Kronos Announces Exceptional Fiscal 2013 Financial Performance; Kronos Cloud Propelling Growth
November 6th, 2013 at 11:44 am
CHELMSFORD, Mass., Nov. 6, 2013 – Kronos Incorporated today announced financial results1, company advancements, and customer successes for Fiscal 2013 which closed Sept. 30. Kronos revenues for the fiscal year increased 10 percent to a record $975 million. Earnings before interest, tax, depreciation, and amortization (EBITDA) increased 17 percent to a record $314 million.
“Kronos had an exceptional Fiscal 2013. We achieved this exciting growth in revenue and profits while transitioning our business to the cloud and executing a highly ambitious and innovative set of product development initiatives. The proliferation of cloud computing is driving outstanding momentum for Kronos, best demonstrated by a 51 percent year-over-year increase in workforce management cloud revenue. Product advancements and cloud adoption – as well as explosive expansion in the SMB market and an ever-increasing global footprint – are significant contributors to our growth,” said Aron Ain, Kronos chief executive officer. “As we approach $1 billion in annual revenue, Kronos is well positioned for continued strong growth as the undisputed leader and pace-setter in the global workforce management market.”
Fiscal 2013 News Facts
- Growth of the Kronos Cloud – Kronos workforce management cloud revenue increased 51 percent. Kronos added thousands of Kronos Cloud customers, as new customers deploy in the cloud and existing customers move their on-premise instances to the cloud to achieve the vast benefits associated with cloud computing. Deploying in the Kronos Cloud generates a fast return on investment and eliminates the need to invest in and manage IT infrastructure and staff while continuing to reap the rich benefits of the Kronos solution. Kronos continues to aggressively invest in its cloud infrastructure in anticipation of even more rapid growth as organizations continue to embrace the tangible benefits of cloud computing. Today more than 9,000 organizations are running in the Kronos Cloud.
- Growth Through Product Innovation – Kronos product bookings increased a remarkable 16 percent. Kronos delivered an unprecedented level of innovative new products and enhancements which are transforming the way organizations manage their workforces:
- Workforce Central® 7 – A groundbreaking release designed to make workforce management easier than ever. Already recognized as the industry’s most intuitive workforce management solution, Workforce Central 7 expands on the unrivaled Kronos user experience and delivers hundreds of enhancements to further simplify the day-to-day lives of managers and employees. Workforce Central 7 brings ease to managing in the moment, scheduling, labor costing, and global deployments.
- Workforce Ready™ – Recent enhancements include global capabilities for controlling absenteeism and managing overtime and employee leave; compatibility with the Kronos InTouch® time clock; introduction of a workforce-centric application marketplace; additional language support; and new applications to help small and midsize businesses (SMBs) minimize risk associated with labor law compliance. The new ACA Manager™ application helps SMBs proactively manage their Affordable Care Act compliance strategy across the entire organization.
- Workforce Tablet™ – A sleek, easy-to-use tablet application that delivers real-time, location-specific workforce information to frontline managers so they can more effectively manage in the moment,Workforce Tablet is a native-built tablet solution developed specifically for the Apple iPad, providing an anytime, anyplace, instant connection to the Kronos Workforce Central suite.
- Workforce Task Management™ – Workforce Task Management simplifies retail store execution by providing end users with a streamlined approach to create, approve, execute, and verify tasks. This drives productivity by streamlining communication between corporate and stores as well as increases sales and customer satisfaction by ensuring tasks are completed on time and consistently across locations.
- Workforce Analytics™ – The latest version of the Kronos Workforce Analytics solution enables organizations to easily access and leverage their workforce data to identify, predict, and manage opportunities for cost savings, productivity gains, and improved customer and employee satisfaction.
- Workforce TeleStaff™ – The latest version of the Kronos Workforce TeleStaff scheduling and notification solution includes enhancements that allow deployment and support of additional technology platforms; enhanced shift-bidding statuses enabling employees to view and monitor the status of their bids for shifts; and advanced reporting features.
- Growth in Small and Midsize Business (SMB) Market – Kronos experienced tremendous momentum in the SMB sector – an incredible 37 percent product bookings increase – driven by an accelerated pace of adoption for its cloud Workforce Ready suite of time and attendance, human resources, and payroll applications. Workforce Ready is quickly achieving widespread adoption in all Kronos targeted industry segments. Also driving Kronos growth in the SMB sector is significant customer and channel growth expansion through the Kronos SMB partner network. In Fiscal 2013, Kronos added 2,800 organizations to its SMB customer community.
- Growth Internationally – Kronos international product bookings increased 19 percent, as new customer adoption and the size of transactions continues to rise. Kronos leadership in Australia and New Zealand continued with significant growth and expansion. Kronos continued its success and growth in China, Europe, India, and South Africa. Kronos closed its largest-ever transaction in Norway, through its global partner network. Two of the three-largest global Kronos Cloud transactions were international, one of which is a highly recognizable multinational beverage and food products company. In addition, Kronos launched its cloud Workforce Ready suite in Europe to give SMBs the advantages of an enterprise-class workforce management solution with single-source access to easily analyze and manage real-time employee data.
- Growth in Targeted Industry Segments – Kronos delivered strong financial results across all targeted industry markets as organizations large and small seek to align with the workforce management market leader with proven industry-specific expertise. During the fiscal year, Kronos acquired Time Link International Corporation (TimeLink), further extending Kronos’ leadership in workforce management, strengthening its position in the enterprise segment of the market, and broadening its footprint in a range of targeted industry markets.
Fourth Quarter News Facts
- In the fourth quarter of Fiscal 2013, Kronos signed agreements with organizations around the world such as: Catholic Health Partners, the largest health system in Ohio; Centric Group, LLC, multi-channel designer, manufacturer and distributor of consumer goods; City of Albuquerque, the largest city in New Mexico; Ford Motor Company, a global automotive industry leader based in Dearborn, Mich.; K-VA-T Food Stores, operator of 106 retail food outlets in Kentucky, Tennessee, and Virginia; Las Cruces Public Schools, the second-largest school district in New Mexico; Olathe Medical Center, a health network serving five counties in Kansas; Pocono Medical Center, a 235-bed, not-for-profit community hospital offering acute care in Pennsylvania; Saginaw Chippewa Indian Tribe of Michigan, headquartered on the Isabella Reservation, the tribe’s service area includes six townships; Samaritan Health Services, a non-profit network of hospitals, physician clinics, and health services in Oregon; Senior Lifestyle Corporation, Senior Lifestyle Corporation, one of the nation’s leading senior living specialists; Six Flags Entertainment Corporation, the world’s largest regional theme park company with 18 parks across the U.S., Mexico, and Canada; Sports Authority, one of the largest sporting goods retailers in the U.S.; Sportsdirect.com, the UK’s largest sports retailer; Tulsa Public Schools, the second-largest school district in Oklahoma; and Whirlpool Corporation, a leading manufacturer and marketer of major home appliances.