Australian cloud distributor Rhipe has reported revenue of $143 million for the 2016 financial year, with the 32 percent growth helped by the distributor's appointment as a Microsoft Cloud Solution Provider (CSP).
Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) was $5.2 million, up from last years' $4.9 million. Gross profit was $25.8 million, 28 percent higher than the previous financial year.
Rhipe has sold more than 54,000 Office 365 seats on a monthly-based subscription at $13 per seat. The program helped Rhipe sign another 663 customers, 48 percent new to the distributor since July 2015.
The licensing division posted 38 percent growth in sales of subscription software. This division alone recorded a profit of $2.4 million.
Local sales in South East Asia showed an 87 percent growth.
In May, Rhipe sold off 83 percent of its stake in LiveTiles generating a $2.4 million deal.
For the financial year of 2017, Rhipe expects a 14-16 percent gross profit growth for the licensing division, which represents 96 percent of the company's revenue.
Rhipe expects a reduction of $2 million in costs in the solutions division for the current financial year. The division registered a $1.9 million loss in 2016.
The distributor has been nominated to three Microsoft Australia awards including excellence in licensing, marketing and wholesale distribution.
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