OneSpan Announces Q4 and Full Year 2023 Financial Performance with Positive Outlook

OneSpan, a global leader in securing digital transactions, has unveiled its financial results for the fourth quarter and the entire year of 2023. The company witnessed a notable revenue increase in both periods, reflecting the growing demand for secure digital agreement solutions. Fourth-quarter revenue showed an impressive 11% hike, amounting to $62.9 million, while the annual revenue rose by 7%, totaling $235.1 million. The financial figures emphasize OneSpan's consistent success in expanding its market presence.

Subscription Revenue Takes the Lead

An integral contributor to OneSpan's revenue growth is its subscription services. The fourth-quarter subscription revenue climbed by 15% compared to the previous year, reaching $27.3 million. Similarly, the full-year subscription earnings increased by 19%, indicating steady growth and a shift towards a subscription-based model, amounting to $106.4 million. This strategic focus on recurring revenue is starting to pay off, promising sustainability and predictability in future earnings.

Annual Recurring Revenue Shows Strong Growth

OneSpan reported that its Annual Recurring Revenue (ARR) grew by 11% over the year, reaching $154.6 million. This metric, which is pivotal in evaluating a company's performance in the subscription economy, mirrors the high retention and expansion rates within OneSpan's existing customer base. Moreover, the company's Net Retention Rate stands at 110%, showcasing how its solutions continue to create enduring value for clients.

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