According to recently published financial results of the software development company Uptime, 2023 was the most successful year in its history. The IT firm, operating in Estonia, Poland, Denmark, Norway, and Switzerland, saw its revenue increase by nearly 12% compared to the previous year, surpassing the €18 million mark. This revenue growth was achieved despite a challenging economic environment and a changing business climate.
Uptime’s revenue grew from €16.16 million in 2022 to €18.07 million in 2023. With that, profitability remained steady with an EBITDA of €3.6 million, consistent with the previous year. As in past years, more than half of the revenue was generated from markets outside of Estonia.
“Although the economic environment hasn’t been the most favorable, we managed to deliver strong results and continue on a growth trajectory,” said Uptime’s CEO, Eero Tohver. “It’s encouraging to see all our offices achieving greater and greater success each year, and it’s increasingly clear that our clients are recognizing the value of investing in IT solutions during economically uncertain times. These wise investments are key to enhancing efficiency and maintaining a competitive edge.”
According to Tohver, all markets presented diverse challenges last year, however, strong financial results show that the strategy chosen for expansion has been a right and sustainable one. “We currently see the greatest growth potential in Scandinavia, where a renewed sense of optimism is emerging in the Norwegian and Danish economies. Our partners’ businesses are also experiencing strong growth in these regions,” he commented.
Nevertheless, economic uncertainty continues to be felt in the IT market.“Software development is an optimism-driven business, and much depends on how clients perceive the future. Due to the war and high interest rates, plans are somewhat uncertain and caution can be felt from the marketplace. In some cases, clients are more hesitant to start new projects, and decision-making is taking a bit longer,” he added.
Despite the prevailing uncertainty in the market, Tohver expressed confidence in Uptime’s chosen strategy and noted that the company plans to continue with the same philosophy. “Our primary focus is to be a reliable partner to our long-term clients. At the same time, we are also looking for opportunities for continuous expansion and organic growth. Furthermore, we are constantly mapping new markets which we would like to enter and where we see that we can offer high-quality services to local clients,” he added.