Esker, Inc. (BOURSE:ALESK):

Value in Thousands of Euros     2015     2014     Growth
Sales Revenue     58,457     46,060     +27%
Operating Income     9,054     5,700     +59%
Net Income     6,473     4,650     +39%
Net Worth     29,188     21,506     +7,682
Cash Balance     16,295     17,559     -1,264

The Esker Supervisory Board approved the financial statements for the year, ending December 31, 2015. Audit procedures on the consolidated accounts have been completed. The certification report will be issued at the end of April 2016, following the completion of procedures required for the publication of the annual financial report.

Continued Growth of Cloud-Based Solutions

Esker sales revenue reached 58.5 million euros in 2015, which is a 13 percent increase over 2014 based on a constant exchange rate. This performance is marked by the ongoing success of cloud-based document process automation solutions, representing close to 42 million euros (72 percent of sales), up 24 percent over 2014. The performance of license-based document process automation products remains stable (down only one percent), while legacy products declined to now represent just nine percent of company sales.

Acquisitions & Currency Accentuate Strong Sales

Esker fully benefited from its international presence in 2015, particularly in the U.S. Sales generated outside of France represented the 64 percent of total sales and the U.S. alone represented 43 percent. The favorable increase in the U.S. dollar against the euro alone has allowed Esker to achieve over 8 percent additional growth.

Two company acquisitions in 2015 -- the American start-up company TermSync (11 months of activity in 2015) and the French company CalvaEDI (eight months of consolidation in 2015) -- contributed 1.9 million euros to Esker, representing four percent of additional growth. The operating performance of these two companies demonstrates their rapid integration with Esker — growing TermSync’s sales revenue by 100 percent and CalvaEDI’s by six percent.

Strong Profitability & Increased Investment Efforts

The substantial growth in sales has resulted in a 59 percent increase in Esker’s operating income, equating to 9 million euros of sales (15.5 percent). This significant increase in profitability continues to demonstrate the relevance of the cloud-based computing model adopted by Esker in 2005 that has enabled the company to combine structural growth and profitability. The increased value of the U.S. dollar has provided nearly 1.5 million euros of additional income and the acquisitions of the two companies has also positively contributed to company results.

This past year’s solid financial results were achieved while maintaining a high level of investment. To further accelerate its development in the coming years, Esker continues to invest heavily in Research and Development (R&D) (+24 percent in gross value) as well as in sales and marketing which is progressing at the same speed.

Significant Increase in Operating Cash Flow Finances Investments

Strong sales and financial results translate into a large increase in operating cash flow — 4.7 million euros (+55 percent) — to exceed 13.2 million euros in 2015. This has allowed Esker to fund close to 85 percent of its investments, including the two acquisitions earlier this year, and serve a 1.2 million euros dividend payment to its shareholders. Company cash remains largely positive, allowing Esker to consider further steps to accelerate growth.

Outlook for 2016

Due to numerous contracts signed in 2015, Esker anticipates continued dynamic growth in the coming years. Based on its business model and the success of its solutions, Esker anticipates similar results in 2016 to those achieved in 2015. Monetary trends observed at the beginning of the year should, if they continue, have a positive effect on the growth and profitability of the company.

About Esker

Esker is a worldwide leader in cloud-based document process automation software. Organizations of all sizes use its shared platform of solutions, offered on-demand or on-premises, to automate accounts payable, order processing, accounts receivable, purchasing and more. Esker’s solutions are compatible with all geographic, regulatory and technology environments, helping over 11,000 companies around the world in their efforts to Quit Paper™.

Founded in 1985, Esker operates in North America, Latin America, Europe and Asia Pacific with global headquarters in Lyon, France and U.S. headquarters in Madison, Wisconsin. Last year Esker generated 58.5 million euros in total sales revenue. For more information on Esker and its solutions, visit www.esker.com. Follow Esker on Twitter at twitter.com/eskerinc and join the conversation on the Esker blog at blog.esker.com.