R22 Group Revenue Grows 50% in Q3 2021

The R22 Group continues to scale its operations and deliver improving financial results, driven by dynamic organic growth of over 20% and the successful execution of acquisitions. In Q3, the Group generated PLN 73.8 million in revenue – 50% more than in the same period a year earlier. Adjusted EBITDA amounted to PLN 19.4 million, up 29% year-on-year. The Group’s strong growth is supported by favourable market trends in economic digitalisation and automation, and by its exposure to the rapidly growing e-commerce sector.

– Q3 was an intensive period for us. We continued our organic growth efforts and completed four new transactions. In early July, Vercom invested in Freshmail and PushPushGo using the proceeds from its IPO earlier in the year. In the cyber_Folks segment, we also completed two transactions: an investment in SellIntegro, which specialises in integrating business systems with e-commerce platforms, and the acquisition of Zenbox.pl – a company serving 20,000 hosting customers. – comments Jakub Dwernicki, CEO of R22.

In the cyber_Folks segment, the Group generated PLN 25.2 million in revenue – nearly 10% more than a year earlier. EBITDA grew significantly faster, reaching PLN 10.3 million – up 29% year-on-year. The faster profit growth reflects, among other things, the reshaping of the customer base. The Zenbox.pl acquisition is not reflected in the segment’s results as it will be consolidated from the start of Q4. – With a similar total number of customers year-on-year, we have recorded a significant increase in ARPU. We are consistently growing the share of customers actively engaged with our offer, with stronger growth potential going forward – particularly those operating in the e-commerce sector. – emphasises Jakub Dwernicki. The cyber_Folks Group now serves over 40,000 online stores.

Vercom (CPaaS) segment revenue nearly doubled to PLN 44.7 million. At the same time, the segment’s gross margin grew by nearly 85% year-on-year to PLN 13.7 million. Vercom is actively delivering on the targets set out during its IPO this year, which raised approximately PLN 170 million for M&A purposes. Combined with debt financing, Vercom can allocate up to PLN 250 million to acquisitions. The company expects to complete another transaction before the end of the year.

Profitroom is also scaling rapidly. In Q3, the total value of hotel bookings made through Profitroom reached a record PLN 318.4 million – up 65% year-on-year.

– Profitroom is the market leader in solutions for leisure hotels in Poland. Current growth efforts are focused on international expansion. The company is building sales structures in new markets and is in discussions on potential acquisitions. It has already completed its first transaction – acquiring a distributor of hotel solutions in the Czech and Slovak markets. In the near term, development will focus on DACH, Spain, LATAM, the Nordic countries, the United Kingdom and English-speaking markets worldwide. – adds the CEO of R22.

In Q3 alone, Profitroom generated PLN 12.4 million in consolidated revenue (up 33% year-on-year) and PLN 3.0 million in net profit (up 118% year-on-year).

– In the quarters ahead, we intend to continue delivering dynamic operational growth, driven by both organic expansion and acquisitions. The R22 Group’s growth is built on three main pillars: cyber_Folks, Vercom and the SaaS segment. All three are posting high growth rates, which we are determined to sustain in future periods. – concludes Dwernicki.