Privately held Tradeshift is growing rapidly, its latest results show. What’s next?
Privately held Tradeshift is not obliged to publish financial results, but with the digital supply chain payments specialist repeatedly asked by customers and analysts for insight into its growth, the company has started to put out quarterly “momentum” releases.
Here’s what its Q3 numbers, published Friday, reveal.
Tradeshift Results: $47 Million in New Contracts
With ten successive quarters of growth under its belt, the San Francisco-headquartered company – which in May this year raised $250 million (approx. £188 million) in a Series E funding round – the business is growing at an explosive pace.
Revenues are up a reported 400% year-on-year (trailing 12 months), while new bookings are up 284 percent over the same period, with new total contract value growing by $47 million in fiscal Q3 alone, as it added 27 new customers.
Tradeshift is a global business-to-business platform that uses cloud-based technology to improve processes like invoicing, workflow and supplier financing.
The company’s solutions support trade financing, spend and receivables management, lending and payments, and private marketplaces, and aim to help unlock the $9 trillion of capital estimated to be trapped in online payments.
Expansion Strategy: Takeover Targets?
With such levels of growth and its recent Series E funding round wrapped up, several market watchers suggested to Computer Business Review that the company was eyeing expansion through a takeover bid for one of its several competitors.
(The Series E was led by Goldman Sachs and Canadian pension fund giant PSP Investments, with participation from HSBC and Gray Swan, a venture company established by Tradeshift’s founders. It valued the company at $1.1 billion.)
Tradeshift, whose CEO Christian Lanng described the Series E as enabling the company to “consolidate our leadership position” did not respond to a request for comment from Computer Business Review on potential acquisition strategy.
Tradeshift enables supply chain payments and marketplaces for more than 1.5 million businesses globally, including Fortune 1000 brands Air France-KLM, DHL, Fujitsu, HSBC, Siemens, Societe Generale, Unilever, and Volvo.
Hertz, Shiseido, ECU Added to Roster as Tradeshift Results Show $47m in New Contracts for Q3
Among the customers Tradeshift added this quarter were Hertz, Shiseido, ECU, and “Fortune 500 leaders” in retail apparel, agriculture, engineering and construction, hospitality, travel and food delivery, the company said.
“We see accelerating growth in terms of total revenue, number of customers, our partner community, and our capabilities,” said Christian Lanng, CEO and co-founder of Tradeshift in a release on Friday.
He concluded: “We added $47 million in total contract value in Q3. That’s up sequentially from about $35 million in Q2. We’re very excited about the increasing momentum of Tradeshift.”