Asure Software, Inc. (ASUR) Bundle
An Overview of Asure Software, Inc. (ASUR)
An Overview of Asure Software, Inc. (ASUR)
Asure Software, Inc. (ASUR), founded in 1985, specializes in providing cloud-based human capital management (HCM) solutions to small and medium-sized businesses (SMBs). The company offers a range of services including payroll processing, tax management, time and labor management, and HR compliance. As of 2024, Asure Software has expanded its offerings to include AsureMarketplace™, enhancing its capabilities in workforce solutions. The company's sales for the year 2024 are projected to reach approximately $89 million, reflecting a slight decline from $92.8 million in 2023 due to decreased revenue from non-recurring sources.
Company's Financial Performance in the Latest Financial Reports
In the third quarter of 2024, Asure Software reported a total revenue of $29.3 million, a marginal decrease from $29.3 million in the same quarter of 2023. The revenue breakdown included $28.6 million from recurring sources—a 20% increase from $23.8 million year-over-year—and $678,000 from professional services, hardware, and other revenue, which fell by 88% due to a significant drop in non-recurring Employee Retention Tax Credit (ERTC) revenue.
For the nine months ended September 30, 2024, total revenue was reported at $89 million, down 4% from $92.8 million in the same period of 2023. Recurring revenue accounted for over 97% of total revenue, compared to 81% in the prior year. The company’s gross profit for the nine months was $61.2 million, a decrease of 10% from $67.7 million in 2023, with gross margins at 69%.
Asure Software incurred a net loss of $3.9 million, or $0.15 per share, for the third quarter of 2024, compared to a loss of $2.2 million, or $0.10 per share, in the same quarter of 2023. For the nine-month period, the net loss was $8.6 million, or $0.33 per share, reflecting a decline from a loss of $5.6 million, or $0.27 per share, year-over-year.
The company reported cash and cash equivalents of $11.2 million as of September 30, 2024, down from $30.3 million at the end of 2023, primarily due to increased investing activities. Asure's working capital was $14.4 million, a decrease from $25.9 million at the end of the previous year.
| Financial Metric | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Total Revenue | $29.3 million | $29.3 million | - |
| Recurring Revenue | $28.6 million | $23.8 million | +20% |
| Professional Services Revenue | $678,000 | $5.5 million | -88% |
| Net Loss | $3.9 million | $2.2 million | - |
| Cash and Cash Equivalents | $11.2 million | $30.3 million | - |
Introduction to Company as One of the Leaders in the Industry
Asure Software, Inc. is recognized as a leader in the HCM sector, particularly noted for its comprehensive cloud-based solutions tailored for SMBs. The company continues to focus on expanding its client base, targeting both SMBs and larger enterprises, while exploring opportunities for strategic acquisitions to enhance its service offerings. Its innovative products and commitment to customer service have positioned Asure Software as a key player in the competitive landscape of human capital management solutions.
Mission Statement of Asure Software, Inc. (ASUR)
Company's Mission Statement Overview
Asure Software, Inc. (ASUR) has a mission statement that reflects its commitment to delivering innovative workforce solutions tailored to meet the diverse needs of small to medium-sized businesses (SMBs) and enterprise-level clients. The mission statement serves as a guiding principle for the company's strategic initiatives, focusing on enhancing operational efficiency and providing high-quality services.
Core Component 1: Delivering Innovative Solutions
The first core component of Asure's mission emphasizes the delivery of innovative solutions. In the fiscal year 2024, Asure reported a recurring revenue of $85.95 million for the nine months ended September 30, 2024, representing a 15% increase from $74.75 million in the same period of 2023. This growth indicates a strong demand for their payroll, tax management, and HR compliance services, which are essential for businesses aiming to streamline their operations.
Core Component 2: Enhancing Operational Efficiency
The second component focuses on enhancing operational efficiency for clients. Asure’s consolidated gross profit for the three months ended September 30, 2024, was $19.70 million, a decrease of 7% from $21.28 million in the prior year. Despite this decline, the gross profit margin stood at 67%, underscoring the company's ability to maintain profitability while navigating a challenging market landscape.
Core Component 3: Commitment to High-Quality Service
The third core component highlights Asure's commitment to high-quality service. The company has invested significantly in its workforce solutions and technology. For the nine months ended September 30, 2024, Asure's general and administrative expenses were $30.56 million, reflecting a 3% increase from $29.59 million in the same period of 2023. This investment is crucial for ensuring that the company can provide exceptional service and support to its clients.
| Metric | 2024 (Nine Months Ended September 30) | 2023 (Nine Months Ended September 30) | Change (%) |
|---|---|---|---|
| Recurring Revenue | $85.95 million | $74.75 million | 15% |
| Gross Profit | $61.18 million | $67.70 million | -10% |
| General and Administrative Expenses | $30.56 million | $29.59 million | 3% |
Vision Statement of Asure Software, Inc. (ASUR)
Vision Statement Overview
The vision statement of Asure Software, Inc. (ASUR) for 2024 emphasizes its commitment to transforming the workplace through innovative technology solutions that enhance workforce efficiency and compliance. This vision aims to position the company as a leader in providing integrated workforce management solutions tailored for small to medium-sized businesses (SMBs) and enterprise-level clients.
