AD1 Holdings’ (ASX: AD1) portfolio of software businesses is continuing to perform with its Art of Mentoring (AoM) division growing revenue 400% for the March quarter (Q3 FY2022) compared to the previous corresponding period.
Compared to Q2 FY2022, AoM’s revenue was up 38%.
Across AD1’s portfolio, cash receipts were $1.56 million, which was 3% higher than the prior March quarter and consistent with Q2 FY2022.
Commenting on the company’s performance, AD1 chief executive officer Brendan Kavenagh said the company was “pleased to have delivered another solid quarter” of growth.
“The team continues to be focused on growing each of our key divisions and expansion into offshore markets has proven fruitful, with additional opportunity channel partner signings and pipeline growth specifically for AoM.”
Mr Kavenagh noted a recent US discovery trip had generated “significant interest” across the country in AoM.
“As a result, we are currently planning to relocate our co-founder to capitalise on this exciting opportunity and facilitate stronger future growth.”
Solid growth across all divisions
Across the group, AD1 has reported “solid growth” with 17 new customers onboarded across all divisions.
AD1 says this reflects the quality of its product offerings.
According to AD1, its “off the shelf” recruitment product Jobtale is receiving recognition in the small-to-medium enterprise market as driving efficiencies in candidate attraction, storytelling, while facilitating a “faster and better” recruitment experience.
To-date, this division has signed over 50 pilot customers and is on track to have 100 customers by the end of June.
In response to support for its products, AD1 has added leadership and product development capability to its domestic teams.
AD1 says this will allow it to provide improved experiences and increase its response rates to its growing customer requirements.
The ApplyDirect division delivered a 13.7% rise in annual recurring revenue, with AD1 attributing this to continued renewal conversations with key customers and upselling across its existing client base.
Meanwhile, the Utilities business yielded “steady organic growth” with an 18% increase in revenue compared to Q3 FY2021.
AD1 closed out Q3 FY2022 with $3.04 million in the bank.
As the company advances throughout the remainder of the year, it will focus on adding new customers across each of its divisions, along with its plans to expand into the US market with its AoM offering.
“We anticipate that in Q4 FY2022, AD1 will finalise its US expansion plans and continue to look at channel partner opportunities that will support further growth within the business,” the company stated.
Additionally, AD1 noted it would continue to explore acquisition opportunities across the HR tech sector to further complement and broaden its product offering and grow the group’s revenue.