Escalating adoption of enterprise product costing solutions across all geographies combined with strong subscription renewals fuel company’s success
CONCORD, Mass. — (BUSINESS WIRE) — June 27, 2013 — aPriori, a provider of enterprise product cost management software solutions, today announced record results for its 2013 fiscal year completed April 30, 2013. The company reported new highs in revenues, bookings, numbers of new customers and recurring revenues. The growth was fueled by strong performance in Europe; continued penetration in automotive, high tech, energy, industrial equipment and transportation; the expansion of existing North American and European customer deployments, as well as new capabilities in its late 2012 software release.
Important milestones for the company in FY 2013 include:
- Revenues grew 84% year over year.
- Bookings grew 48% year over year.
- International revenues grew 367% year over year.
- Existing customers renewed at a rate of 90% - for the 5th consecutive year.
- New customers in all geographies drove a 62% expansion of the customer base.
aPriori’s product cost management software leverages computer-aided design and intelligent cost models to quickly and automatically generate detailed manufacturing analysis and cost estimates and to quantify the impact of changes to product design, materials, manufacturing processes, volumes and location in real time. The software also enables users to leverage product cost data hosted in other critical enterprise applications to communicate product cost information between all functional organizations involved in product definition and delivery. This includes the import of complex engineering Bills of Materials (BOMs) from ERP, PLM or other enterprise applications.
“We’re seeing manufacturers take a more systematic, enterprise-wide view as they look at new opportunities to drive product profitability and accelerate cycle times,” said Stephanie Feraday, aPriori’s president and chief executive officer. “aPriori is particularly well positioned to help them do that. Our users can integrate and leverage important information from their other enterprise applications to support cost tracking in new product development, evaluate product design alternatives at the functional group or complete product level, and understand the cost implications of different tradeoff decisions. As a result, they are multiplying the impact and ROI of their cost management efforts.”
Key highlights for aPriori during FY 2013 include:
Continued strong growth in Europe – aPriori continued to add new customers across the continent in FY 2013 including Advanced Technology Valve (ATV), an Italian manufacturer of high quality flow control technology for the oil, gas and energy industry in Europe; Multitest, one of the world’s leading manufacturers of test equipment for integrated semiconductor chips; Tofas, Turkey’s largest automotive manufacturer; and Netherlands-based VMI Group, an international specialist in tire and rubber component machinery. These companies have deployed aPriori to optimize and accelerate their cost management efforts and improve their ability to identify and remove unnecessary costs at the design stage of the product lifecycle.
Major new product release – In December 2012, aPriori released aP 2012r2 expanding the solution’s capabilities, further extending its use across global manufacturing organizations and continuing the company’s mission to help manufacturers increase profits and drive product cost awareness upstream into the earliest stages of new product development. With the new release, users can evaluate the cost of entire Bills of Materials and product assemblies. It also enables manufacturers to easily leverage data hosted in other critical enterprise applications such as ERP and PLM systems, and communicate product cost information between all functional organizations involved in product definition and delivery.
Partnership with leading University Research Lab & DARPA - aPriori was selected by the Applied Research Lab at Penn State University (ARL-PSU) to support its recent contract award from the Defense Advanced Research Projects Agency (DARPA). ARL-PSU is using aPriori as an automated back-end solution for optimizing manufacturing cycle time and product costs for DARPA’s Adaptive Vehicle Make (AVM) program. The goal of AVM is to reduce the development cycle time for complex defense systems by a factor of five.
aPriori Named ‘Cool Vendor’ by Gartner – This past April, aPriori was named one of Gartner’s Cool Vendors in Product Design and Life Cycle Management for 2013. The company was recognized based on the ability of its software to predict the impact of design, manufacturing and sourcing choices on product cost earlier than previously achievable and to enable manufacturers to translate that knowledge into greater profits, innovation and faster time to market. aPriori was one of just five companies recognized in the Product Design and Life Cycle Management category by Gartner. Specifically, the report called out aPriori’s automated approach to product cost analysis vs. conventional manual approaches used by most manufacturers today. According to the report, these manufacturers miss opportunities for cost savings because they cannot conduct their manual analysis until after most of the product costs are already locked in.
MITX Award Winner – In FY 2013, aPriori was also recognized by the
MITX Innovation Awards for its ability to simplify business operations for manufacturers. The Best Business Operations Simplifier category recognizes innovative technologies that fundamentally improve how organizations tackle their most challenging internal tasks. Specifically the award called out aPriori’s ability to address a highly complex and universal problem for manufacturers that can normally only be addressed by highly trained cost experts within the organization. Its Product Cost Management software can be used by anyone in a manufacturing organization that impacts product cost. The annual MITX Innovation Awards program is the largest awards competition of its kind, celebrating the innovations powering the future of marketing and revolutionizing the way we work and play.