UKG reported a 20% year-on-year revenue increase of $811 million during the company’s fiscal third quarter, ending June 30, 2121. Subscription revenue grew 20% during the period, while earnings before interest, tax, depreciation and amortization (EBITDA) excluding float grew to $208 million compared to last year’s period.
“We are excited about our success this quarter and how it bodes for the opportunities ahead as we close out our first fiscal year as UKG,” said UKG President Chris Todd. He said customer retention remains high even as the company welcomes “hundreds” of new customers globally..@UKGInc reported growing revenue during the third quarter, as well as a range of new customers. #HR #HRTech Click To Tweet
Among UKG’s new customers are technology enterprises, multinational retail firms, a life-sciences supplier and a healthcare non-profit.
Focus on ‘Belonging’
The company added four board members during the quarter: Melissa Thomas-Hunt, senior advisor and former global head of diversity and belonging at Airbnb; Jennifer Morgan, head of portfolio operations at Blackstone; Pat Wadors, chief people officer at Procore Technologies; and Timothy Campos, founder and CEO at Woven.
The company also hired its first chief belonging, diversity and equity officer. In addition to leader current efforts involved in these areas, Reaves is expanding existing initiatives and working to strengthen UKG’s culture.
“We are heading into the final stretch of a very successful year, and we are on track to become one of the world’s greatest people companies,” said Chairman and CEO Aron Ain.
In June, the company acquired EverythingBenefits, which helps HCM firms, brokers and payroll businesses build connections between employers and their providers of insurance and retirement plans. The companies already had an integration in place through a technology partnership.
At the time, UKG said it would continue to sell the EverythingBenefits solution through its existing partner channel. That would create a second UKG channel offering that complements the UKG Ready Partner Network, helping the company expand into the SMB market, the company said.