OutSystems, provider of the number one platform for low-code rapid application development, achieved record revenue in 2018 due largely to the value customers are gaining from the low-code platform. OutSystems posted a 66 percent increase in annual recurring revenue for 2018, which is its third consecutive increase of more than 50 percent, pushing annual recurring revenue over $100 million.
OutSystems added hundreds of new customers and nearly 60,000 new developers in 2018. Companies such as Toyota, Logitech, Deloitte, Ricoh, Schneider Electric, and GM Financial use the OutSystems low-code platform to rapidly develop custom applications that digitalize and differentiate their business.
“The success our customers are having speeding their digital transformation initiatives with our low-code platform is inspiring,” said Paulo Rosado, CEO and founder of OutSystems. “Our customers’ success is translating into amazing results for us and for them. Demand for low-code platforms has never been higher, and we look forward to another year of tremendous growth and adoption of our platform.”
Customer feedback recently propelled OutSystems to receive Gartner Peer Insights Customers’ Choice 2018 designations in both mobile development and high-productivity aPaaS.
“We’re thrilled to see customers using our low-code platform to innovate, generate revenue, and improve productivity,” said Rosado. “In 2018, we saw many new entrants in the low-code development market with narrow solutions that can box customers into a new form of legacy. Our customers surprise and delight us every day with the wide variety of ways they use our platform. This fuels our commitment to delivering a full-stack, low-code platform without walls.”
The platform supports the widest range of enterprise applications. Some customers are using it to deliver mission-critical, efficient, reliable, and compliant solutions that replace aging legacy ERP/CRM systems. Others have built mobile and web apps for internal processes, field services, and the frontline, dramatically improving employee effectiveness and satisfaction. The strongest growth in 2018 has been companies who are using OutSystems to develop B2C customer experiences for online banking, account enrollment, and self-service, increasing customer satisfaction, creating new revenue streams, and leapfrogging competitors.
Here are just a few examples of customers who chose OutSystems to increase business impact, remove complexity, and ramp up speed and agility:
- The City of Oakland modernized its digital services and increased digital inclusion for residents, saving $1 million.
- Burton revamped its logistics and distribution operations for its snowboarding equipment and apparel sales. The app was delivered in about one-third of the time originally estimated for a conventionally coded app and has generated 10 times ROI in revenue.
- Supply chain management software giant Nimbi developed a new core system that improved business productivity by 42 percent and saved $20 million in development costs.
- U.K. retailer Post Office delivered a new mobile financial product in four months. OutSystems is now the foundation of its future digital strategy of creating new revenue streams to serve its 17 million customers across the U.K.
Highlights from 2018 include:
- Funding: The record-breaking performance builds on the momentum from a $360 million funding round from KKR and Goldman Sachs announced in June that grew the company’s valuation to over $1 billion.
- Employee Growth: OutSystems expanded its workforce by nearly 400 positions across all key strategic areas -- bringing total number of full-time employees to over 1,000.
- Partner Growth: Partner-led deals helped triple annual recurring revenue from channel deals.
- Product Innovation: OutSystems 11 was released to help customers modernize legacy systems and replace large application portfolios. Other innovations included the release of OutSystems Sentry, a proactive security monitoring solution with built-in redundancy and 24x7 support, the OutSystems Insights platform that measures app performance and user satisfaction, and OutSystems.ai, which adds artificial intelligence to the platform’s visual development process.
- Thought Leadership: OutSystems released its fifth annual research report, The State of Application Development, 2018 (How IT Is Responding to Digital Disruption and Innovation), shedding light on the top challenges of application development and delivery for IT professionals and their companies and industries.
- Analyst Recognition: OutSystems cemented its Leader position with a number of industry analysts. Most notably, Gartner named OutSystems a Leader in both the Enterprise High-Productivity Application Platform as a Service (hpaPaaS) 2018 and Mobile Application Development Platforms 2018.
- Industry Awards: The company also won several key industry awards in 2018. It was named a Top Cloud Computing Employer by Forbes for the third straight year, a top cloud employer by Glassdoor and Battery Ventures, a Top-Rated Low-Code Platform by TrustRadius, and a CODiE Award winner for the Best Mobile Application Development Platform for the third year in a row.