Net sales at the Swiss-based fintech, which also has a presence in Singapore, grew by 13.2 percent in the second half of the fiscal year compared to the first six months, but the company posted an overall loss due to its shift to a SaaS revenue model.

Crealogix posted an adjusted bottom-line net loss amounting to -5.4 million francs, which includes a goodwill amortization of 4.9 million francs. The group recorded an adjusted EBITDA of 2.4 million francs, excluding costs of reorganization measures, which totaled 7 million francs, the company said in its annual report presentation on Tuesday.

«This action, in particular streamlining the product portfolio and organization, will strongly accelerate our transition in the medium term and place us back on the path of revenue and growth,» the company said in a letter to shareholders.

The transition to a SaaS revenue model temporarily reduced net sales and EBITDA by 6.9 million francs, but will «will lay the basis for sustainable success in the future,» the company said. Net sales overall at Crealogix increased by 1.7 percent to 103.7 million Swiss francs ($114.46 million) for the 2019-2020 financial year.

Strategic Transformation

Under chief executive Oliver Weber, who was appointed to the role in January, the company has accelerated its transformation with three strategic priorities: improving client access by pursuing a segment-oriented market approach, focusing its offering by streamlining its product platform, and transitioning towards a SaaS revenue model.

«We see positive outcomes in a willingness and need for speed in further digitizing processes and offerings, and we expect a heightened demand for digital banking in the near term,» Weber said.

Asia Pacific Growth

In Asia Pacific, one of the company's key markets, Crealogix has said it wants to grow and transform in the region, which is seeing growing demand for digital products in wealth management, retail banking and corporate banking. Earlier this year, the firm said it is making «far-reaching investments in order to strengthen the local organization on a sustainable basis,» and appointed a new managing director in Karsten Kemna to lead this development.

«Especially across Asia, mobile-first is a leading topic. The growing middle class and younger generations expect powerful banking solutions at the tip of their fingers. Here we expect a growing interest in wealth management solutions,» Weber said.