SoftwareOne has swapped CEOs as it slashed its full-year 2024 revenue and profit guidance.
The Switzerland-based software licensing giant this morning appointed Raphael Erb to lead the business as predecessor Brian Duffy exits for a “new opportunity” after just 17 months in the hotseat.
Starting in his new role tomorrow, Erb has been at SoftwareOne for 25 years and is currently its Chief Revenue Officer.
At the same time, the 9,300-employee outfit announced it is slashing its full-year guidance after conceding that its Q3 results trailed its expectations. It cited three reasons for this:
– vendor incentive changes
– sales execution issues following implementation of go-to-market transformation
– a more cautious spending environment
Q3 revenues grew 1.4% in reported currency to CHF 236.7m, with revenue declining in a number of markets including the ‘Rest of EMEA’ segment that houses its UK business.
The SIX Swiss-listed outfit now expects full-year revenue growth to come in at 2-5%, down from the 7-9% it previously forecast. EBITDA margin for the year is now expected to hit 21-23%, down from 24.5-25.5%.
SoftwareOne has also tempered its expectations for 2026 somewhat.
Discussions with interested parties regarding a potential going-private transaction are ongoing, SoftwareOne stressed.
“I am absolutely convinced about SoftwareOne’s strengths and capabilities, and I see a large market opportunity as organisations continue to embrace the cloud and AI,” Erb stated.
“But as our recent disappointing performance clearly shows, there are areas we need to address – which we will do swiftly and decisively. I have no doubt that we can get SoftwareOne back on its growth trajectory by enhancing our focus on customers, empowering our people on the front line and improving our commercial model.”
Duffy added: “It has been an honour to lead the organisation and begin the company’s go-to-market transformation journey, while fostering our deep relationships with employees, channel and hyperscaler partners, and customers.”
