20230821 Half Year Financial Report - Kansi 002

Digital Workforce Services Plc’s Half Year Financial report, January 1 – June 30, 2023: Profitability improved by 14 percentage points and net income turned positive, revenue increased

Digital Workforce Services Plc’s Half Year Financial report, January 1 – June 30, 2023: Profitability improved by 14 percentage points and net income turned positive, revenue increased

23.8.2023 09:00:00 EEST | Digital Workforce Services Oyj | Company Announcement

Digital Workforce Services Plc

Company announcement 23 August 2023 at 9.00 EET

Half Year Financial report, January 1 – June 30, 2023 (unaudited)

Unless otherwise stated, the comparison figures provided in parentheses refer to the corresponding period of the previous year.


Digital Workforce Service’s revenue for the first half of the year from 1 January to 30 June 2023 was EUR 12.6 (12.0) million. Revenue increased by EUR 0.6 million or 5.2% compared to last year. EBITDA was EUR 0.1 (-1.6) million and adjusted EBITDA was EUR 0.3 (-1.3) million.

At the end of the reporting period, cash and bank receivables and other liquid assets were at EUR 14.3 (15.9) million.

The number of employees at the end of the reporting period was 179 (196) and the average number of employees was 189 (188).

January-June 2023:

  • The revenue was EUR 12.6 (12.0) million, which was an increase of 5.2%.
  • EBITDA was EUR 0.1 (-1.6) million and adjusted EBITDA was EUR 0.3 (-1.3) million.
  • Operating profit was EUR 0.0 (-1.7) million.
  • Revenue from Continuous Services was EUR 7.6 (7.1) million, which was an increase of 6.6%. The proportion of total revenue rose to 60.5% (59.7%).
  • Revenue from Professional Services was EUR 5.0 (4.8) million, which was an increase of 3.2%. The proportion of total revenue was 39.5% (40.3%).
  • Earnings per share (EPS) amounted to EUR 0.02 (-0.17).
  • On February 15, 2023 the company announced delivering professional business process automation services and staff augmentation to one of the most prestigious healthcare systems in the US.
  • On March 2, 2023 Digital Workforce Services received an order for Professional Services of approximately EUR 2.2 million for year 2023 from a major utility company in the United States.
  • Jussi Vasama joined the company as CEO on March 27, 2023.
  • On March 28, 2023 Digital Workforce received the prestigious ISO 27001 certification for its information security management. The certification is awarded to companies that demonstrate a high level of commitment to protecting their information assets and implementing effective security controls.
  • On May 25, 2023 the company announced a partnership with one of the leading NHS Foundation Trusts to Improve Patient Experience with End-to-End Process Automation. Using Digital Workforce’s innovative Outsmart PASS solution, the client can speed up the registration process, inform nurses immediately about high-priority patients, and centrally monitor, orchestrate, and control the registration lifecycle.
  • Digital Workforce has won the prestigious ‘Improving back-office efficiencies through digital’ HSJ Digital Award for their revolutionary Intelligent Automation Transformation Programme in Maternity in England on June 22, 2023. The HSJ Digital Awards recognize outstanding contributions towards healthcare services in England, and winning this national award demonstrates the exceptional drive of the team to innovate, build impactful solutions, and take on an instrumental role in transforming healthcare delivery.

Outlook for 2023
The company keeps the guidance unchanged. Digital Workforce’s full-year 2023 revenue is expected to be higher than in 2022 and profitability is expected to be positive on an adjusted EBITDA basis.

Key figures   

Capital expenditure
EUR 1,0001-6/20231-6/2022Change %1-12/2022
Revenue12 59011 9675.20 %25 470
Revenue from Continuous Services7 6157 1476.55 %14 992
Revenue from Professional Services4 9764 8213.21 %10 478
Sales margin4 3214 2232.09 %9 294
% of Revenue34.2 %35.3 %36.5 %
EBITDA140-1 606-108.72 %-1 785
% of Revenue1.1 %-13.4 %-7.0 %
Adjusted EBITDA*308-1 342-122.95 %-874
% of Revenue2.4 %-11.2 %-3.4 %
EBIT37-1 722-102.13 %-2 608
% of Revenue0.3 %-14.4 %-10,2 %
Net income188-1 883-110.00%-3 009
Earnings per share, EUR0.02-0.17-0.27
Capital expenditure-529-4-1 166
Operating cash flow-2 595-3 527-2 043
Net debt-13 308-14 600-15 624
Gearing ratio %-85.3 %-88.7 %-101.2 %
Equity ratio %74.8 %71.5 %64.1 %
Number of employees at the end of reporting period179196190
Average number of employees189188193
* The EBITDA adjustment for 1-6/2023 is formed by costs related to restructuring. For 2022 the adjustments were formed by IT system projects, restructuring and write-offs.

