Company Financial Announcement 1H 2024

Reykjavík, August 27th, 2024

See the full report here

Klappir is Powering Growth and Innovation in 2024
The consolidated financial statement is unaudited. For more information see attached document “Sustainability Journey with Klappir Including Financials for the First Half of 2024”

Accounting principles
Our contracts are increasingly based on annual payments and annual commitments. Therefore an appropriate portion of the committed revenue is allocated to the balance sheet, providing a clearer long-term view of future revenue streams. Consequently, while this method offers enhanced visibility into committed revenue, it results in lower net revenue compared to a model without such allocation.

Impact highlights

Financial highlights

Jon Agust Thorsteinsson, CEO:
“As we step into 2024, our commitment to positioning Klappir for rapid growth has been unwavering. We have focused on enhancing the scalability of our Platform and building up Customer Success infrastructure, setting the stage for a future of accelerated expansion.

The first half of the year has been marked by significant achievements, with our impact within the ecosystem continuing to evolve dynamically. A key milestone has been reached as we empower companies with robust sustainability regulatory accounting, comprehensive reporting, and seamless data sharing through our advanced software. Our strategic expansion is gaining momentum as we strengthen our sales channels through a growing partner network. This expansion unlocks new growth opportunities, particularly in the EU market, where we, alongside our partners, are well-positioned to capitalize on emerging possibilities and propel Klappir’s success to new heights.

Our investment in Customer Success has reached new levels of ability. By integrating customer feedback and fostering a customer-centric culture, we have not only enhanced our service delivery but also deepened relationships with our partners and clients. Our ecosystem-driven approach has fostered a cohesive and collaborative environment, fueling mutual success and driving value for all stakeholders.

Our continuous investment in research and development has led to the creation of innovative Platform capabilities, equipping Klappir customers with the tools needed to comply with the latest Corporate Sustainability Reporting (CSRD) directives and European Sustainability Reporting Standards (ESRS). Coupled with our strengthened focus on Customer Success, we are providing our customers with a formidable competitive edge, establishing them as sustainability leaders in their industries.

Financially, the first half of 2024 has been strong. We have achieved notable revenue growth, driven by rising demand for our innovative solutions and strategic market expansions. Our disciplined financial management, coupled with strategic investments, has laid a solid foundation for sustained growth. The improved performance year-on-year is largely due to increased subscription revenues and efficient cost management—achieved through heightened product development efficiency, reduced reliance on consultants, and a lower sales and marketing cost ratio relative to sales results.

Looking ahead, our priorities remain clear: to continue innovating, deepen our commitment to sustainability, and drive customer success. We will leverage our strengths, seize new opportunities, and navigate challenges with resilience and agility.

To enhance Klappir's presence within the Nordic region, we are considering the possibility of a dual listing in another Nordic country. This strategic move would not only bolster our Nordic identity but also provide greater access to larger investor groups with a strong focus on sustainability.”