3 March 2022 - The first Elop Insight units have been shipped to customers in
fourth quarter. Simplifai growth continues, wins several important contracts
resulting monthly recurring revenue (MRR) of NOK 1.1 million at end of Q4, a
growth of 233 percent year-on-year. Simplifai also announces an ambition of NOK
1 billion in ARR by end-2026.
ELOP continue to see huge interest from all over the world for its technology.
Since the end of Q3, Elop Technology has signed several new partner and
distributor agreements securing sale, distribution and promotion of its
technology in a total of 18 countries. There are ongoing discussions and
negotiations with multiple distributors and partners, and further agreements are
expected to be announced in the coming months. The company expects to be present
with its technology and products in 50+ countries before end of 2022
"ELOP is in process of opening up a non-existing market with a new and unique
technology. In 2021, we introduced our technology to the world, now we are
focusing on securing distribution and presence in relevant markets. In parallel,
we run field-tests and demos together with our partners to showcase how our
technology can be used by asset owners around the world. The response has been
fantastic and we are convinced that our work will open up high volume markets
for our technology," says Øivind Horpestad, executive chairman of Elop
The most important driver for the significant market interest is that asset
owners for the first time can demand handover documentation that confirms the
quality of newbuild concrete structure.
"We expect that ultrasound will become a standard part of the hand-over
inspection and documentation of all critical concrete structures in the future.
At least one major asset owner has already decided to add this requirement to
their handbook. They will require quality control of newbuild concrete
constructions as standard part of handover documentation before accepting
delivery. We expect others to follow, and this will create a huge demand for
technology like ours," adds Horpestad.
The first Elop Insights units have been delivered in the fourth quarter.
Strong Simplifai growth
Elop's AI business unit, Simplifai, continues to deliver strong growth figures.
The company won several important contracts in the fourth quarter and have
continued to win further awards in 2022.
In the fourth quarter 2021, Simplifai delivered a year-on-year growth of
contracted monthly recurring revenue (MRR) of 233 percent.
"Simplifai delivers a strong quarter. We have been successfully benchmarked,
tested and compared against other solutions. We have won several contracts due
to our unique solutions and we are experiencing increased recognition and
acceptance in the market for our solutions, both at home and internationally,"
says Bård Myrstad, COO of Elop and Managing Director of Simplifai.
As a result of a rapidly growing track record for Simplifai's AI-driven Digital
Employee technologies, the company is also starting to tap into the upsell
potential in existing client relationships.
The combination of strong growth and a highly promising market outlook has led
to Simplifai announcing a NOK 1 billion ARR target by the end of 2026.
"Our MRR grew by 233 percent in 2021, which represented the starting point for
adoption of our technology in many geographical markets. For year-end 2022, we
target MRR that is 3-4 times higher than at year-end 2021," adds Bård Myrstad.
Development of Insight Crawler according to plan
The partnership with DEKRA Visatec and ICM and the development of our ultrasound
robot "Insight Crawler" is progressing according to plan. Successful tests of
the prototype have been conducted.
"We are pleased that the development of the Insight Crawler is progressing well.
We have some very exciting weeks ahead of us. We target to launch the Insight
Crawler at the end of Q1 2022," says Øivind Horpestad.
Q4 2021 results
Elop Group delivered operating revenues of NOK 5.0 million in in Q4 2021, versus
NOK 0 million in the same quarter last year. The group operating revenues were
NOK 13.3 million in 2021
Elop held cash and cash equivalents of NOK 124 million at end of Q4 2021. Elop
completed a private placement raising gross proceeds of NOK 100 million at the
start of Q4 2021.
Live webcast presentation at 08:30 CET
Elop AS invites to a live company update today at 08:30 (CET). Investors,
analysts and media are invited to follow the webcast on:
https://channel.royalcast.com/landingpage/hegnarmedia/20220303_1/
ENDS
For further information, please contact:
Media
Øivind Horpestad, Executive Chairman of Elop, tel: +47 910 00 626
Investors
Øivind Horpestad, CEO and chairman, tel: +47 910 00 626
Kim Boman, CFO, tel: +47 959 63 912
About Elop
Elop is a Norwegian holding company with two operating subsidiaries. Elop
Technology develops tools and digital solutions to inspect, monitor and manage
infrastructure worldwide using patented ultrasound technology. Through
data-driven and AI-based solutions for inspection and predictive maintenance of
concrete infrastructure, the vision is to provide asset owners with solutions
that improve safety, extend asset lifetime, minimise total lifecycle cost and
environmental footprint. Simplifai offers automation solutions using artificial
intelligence. Simplifai's Digital Employee solutions automate labour intensive
work process where natural language communication including email or documents
are central.