AD1 Holdings’ subsidiary Art of Mentoring exceeds expectations with March revenue up 400%
AD1 Holdings says driving the higher revenue are growing subscription sales, strong renewals and the acquisition of five new customers.
AD1 Holdings’ (ASX: AD1) subsidiary Art of Mentoring (AoM) has continued to exceed expectations with revenue for March up 400% on 2021 levels.
Revenue for the three months ending March 2022 was 38% higher than the previous December quarter.
AD1 attributed this increase to growing platform subscription sales, strong renewals, and the onboarding of five new customers.
Notable clients that were acquired during the period were Transport NSW, ITS Australia, National Association of Women Sales Professionals, and Downer Group.
According to AD1, these clients collectively represent $610,000 in potential life-time value.
Compared to March 2021, March 2022 platform sales were 4.9 times higher, while e-learning and consulting revenue more than doubled.
Commenting on AoM’s performance, AD1 chief executive officer Brendan Kavenagh said the company was “beautifully positioned” in a market that is in “great need” of mentoring platforms and content.
“AoM provides the solution to support organisations to embrace the mentoring journey, not just here in Australia, but across the globe.”
“The momentum is building quickly for this market – the opportunity, particularly in North America, is very exciting,” Mr Kavenagh added.
As 2022 advances, AoM’s strong sales pipeline and 90% forecast renewal rate has led AD1 to expect it will exceed full year revenue expectations.
AoM acquisition
AD1 revealed it was acquiring AoM in September 2020.
At the time, the market for AoM’s solutions was estimated at $18.2 billion.
Since acquiring AoM it has continued to beat previous records.
During the December 2021 quarter alone, AoM posted another all-time high, with revenue increasing 18.6% on the September 2021 quarter.
AD1 is continuing to work towards AoM’s expansion in the US market, with discussions with US channel partners ongoing.
In addition to AoM, AD1’s other software platform businesses include ApplyDirect and Utility Software Services.
ApplyDirect provides customer-branded recruitment marketing platforms and related digital services.
The Utility business offers software solutions to support energy retailers in optimising their operations.