Temenos unveils new strategy and 2028 targets
Swiss banking software firm Temenos unveiled a new strategy and 2028 targets on Tuesday.
The targets are related to software-as-a-service (SaaS) annual recurring revenue (ARR), with a medium-term target of 50% compound annual growth rate (CAGR) to CHF1 billion ($1.07 billion) to 2025.
The company is targeting CHF2 billion to CHF2.4 billion in SaaS ARR by 2028, implying a 20%-25% CAGR, helped by new products and geographies.
Other targets include:
- Total revenue CAGR in the "mid-teens" percentage range to 2028.
- Adjusted operating profit margin in the "mid-30s" percentage range to 2028.
- Free cash flow conversion above 100% of adjusted net income and strong capital returns through dividends and share buybacks.
"We are confident that our track record of innovation, combined with our strong financial position, will enable us to deliver on our ambitious targets and continue to create value for our shareholders, customers, and employees," Temenos CEO Max Chuard said.
