to consume and use. H1 is evidence that our strategy to focus on this and to build agility into our product operations, so customers can respond to the market fast is working. Customers can see the difference in what IFS is making, and that ensuring their success is why we do what we do. They also see that very few other vendors offer flexibility in deployment, depth in product and powerful technology while shaping their business around customer experience. Delivering our Moment of Service to our customers is a very real mission for IFS, and the sharp rise in cloud adoption is testimony to that.”

Darren Roos
Chief Executive Officer
IFS

Financial Summary

First Quarter, January–March 2021

• Q1 software revenue was SEK 1.2 billion, an increase of 13 percent Year on Year
• Q1 recurring revenue was SEK 1.0 billion, an increase of 24 percent Year on Year and representing more than 80 percent of software revenue
• Q1 cloud revenue increased 102 percent Year on Year representing more than
• 40 percent of software revenue (cloud revenue defined as all revenue streams associated with a cloud deployment deal)
• Proportion of license revenues from new customers up to 57 percent

Message from the CEO

“The launch of IFS Cloud in Q1 was the most important launch in company history. It was a milestone that delivers on our promise of helping customers create truly amazing moments of service. The impressive performance and growth of our cloud and service management business is evidence that customers value that we understand their needs and are delivering products that support their journey. In addition to our organic growth, we are strengthening our proposition with the addition of Axios Systems to ensure we remain the de facto leader for companies that want to differentiate in how they deliver and profit from service.”

Darren Roos
Chief Executive Officer
IFS

Financial Summary

Year-To-Date, Jan – Dec 2019

• FY 2019 license revenue was SEK 1,518 (US$ 161 million), an increase of 32% versus 2018
• FY 2019 maintenance revenue was SEK 1,911 million (US$ 202 million), an increase of 16%
• FY 2019 consulting revenue was SEK 2,174 million (US$ 230 million), an increase of 14%
• FY 2019 adjusted EBITDA was SEK 1,454 million (US$ 154 million), an increase of 32%
• FY 2019 net revenue was SEK 6,317 million (US$ 668 million), an increase of 20%
• IFS’s strategic growth markets also saw double-digit increases in license revenues, with Aerospace & Defense growing 38% and Field Service Management up 51% versus 2018
• IFS cloud and SaaS revenue for FY 2019 increased 56% versus the same period of 2018 (excluding Astea and WorkWave)

Message from the CEO

“I am incredibly proud to lead the team that has delivered this impressive performance. Our employees clearly understand our focus, feel ownership of our progress, and stand united in a passion for our customers. Our differentiator is not that we talk about customer centricity, but that we commit to delivering customer value. The investments made last year into our product and partner enablement will benefit the company in the long-term and will have a positive impact for our customers – and our own business – in 2020 and beyond.”

Darren Roos
Chief Executive Officer
IFS

Financial Summary

Year-To-Date, Jan – Sep 2019

• License revenue amounted to SKr 1,081 million (YTD '18: SKr 736 million), an increase of 47 percent (40 percent in constant currency)
• Maintenance revenue was SKr 1,394 million (YTD '18: SKr 1,205 million), an improvement of 16 percent (11 percent in constant currency)
• Consulting revenue amounted to SKr 1,592 million (YTD '18: SKr 1,351 million), an increase of 18 percent (13 percent in constant currency)
• Net revenue totaled SKr 4,558 million (YTD '18: SKr 3,713 million), an improvement of 23 percent (17 percent in constant currency)
• Adjusted EBITDA was SKr 1,001 million (YTD '18: SKr 707 million), an improvement of 41 percent (38 percent in constant currency)

Message from the CEO

“The success of our business transformation is apparent as Q3 now marks our sixth straight quarter of growth above 20 percent. Over the last 18 months, we’ve gone from being a fragmented global business to a fast-growing organization operating globally at scale. All the while, we’ve never lost sight of our commitment to providing the best experience for our customers, which remains our guiding principle.

Our topline growth does not come from extracting revenue from our installed base through tactics like compliance audits. On the contrary, we are winning half of our license revenues from new customers. I believe this speaks volumes about our ability to beat the larger legacy vendors with a proposition that offers what the others don’t: choice and a focus on real customer value.”

Darren Roos
Chief Executive Officer
IFS

Financial Summary

Second Quarter (April–June 2019)

• License revenue amounted to SKr 398 million (Q2 '18: SKr 291 million), an increase of 37 percent (32 percent in constant currency
• Maintenance revenue was SKr 464 million (Q2 '18: SKr 404 million), an improvement of 15 percent (11 percent in constant currency)
• Consulting revenue amounted to SKr 562 million (Q2 '18: SKr 472 million), an increase of 19 percent (15 percent in constant currency)
• Net revenue totaled SKr 1,586 million (Q2 '18: SKr 1,326 million), an improvement of 20 percent (15 percent in constant currency)
• Adjusted EBITDA was SKr 403 million (Q2 '18: SKr 205 million), an improvement of 97 percent (92 percent in constant currency)

Message from the CEO

“Reflecting on Q2 of this year, I’m simply blown away by what we accomplished together as we focused on delivering sensible solutions to our customers. IFS is the only vendor of scale in our sector that stands on a principle of choice, providing an experience free from ultimatums. Now that we see what this IFS is truly capable of, expectations for the second half of the year remain high and I am pleased to have increased our guidance for the remainder of the year to deliver 2019 revenues of $711 million, or 6.35 billion SEK, an increase that represents a 21% increase year-on-year.”

Darren Roos
Chief Executive Officer
IFS

Financial Summary

First Quarter (January–March 2019)

• License revenue amounted to SKr 295 million (Q1 '18: SKr 177 million), an increase of 67 percent (57 percent in constant currency)
• Maintenance revenue was SKr 448 million (Q1 '18: SKr 382 million), an improvement of 17 percent (11 percent in constant currency)
• Consulting revenue amounted to SKr 512 million (Q1 '18: SKr 411 million), an increase of 25 percent (18 percent in constant currency)
• Net revenue totaled SKr 1,410 million (Q1 '18: SKr 1,091 million), an improvement of 29 percent (22 percent in constant currency)
• Adjusted EBITDA was SKr 259 million (Q1 '18: SKr 153 million), an improvement of 69 percent (65 percent in constant currency)

Message from the CEO

“Our customer obsession continues to drive our financial results as we once more massively outpace the market, and our numbers speak for themselves. As the fastest growing ERP company of scale, we are well positioned to capture a much bigger piece of the market in 2019 and beyond. Customers no longer accept the annual audits, the made-up compliance tricks, or the upgrade ultimatums, which have become the new normal. Quite simply, customers are realizing IFS is a better alternative.”

Darren Roos
Chief Executive Officer
IFS