Crayon colours in another quarter of growth in 2023

Gross profits were up 23 per cent as software and cloud sales drove growth

Norwegian licensing MSP, Crayon, has reporter gross profits growth of 23 per cent in its second quarter results, a slight slow-down from its 31 per cent profits growth in Q1.

The company delivered over NOK1.5bn (£110m) in gross profit in Q2.

Software and cloud were still the fastest growing business at 30 per cent growth, while its consulting, software and cloud economics businesses followed on at 29 and 28 per cent.

Europe continued to be the biggest growing market for Crayon in Q2 at 50 per cent gross profit growth, followed by the US at 31 per cent.

The Nordic region closed at 16 per cent growth and APAC & MEA at 5 per cent.

Crayon reported that the performance in Europe reflected a "proven and replicable business model".

The company argued that the sustained growth in Europe was the fruit of investment in regional management appointments to drive growth and value creation. It also claimed that focused investment in SCE capabilities was fuelling software and cloud sales.

In the earnings call, CEO Melissa Mulholland and CFO Jon Birger Syvertsen highlighted the success thanks to strong market growth, its global software and cloud business scalability and the expansion of service upsell.

"Savings on software and cloud spend continue to resonate in this macroeconomic environment where CIOs are faced with cost pressures and expectations to deliver maximum ROI," said Mulholland.

"With our capabilities and services-led go to market, we are in a unique position to capture market opportunity, further drive growth, and create more customer value."

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