Guangzhou, March 18, 2022 -- On March 16, Kingdee International Software Group (hereinafter referred to as "Kingdee", share number: 0268.HK) announced its 2021 annual results. Results show that the total revenue of Kingdee in 2021 was 4.174 billion yuan, of which the annual recurring revenue of cloud subscription service (ARR) was 1.57 billion yuan, up 58.5% year on year, and the revenue of cloud business was 2.758 billion yuan, rising to 66.1%, up 44.2% year on year. During the reporting period, the transformation of Kingdee Cloud achieved remarkable results and cloud subscriptions grew strongly.
Among them, the small and micro SaaS management cloud represented by Kingdee Cloud and Stars achieved rapid growth, financial cloud revenue increased by 82.8% year on year, the overall customer renewal rate as high as 85%, which proved its leading advantage in the small and micro cloud market.
Focusing on the strategy of "platform + people, finance and tax + ecology", Kingdee has won the first place in SaaS ERM for many consecutive years
2021 is the year of Kingdee's localization alternative layout and start. Through the product strategy of "one arrow and more stars", Kingdee helps many Fortune 500 companies to restructure their digital management. Focusing on the strategy of "platform + people, finance and taxation + ecology", Kingdee continues to develop and promote cloud subscription services, achieving high-quality growth of cloud business and winning wide praise.
Recently, IDC data shows that Kingdee ranks first in China's SaaS ERM(enterprise resource management cloud services) market for large, medium and small enterprises. At the same time, in SaaS EA(enterprise application software cloud services), financial cloud market share to maintain the first.
In addition, Kingdee has become the only Chinese enterprise-level SaaS vendor in the top five Garnter application platform software in 2020. Being selected as Contenders in IDC 2021 Asia Pacific ERP SaaS Manufacturing Competitiveness quadrant; Featured in the Forrester Low Code Analysis Report and ranked as the most practiced enterprise PaaS+SaaS platform in the report.
Kingdee attaches great importance to user privacy and data security, and has completed the "Grand slam" of product security and privacy system, including ISO27001, ISO27701, National information security Level protection Level 3 certification, International Cloud Security Alliance CSA-STAR and other security certifications.
"In the era of digital economy, every company is a software company, and Kingdee wants to be the software company behind the software company." Xu Shaochun, Chairman of the board of Directors and CEO of Kingdee Group, said that Kingdee will unswerving transformation to the cloud subscription service model, constantly improve the product and service experience, and achieve the goal of "recreating Kingdee with the cloud subscription model".
Products, ecology and services have been comprehensively upgraded, and 70 billion small and micro markets have been tapped
According to the market calculation formula of New Times Securities research report, the prediction of future small and micro market size = number of enterprises (35 million)* average annual revenue (5 million)* average SaaS expenditure ratio of revenue (0.05%)* market penetration (80%)=70 billion yuan. The market space for small and micro enterprises is not small. In 2021, under the constant impact of the epidemic and the increasing pressure on small and micro enterprises to survive, Kingdee Cloud Stars always adheres to the power of numbers to deliver warmth to small and micro enterprises. Behind the bright results, and its "three upgrades" strategy is inseparable:
Product upgrade
Focusing on "redefining the integration of industry, finance and taxation", Kingdee Cloud · Star Professional edition and standard edition have been launched. We will fully support electronic invoicing, enable millions of merchants to access digital RMB payment, launch direct bank-enterprise connection to improve the efficiency of financial management for small and micro enterprises, and explore more digital scene innovation and application modes for small and micro enterprises.
② Ecological upgrading
Successfully recruited nearly 1,000 channel partners and developed 85+ ecological ISV partners (covering Ali Cloud, Dingding, enterprise wechat, Tencent Qianfan, Huawei Cloud, mobile cloud, Unicom Woyun, etc.). Create an integrated ecology of industry, finance and taxation for small and micro enterprises, covering industry ecology, strategic ecology, domain ecology, financial service and knowledge service ecology, etc.
③ Service upgrade
To Xu Shaochun personal number as the starting point, to carry out the reform of the service system, through the whole journey of customer experience. Build a customer success system, realize hierarchical management of customers and services, and improve the customer self-service online and mutual assistance service system. In 2021, a total of 3000+ inquiries from small and micro customers and 180+ praise from customers were received, and the net recommendation value of products increased by 16% year-on-year.
Behind the continuous SaaS first, is Kingdee's firm and persistent on the road of cloud transformation. In the future, Kingdee Cloud Star will continue to adhere to the "customer-centric, long-term adherence to professionalism; Strivers as the foundation, long-term adhere to the "Kingdee philosophy", innovative products and services, keep open, with many partners, accompany small and micro enterprises to achieve resilient growth in adversity!