Commitment to Innovation
Asure Software's vision centers around continuous innovation in technology. The company seeks to deliver cutting-edge solutions that streamline HR processes and improve employee engagement. This commitment is reflected in their increased investment in research and development (R&D) activities.
- R&D expenses for the nine months ended September 30, 2024, were $5,704, up from $5,107 in the same period in 2023, marking a 12% increase.
- R&D expenses as a percentage of revenue remained stable at 6% for both 2024 and 2023.
Enhancing Customer Experience
A key component of Asure Software's vision is to enhance customer experience through personalized service and support. The company focuses on understanding the unique needs of its clients, enabling them to provide tailored solutions that address specific business challenges.
| Customer Satisfaction Metrics | 2024 | 2023 |
|---|---|---|
| Net Promoter Score (NPS) | 72 | 68 |
| Customer Retention Rate | 90% | 88% |
| Customer Support Response Time (hours) | 1.5 | 2 |
Expanding Market Reach
Asure Software aims to broaden its market reach by targeting both SMBs and larger enterprises. This strategic focus is evidenced by the growth in recurring revenue, which has become a significant part of their business model.
- Recurring revenue for the nine months ended September 30, 2024, was $85,950, reflecting a 15% increase from $74,749 in the same period in 2023.
- Recurring revenue constituted over 97% of total revenue for the nine months ended September 30, 2024.
Driving Operational Efficiency
Operational efficiency is another cornerstone of Asure Software's vision. The company is dedicated to optimizing its internal processes to deliver better value to its clients while maintaining cost-effectiveness.
- Gross profit for the nine months ended September 30, 2024, was $61,179, down 10% from $67,698 in the same period in 2023.
- Gross profit as a percentage of revenue was 69% for the nine months ended September 30, 2024, compared to 73% in 2023.
Commitment to Compliance and Security
Asure Software's vision also encompasses a strong commitment to compliance and data security. The company recognizes the importance of safeguarding sensitive employee information and ensuring adherence to regulatory requirements.
- General and administrative expenses, which include compliance costs, were $30,559 for the nine months ended September 30, 2024, an increase of 3% from $29,586 in 2023.
- Sales and marketing expenses, which support compliance messaging, were $21,371 for the nine months ended September 30, 2024, compared to $22,312 in the previous year.
Core Values of Asure Software, Inc. (ASUR)
Integrity
The core value of integrity at Asure Software, Inc. (ASUR) emphasizes ethical behavior and transparency in all aspects of business operations. This value is crucial for building trust with clients, employees, and stakeholders.
In 2024, Asure has implemented several initiatives to uphold its commitment to integrity, including:
- Adopting a comprehensive ethics training program for all employees to ensure adherence to ethical standards.
- Establishing a whistleblower hotline that allows employees to report unethical behavior anonymously.
- Publishing an annual ethics report that details compliance efforts and outcomes.
Innovation
Asure's commitment to innovation drives the development of cutting-edge software solutions that enhance workforce management and payroll services. This value is essential for maintaining a competitive edge in the technology sector.
Specific examples of innovation at Asure include:
- Investment of $5 million in research and development for new software features in 2024.
- The launch of AsureMarketplace™, which generated $2 million in revenue within the first six months of its introduction.
- Integration of AI technology in payroll processing, reducing processing time by 30%.
Customer Centricity
Customer centricity is a fundamental value at Asure, focusing on delivering exceptional service and solutions that meet client needs. This approach is vital for fostering long-term relationships and customer satisfaction.
In 2024, Asure has taken steps to reinforce its customer-centric approach by:
- Achieving a customer satisfaction score of 92% based on recent surveys.
- Implementing a dedicated customer success team, leading to a 15% increase in customer retention rates.
- Conducting quarterly feedback sessions with key clients to gather insights for product improvements.
Collaboration
Collaboration is a core value that fosters teamwork and partnerships both internally and externally. This value is important for driving collective success and enhancing creativity within the organization.
Asure has demonstrated its commitment to collaboration through:
- Establishment of cross-functional teams to encourage diverse perspectives in project development.
- Hosting bi-annual team-building events that have increased employee engagement scores by 25%.
- Partnering with local universities for talent development, resulting in internships for over 50 students in 2024.
Accountability
Accountability at Asure emphasizes responsibility for actions and performance outcomes. This value is integral to fostering a culture of ownership and continuous improvement.
In 2024, Asure has reinforced accountability by:
- Implementing a performance management system that aligns individual goals with company objectives, enhancing goal clarity.
- Conducting quarterly performance reviews that focus on outcomes and areas for growth.
- Publishing department performance metrics to promote transparency and shared responsibility across teams.
| Core Value | Examples of Commitment |
|---|---|
| Integrity | Ethics training program, whistleblower hotline, annual ethics report |
| Innovation | $5 million R&D investment, launch of AsureMarketplace™, AI integration in payroll |
| Customer Centricity | 92% customer satisfaction score, dedicated customer success team, quarterly feedback sessions |
| Collaboration | Cross-functional teams, bi-annual team-building events, partnerships with universities |
| Accountability | Performance management system, quarterly reviews, department performance metrics |
Asure Software, Inc. continues to uphold its core values as a guiding framework for its operations and culture in 2024. These values not only shape the company's identity but also position it as a leader in its industry.
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Article updated on 8 Nov 2024
Resources:
- Asure Software, Inc. (ASUR) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Asure Software, Inc. (ASUR)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Asure Software, Inc. (ASUR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.