Summary
- Global-scale SaaS provider, Whispir enabling business-critical COVID-19 interactions with improved productivity and operating efficiency
- Added 49 net new customers amid COVID-19 with increased platform use by existing customers
- Rolled out various strategies in the form of joint go-to-market strategy and developed 12 COVID-19 workflow templates
- 22 government agencies using WSP platform for communication during COVID-19
As several economies are still battling the COVID-19 impacts with lockdown and social distancing, technology, with the disposal of its solutions and services, is aiding people and businesses to address challenges arising from the current market turmoil.
Technology has utility across various sectors such as health, education, transport, and retail, offering video chat services for official meetings or video conferences, entertainment via online streaming apps and various software services via cloud computing.
The changing business environment may pose both threats as well as opportunities. COVID-19 has created a situation of make or breaks wherein some businesses have fallen apart, and some have stood above the levels. Currently, the world is accelerating towards the digital trail, generating a huge chunk of data. Any organisation that is leveraging the use of this data in a positive manner is in the position to outplay its competitors.
One of the technologies that have triggered an opportunity amid this crisis is cloud computing. This technology has made its way deep down to technological strategies of various organisations using tools and applications like data storage, networking, analytics, servers, and software that stimulate both innovation and resource flexibility.
Considering the current crisis wherein remote working has put a foot on the accelerator, the essential thing is to have proper two-way communication via email, text messaging, web chatting, and other communications channels. The current times have further boosted the need for a unified platform to maintain proper communication.
One of the companies that have outshined during this time of turmoil is Whispir Limited, which is enabling its customers to pivot and deliver timely and relevant COVID-19 communications, on the back of flexibility of its platform to aid varied use cases.
Let us now enrich ourselves with the Company’s performance and strategies amid COVID-19.
About Whispir Limited (ASX: WSP)
Founded in 2002, Whispir is an Australian software-as-a-service (SaaS) company offering a communications workflow platform to its clients, globally, facilitating automatised interactions between businesses and people. Its cloud-based communications platform uses a cutting-edge technology to bring email, web chatting, text messaging and other communication channels together in one reachable space.
On 25 May 2020, Brad Dunn, Chief Product Officer of Whisper, presented the evolution of WSP’s communications workflow platform over a five-year period while discussing growing adoption of behavioural communications intelligence based on indispensable datasets and future of communications.
Strong Performance in Third Quarter of FY20
The SaaS company has seen a mind-boggling growth of 49 net new customers including multiple government departments and agencies during the quarter ended March 2020, bringing the total customer base to 558, highlighting an enlarged usage of its platform. This growth has been enabled by the deployment of the Company’s communications platform for new customers quickly, often within hours. Additionally, increased demand for communications software during the COVID-19 pandemic, and the ready availability of Whispir’s new easy-to-use templates contributed towards the new customer base.
Let us look at the impressive financial performance during the quarter, Q3 FY’20
- In comparison with the quarter ended December 2019, annualised recurring revenue (ARR) grew by 10.4% to AU$40.5 million.
- Net cash used in operating activities stood at (AU$1.4 million) in third quarter, down from (AU$1.2 million) in Q2.
- Quarterly customer cash receipts were AU$9 million, which were consistent with the estimates.
- Cash and cash equivalents at the end of March 2020 stood at AU$16.7 million.
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Increased Platform Usage amid COVID-19
Jeromy Wells, CEO of Whispir stated that the business performed strongly during the quarter. Recurring revenue acted as a catalyst for growth with increased usage of the platform to manage critical communications during COVID-19. The Company’s focus remains on the long-term strategy of the development of innovative communication technologies that would further accelerate the digital transformation via AI and machine learning of the critical organisational communications.
There were numerous strategies followed by WSP during the COVID-19 pandemic to drive growth in customers and revenue.
Implementation of Joint Go-To-Market Strategy
WPS rolled out a joint go-to-market strategy with its partners, StarHub in Asia and Telstra in Australia, with Telstra (ASX: TLS) offering WSP’s ready-to-use template to enterprises that is one of its top 5 COVID-19 business resilience solutions, while StarHub is offering the Company’s pre-defined templates to businesses.
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Development of 12 COVID-19 Workflow Templates
WSP has developed 12 workflow templates, which aid automation of two-way communications by businesses to stakeholders that are present globally across multiple delivery channels. The templates are aimed towards assisting businesses with their critical communications during these uncertain times.
22 Government Agencies Using WPS Platform during COVID-19
22 Australian government departments and statutory bodies are using the WPS platform for communication during COVID-19. These agencies include ambulance services in three jurisdictions, police services in four jurisdictions, Queensland Corrective Services, Queensland Department of Transport and Main Roads, and the Victoria Department of Health and Human Services (DHHS).
During March 2020, the Company announced that its platform would be used by DHHS in Victoria, wherein the department would leverage this platform to interact with Victorians who meet the criteria for self-isolation. The platform would enable DHHS to confirm whether the individual is following the fourteen-day self-isolation period for close contacts of the virus. DHHS could have two-way message interaction by using the data-driven and real-time communication platform.
WSP’s workflow platform would enable government entities to send two-way interactions via multiple delivery channels such as SMS, voice, email, and video.
Looking at how well WSP has responded using its strategies during the pandemic and plans for the evolution of its communications workflow platform, it will be interesting to see the Company’s performance in the upcoming period.
WSP stock was advancing further by 2.521% to trade at AU$2.440 on 27 May 2020 (AEST 01:31 PM). The Company has a market cap of AU$246.97 million and its stock has delivered a return of 27.95% and 65.28% in the last one month and three months, respectively.
NOTE: $ used in the article refers to Australian dollar unless stated otherwise.
Disclaimer
There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.
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