Kronos Announces Exceptional Third Quarter Results with Subscription Revenue Up 30% Fueled by Workforce Dimensions and HCM Acceleration
Kronos Incorporated today announced financial results, company advancements, and customer successes for the third quarter of Fiscal 2019. Subscription revenue increased 30% with total company revenue for the quarter exceeding $367 million1.
"What an absolutely energizing quarter. Kronos is firing on all cylinders as we accelerate into our next phase of growth by capitalizing on the deep investments we've made in our products, SaaS (News - Alert) business, customer experience, and talented people," said Aron Ain, Kronos chief executive officer, who was named to the Glassdoor Top CEOs list for the fourth straight year. "Our international teams had another fantastic quarter with over 50% growth; Workforce Dimensions is changing the industry, with continued acceleration in customer migrations; we saw significant growth for HCM bookings, led by a record number of new Workforce Ready customers; and we hired the most Kronites in a 12-month period ever - wow!"
Subscription Revenue Continues to Accelerate Across SaaS Solutions
Kronos (News - Alert) set a record for new customers added to the Kronos Cloud in a quarter as subscription revenue grew 30% across workforce management and human capital management (HCM) product suites.
Award-winning Workforce Dimensions Penetrates the Market at a Rapid Pace
Strong adoption of Workforce Dimensions across all regions and industries continues, as both overall deals and customer migrations from existing on-premise solutions more than doubled over last year.
Record-setting Quarter for Workforce Ready Drives Kronos HCM Success Worldwide
Kronos HCM bookings rose an amazing 48% in the third quarter and up 56% over the last 12 months with a record-setting quarter for new Workforce Ready customers and high attach rates of HR and payroll solutions on Workforce Dimensions deals.
International regions grew by more than 50% - led by Asia-Pacific (up 99%); Latin America (up 42%); and Europe, Middle East, and Africa (up 39%) - as Kronos continues to land accolades for its global focus on the customer experience (CX) and employee engagement.
Third Quarter Customer Success Around the Globe
In the third quarter of Fiscal 2019, Kronos signed agreements with organizations around the world, including: ALDI, a German supermarket chain with locations in more than 20 countries including two new stores in Shanghai; Anglia Restaurants, an operator of pub restaurants and diners in the U.K.; Australia Post, the government-owned corporation that provides postal services in Australia and, with more than 4,000 post offices, facilitates 82% of the nation's eCommerce; Chesapeake Public Schools, a public school system in Virginia serving 39,000+ students in 45 schools; Huntsville Hospital Health System, the second-largest hospital in Alabama with 14,000 employees; Kilroy Pastoral Company Limited, one of Australia's leading premium grain-fed beef processors and exporters; Ochsner LSU Health Shreveport, a Louisiana health system with numerous Centers of Excellence including the area's only Level 1 Trauma Center; Orlando Health, a non-profit healthcare organization and community-based network of hospitals, physician practices, and outpatient care centers across Central Florida serving more than 2 million patients each year; Port Consolidated, the leading supplier of high-quality motor fuels, lubricants, and additives in Florida, the Caribbean, and Latin America; Regal Amusement Machine Sales Ltd, a leading U.K. supplier of amusement equipment; Rochester Regional Health, an integrated health services organization serving 1.2 million residents across Western New York and the Finger Lakes region; South32, a globally diversified mining and metals company and the world's 12th largest mining company with 10,000+ employees across Africa, Australia, North America, and South America; and TJ Morris Ltd, trading as Home Bargains, one of the U.K.'s fastest-growing retailers.
About Kronos Incorporated
Kronos is a leading provider of workforce management and human capital management cloud solutions. Kronos industry-centric workforce applications are purpose-built for businesses, healthcare providers, educational institutions, and government agencies of all sizes. Tens of thousands of organizations - including half of the Fortune 1000® - and more than 40 million people in over 100 countries use Kronos every day. Visit www.kronos.com. Kronos: Workforce Innovation That Works.
© 2019 Kronos Incorporated. All rights reserved. Kronos and the Kronos logo are registered trademarks and Workforce Innovation That Works is a registered trademark of Kronos Incorporated or a related company. See a complete list of Kronos trademarks. All other trademarks, if any, are property of their respective owners.
Footnote 1: All financial information within this press release is presented using non-GAAP financial measures. Kronos believes that non-GAAP measures of financial results provide useful information regarding certain financial and business trends relating to Kronos' results of operations. Non-GAAP revenue consists of GAAP revenue excluding the effect of the write-down of deferred revenue associated with purchase accounting for certain acquisitions and includes timing adjustments related to international product deliveries which management includes when evaluating operating results.