Annual Report 2012

Out tonight is our Annual Report to 31 March 2012.

Xero delivers offshore growth – full year results 2012

Annual Report

Some the headlines were:

• Revenue increased $9.3 to $19.3m (107%)
• Expenses increased $18m to $28.4m (58%) – as we grew staff from 113 to 194 people
• Loss increased slightly from $7.5m to $7.9m (5%)
• Customers grew from 36,000 to 78,000
• Cash grew from $16.9m to $39m following our capital raise

You can see the power of the cumulative monthly model as revenue has grown from $3m to $9m to $19m at an annualized run rate at March of 25m heading into this financial year.

We are very proud that more than half of monthly revenue is now outside of our home market and that Australia tripled revenue.

Following our capital raising we will continue our growth phase and plan to continue to invest significantly in our platform and team.  We’ll provide a full update on strategy and plans at our Annual Meeting on the 26th of July.

Our biggest challenge is continuing to hire great people. We have so much more to do so if you are interested please check out xero.com/careers

Again we’d like to thank our customers, partners and shareholders for giving us the opportunity to build a business that is making a difference. I’d also like to thank our wonderful team for the passion they bring to everything they do.

We’d welcome your questions below.