AUTOCOUNT Dotcom Bhd, a developer and distributor of financial management software, posted a strong financial performance in its 2Q FY2024 ended June 30, 2024 propelled by escalating demand for its e-invoicing services.
The group’s net profit for the period under review surged to RM4.52 mil, nearly doubling the RM2.35 mil in the corresponding quarter last year while revenue for the quarter edged up 53.2% year-on-year (yoy) to RM13.51 mil from RM8.82 mil in 2Q FY2023.
This growth was fuelled by strong sales in financial management software distribution and increased revenue in technical support and maintenance services.
Financial management software distribution remains Autocount’s primary revenue generator, contributing 88% to total revenue with significant demand noted in the Malaysian market which accounts for 87% of total sales.
Notably, the e-invoicing service under this segment witnessed a substantial uptake, registering over 6,000 company subscriptions during the quarter, thus marking a significant new revenue stream.
For the 1H FY2024 period, Autocount achieved a net profit of RM8.59 mil, a 42.9% jump from RM6.01 mil in the prior year. This aligns with a 41.3% rise in revenue to RM27.18 mil from RM19.24 mil in 1H FY2023.
“While 2Q FY2024 saw a slight revenue dip compared to 1Q FY2024 due to fewer MSME Digitalisation Grant cases, pre-tax profit before tax increased due to reduced outsourced fees for customer implementation, support, maintenance and training services,” commented Autocount’s managing director Choo Yan Tiee.
Looking forward, Autocount remains optimistic about its growth prospects for coming years, driven by the rising demand for e-invoicing services which is poised to catalyse growth in the financial management software sector.
The company’s extensive client base of more than 210,000 customers further positions the company strategically to benefit from streamlined invoicing processes that enhance compliance and operational efficiency.
Moreover, Autocount is prioritising its e-invoicing initiative in response to the RM100 mil digitalisation grants announced in Budget 2024 which are poised to benefit over 20,000 SMEs and micro-entrepreneurs through the Malaysia Digital Economy Corporation (MDEC).
As it is, the six-month grace period announced by the Inland Revenue Board (IRB) will ease the transition for businesses while providing valuable time to ensure smooth implementation without immediate penalties as corporations and businesses adapt to the new e-invoicing system.
The phased roll-out which began on Aug 1 based on annual turnover will gradually extend to all companies by mid-2025. With 767,000 micro-enterprises and 334,000 SMEs in Malaysia poised to benefit, significant growth opportunities lie ahead in the near term.
At the close of today’s trading, Autocount was up 1 sen or 1.02% to 99 sen with 617,100 shares traded, thus valuing the company at RM545 mil. – Aug 26, 2024
