Knosys (ASX:KNO) - Connecting People and Information, June 2021

Interviews

by Michael Luu

Knosys Limited (ASX:KNO) Managing Director John Thompson discusses the company's growth strategy, outlook and its product suite for supporting employee communication and collaboration.

Michael Luu: Hello. This is Michael Luu for the Finance News Network. Joining me from Knosys (ASX:KNO) is the company's Managing Director, John Thompson. John, welcome to FNN.

John Thompson: Thanks, Michael. It's nice to be with you.

Michael Luu: First off, John, can you give those who are new to the company a quick crash course on what the company does?

John Thompson: Knosys is a global software as a service technology provider, company with offices in Australia, US, India, and the UK, providing knowledge management and employee experience solutions. And we have approximately 260 clients across banking, health, telecommunications, retail and financial services.

Michael Luu: Thanks, John. Now, can you talk us through your products family?

John Thompson: We have an employee experience platform under the GreenOrbit brand which is all about empowering employees in a digital workspace by providing the employee with the best tools to communicate, collaborate and engage through an intelligent cloud-based intranet. It provides instant messaging, corporate directory, it supports employee social network through forums and through chat and sharing information, and most importantly, from a HR point of view, it also enables them, particularly in a retail space, to access shifts, rosters, request time off and ask for additional training as they require.

We also have a knowledge management product, KnowledgeIQ, which is an intuitive platform to support contact centres, frontline offices and customer service operations. It enables employees and customers to save time by finding answers really quickly without having to read lots of material, lots of documents. It also, from a regulatory point of view, helps a business ensure consistent and accurate information is sent through its digital channels. And, more importantly, it also helps the organisation retain the knowledge within the business in terms of best practices. A good example of a use cases is… I'll start with a contact centre as an example. It assists the agent in faster onboarding, particularly if they're new to the organisation. We have a customer who dropped from three months onboarding to six weeks.

Michael Luu: Tremendous. What are the key trends driving demand for these products?

John Thompson: So, organisations are now really looking for cloud-based solutions because they want to be able to connect easily, which provides flexibility in operations, particularly if they're working in a remote mode, which a lot of organisations are doing at present. In the enterprise space, in the highly regulated organisations, we've seen a greater need for consistency and compliance across all of their customer channels. If someone calls their contact centre, comes through their website, interacts with a chat bot, they need to have the same information, the same advice always provided irrespective of what channel.

Michael Luu: And, John, what is the growth strategy?

John Thompson: We've been operating on a four-pillar growth strategy for the last couple of years. The first, obviously the most important, is new customer acquisition and expansion into our key markets. So, particularly over the past 12 months, we've been investing in sales and marketing really to accelerate our pipeline growth in particular in North America and in Asia Pacific. So, they're the two main geographic markets that we focus upon. We're also focusing on expansion and upselling to our existing customer base in terms of additional licences, additional users, additional capabilities. And we've also been investing in the expansion of the solutions themselves by adding features and capabilities which broaden the adoption to open up a wider audience. And then the fourth pillar is the one that we've been focusing upon for the last 12 months as well, is accelerating growth through aligned acquisitions.

Michael Luu: Now, lastly, before we let you go, could you talk us through the outlook for the company from here?

John Thompson: A few months ago, we gave guidance on our income for FY21 to be in the range of between $5 million and $5.3 million. But, more importantly, we also advise market that our current annualised revenue run rate is sitting around $5.8 million. And we expect this to continue to increase over time through our continued investment in sales and marketing as we drive new customer acquisitions in FY22. We currently estimate that we're operating in a global market with over $20 billion, so we have plenty of room for growth from here on out, particularly as we focus upon Asia Pacific and the US as we go forward.

Michael Luu: John Thompson, thanks for the insights. We look forward to touching base with you in the future for further updates.

John Thompson: Thank you.


Ends