Recruitment technology provider AD1 Holdings (ASX: AD1) has provided an update on its now 100% owned subsidiary, Art of Mentoring, confirming it has “delivered on expectations” set during the acquisition process.
The mentoring Software-as-a-Service (SaaS) business, which AD1 acquired nine months ago, has seen its client base grow by 24 new clients (or 63%) year on year – 20 of these being attained since the acquisition.
In addition, Art of Mentoring achieved a year-on-year revenue growth of 35% and AD1 said the business is “well positioned to continue its aggressive growth in FY 2022 and beyond”.
“The division’s growth aspirations are well supported by strategic investments in product enhancement as well as its sales and marketing capability to expedite the realisation of its growing sales pipeline,” it stated in today’s announcement.
Art of Mentoring is already embedded within government and professional associations, with recently secured government sector clients including the NSW Public Service Commission and Infrastructure NSW, and the platform is quickly gaining momentum within the corporate sector.
Other notable customers signed up in the last year include Toyota Australia, Aurizon, Royal Australian Navy, Equiti Group, Australian Dental Industry Association, Murdoch’s Children Research Institute and ABC Connect.
The most opportune time to grow a virtual business is a pandemic
“Our growth in FY 2021 is evidence of how well-positioned Art of Mentoring already was to provide virtual solutions for mentoring at a time when the pandemic required it,” Art of Mentoring managing director Melissa Richardson said.
“We have enjoyed increased revenue in mentoring platform sales but also a significant uptick in sales of online training licences in Australia, New Zealand and overseas.”
“Product improvements in FY22 should accelerate this trend,” Ms Richardson added.
She said being part of the AD1 group allows Art of Mentoring to tap into a new expertise and prospect base.
“We will continue to innovate so we can cater to the growing global interest in mentoring as a solution for connecting, supporting and developing remote workers.”
Art of Mentoring’s SaaS business designs, implements and provides mentoring services to organisations. The services are underpinned by evidenced-based programs, expert consultants and software.
AD1 acquired the business via the issue of $1 million in cash upfront plus $500,000 in shares.