OutSystems, provider of the number one platform for low-code rapid application development, had another record-breaking quarter across every key business metric. With a 63 percent increase in annual recurring revenue for the second quarter and a recent valuation at well over $1 billion, the company is firmly establishing itself as the leader in the exploding low-code development market. It is also on track to beat all numbers from its record-breaking year in 2017.
In the second quarter, OutSystems secured a $360 million investment round to facilitate further expansion of the business. The investment, led by KKR and Goldman Sachs, further establishes the OutSystems low-code platform as the definitive development method for today’s digital transformation projects. The latest round brings the venture investment in OutSystems to $422 million.
“Companies looking to accelerate their digital transformation are turning to the OutSystems low-code platform in record numbers,” said Paulo Rosado, CEO and founder of OutSystems. “OutSystems is giving them the speed, agility, and flexibility to do things they could never do before. Backed by our recent influx of new capital, we are positioned for continued success, both in the short term and over time, as we capitalise on a major growth opportunity in the low-code application development market.”
Industry Recognition as a Market Leader
OutSystems generated a significant amount of industry recognition in the quarter, being named a market leader in three analyst reports and landing a pair of industry awards.
On the analyst side, OutSystems was named a Leader for the second consecutive year in Gartner’s Magic Quadrant for Mobile App Development Platforms and Gartner’s Magic Quadrant for Enterprise High-Productivity Application Platform as a Service (hpaPaaS) 2018. OutSystems also earned a Market Leader designation in Ovum’s 2018-2019 Ovum Decision Matrix (ODM) for enterprise mobile application development platforms (MADP).
The company won its third consecutive CODiE Award for Best Mobile Development Solution of 2018. SIIA CODiE Awards are peer-reviewed, identifying the most innovative business technology products around the world. OutSystems was also named one of the 50 Highest Rated Private Cloud Computing Companies to Work For by Battery Ventures and Glassdoor.
Additional Record-breaking Momentum
In addition to its record-breaking revenue growth and market leadership in the second quarter, OutSystems achieved significant success in other areas:
Customers: OutSystems added 96 new enterprise customers, bringing its total enterprise customer base to a record 1000+ companies. This was the highest number of new customers added in a quarter since the company was founded.
Partners: Revenue from partner-led, new customer deals grew 75 percent year over year.
Developers: 15,000 new developers began using the OutSystems platform during the quarter, and the total number of community members topped 140,000.
Employees: To meet the growing demand for its platform and to increase R&D in new advancements in software automation, OutSystems added over 100 employees globally, bringing its total workforce above 800.
Product innovation: OutSystems introduced OutSystems Sentry, which provides proactive security monitoring, built-in redundancy, and 24x7 support for OutSystems cloud-based platform-as-a-service customers. The company also launched an early access program for a groundbreaking app analytics solution, OutSystems Insights, that enables IT teams to gauge app performance and user satisfaction.
Thought leadership: In June, OutSystems released The State of Application Development, 2018 report, which distinguished the company as a top IT thought leader. Featuring detailed analysis of survey results from over 3,500 IT professionals from around the world, it demonstrated that low-code is becoming mainstream and is accelerated app dev speed.