TeamViewer posts Q4 beat in revenue

German software developer TeamViewer (TMV.DE) reported higher-than-expected fourth-quarter revenue on Wednesday, helped by partnerships with tech companies such as Siemens (SIEGn.DE).

Analysts at JP Morgan note that overall results look solid “in the context of concerns around the Q4 delivery and the 2024 guidance.”

Shares were up 9 per cent by 0810 GMT, on track for their best day since February 2023.

Quarterly revenue rose 8 per cent from a year earlier to 163 million euros ($175.16 million), slightly above analysts’ forecast of 160 million euros, according to LSEG data.

On a yearly basis, the German software developer reported slightly higher than expected preliminary revenue, which rose 11 per cent to 626.7 million euros, above a company-provided consensus of 623.1 million euros, thanks to favourable currency effects.

The region driving the revenue earnings in the full year was EMEA, while APAC saw the smallest percentage increase.

During a media call, CEO Oliver Steil pointed to Asian currencies as a challenge in this market for companies in the euro and dollar area.

“China is no longer such a strong growth driver in the region. This does not directly affect our business in China, but rather the demand trends in the entire region,” he added.

“Despite a challenging macro environment and currency headwinds, we delivered strong 2023 results,” said CFO Michael Wilkens in a statement.

TeamViewer’s shares have declined since the end of the COVID-related restrictions, during which companies had used its remote maintenance software to connect the computers of employees and customers working from home.

The developer of the homonymous software expects 2024 revenue within a range of 660 to 685 million euros, seeing savings from the interruption of Manchester United (MANU.N) shirt sponsorship to positively affect margins in the second half of the year.

($1 = 0.9306 euros)