* Advances received that were previously reported under accruals and deferred income have been reclassified to correct category of accounts, with the comparative equity ratio figures for 2022 corrected accordingly. As a result, the Equity ratio % has improved compared to previously reported.



CEO Jussi Vasama:

“I am pleased with the progress the company has made in implementing its strategy for profitable growth. The efficiency measures initiated last year and continued during the first half of the year combined with revenue growth in Continuous Services resulted in a significant improvement in EBITDA compared to the comparison period. Our adjusted EBITDA was EUR 0.3 million in the reporting period, compared to a negative EBITDA of EUR -1.3 million in the comparative period. Adjusted EBITDA improved by 14 percentage points. Our revenue grew by 5% in the first half of the year. We were very successful in growing our business in our growth markets in the US and the UK, which are at the heart of our strategy, and in the healthcare segment. In the Finnish market, we saw a slowdown in demand for public sector operators after a very buoyant end to 2022. In the Swedish market, demand slowed down, and realisations were also weighed down by the marked depreciation of the Swedish krona.

Customer demand for our healthcare services strengthened especially in the U.S. and the UK, where significant new contracts were signed. Supported by these, both our Continuous Services and Professional Services grew compared to the comparative period.

As a company, we have made good progress in our transformation journey towards becoming a holistic automation house that delivers real, measurable business benefits to customers. In 2022, we launched Outsmart PASS, a solution offering developed by the company for managing and implementing end-to-end automation for our customers. Through Outsmart projects that leverage a range of expert services and technologies, customers have achieved the significant benefits identified in the projects, including significant increases in overall process automation rates and cost savings through automation of dozens of person-years.  For example, the transformation of our customers’ end-customer service chains has resulted in 80% faster access to care in healthcare clinical processes. We have delivered unique, leading automation technology solutions for which we see great potential internationally in the years ahead.

The company changed its organisational structure at the beginning of June. The aim was to create a structure and refine governance models to support strategic objectives. At the same time, the company chose financial services as a new strategic focus area, alongside healthcare.  Digital Workforce has a strong foothold in the Nordic banking and insurance customer base in software robotics and other automation technologies. The Outsmart offering brings a service layer on top of a customer’s existing information systems, through which a holistic core business processes across different systems and functions can be orchestrated, monitored and developed. Our solution also offers this industry new opportunities to leverage both existing and new automation technologies and to flexibly integrate human tasks into fully automated workflows.

We have been using Artificial Intelligence (AI) for years, not only as part of our customer implementations, but also to develop and improve the efficiency of our own services. Generative AI brings new possibilities to both, and we are actively exploring with our clients the opportunities it creates in demanding customer environments, considering their operational requirements. We work with large global enterprises in industries such as healthcare, financial services, and manufacturing, where data security, operational transparency and regulatory compliance are of paramount importance. In March 2023, we were awarded ISO 27001 certification, demonstrating our long-term commitment to information security at all levels of the company. The importance of information security will become even more prominent as digitalisation progresses. ISO 27001 certification demonstrates our ability to deliver innovative cloud-based business process automation solutions while meeting our customers’ highest security and compliance requirements.

Digital Workforce continues to be a lucrative employer. The company will continue to execute targeted, growth-oriented recruitment and will continue to focus on retaining existing staff. The company’s founders and all personnel have created a cohesive and open culture on which the next phase of our company can be built readily.

I see the company well positioned to seize the opportunities that will be opened in the market as well as to meet the general economic uncertainty that may persist in certain markets. Our services can deliver tangible business benefits to customers quickly and efficiently in a context where they are looking for greater efficiency and scalability. The recurring revenue from the Continuous Services we provide to our clients represents more than 60% of our revenue, providing business continuity in the face of short-term fluctuations in demand. Our cash position remains strong and this, combined with our profitable growth strategy, they will allow us to make additional investments, as the case may be, to accelerate the execution of the company strategy through possible acquisitions.”

This is a summary of Digital Workforce Services Plc’s Half Year Financial Report 2023. The complete report is attached to this release and available at: https://digitalworkforce.com/investors/releases/

Helsinki August 22, 2023

Digital Workforce Services Plc
Board of Directors


For further information, please contact:

Jussi Vasama, Tel. +358 50 3809 893

Certified advisor

Danske Bank, Tel. +358 40 841 3052

About Digital Workforce Services Oyj

About Digital Workforce Services Plc

Digital Workforce Services Plc is a leading business process automation services and technology solution provider globally. Digital Workforce Outsmart services and technology solution suite allow organizations to save costs, accelerate digitalization, increase revenue, improve customer experience and gain competitive advantage. Globally, over 200 large customers use Digital Workforce’s services and technologies to transform their businesses with automation. Founded in 2015, Digital Workforce currently employs over 200 business automation specialists in the US, the UK, Ireland, Poland, Germany, Finland, Sweden, Norway, and Denmark. Digital Workforce is publicly listed in Nasdaq First North Growth Market Finland.