Avaya Resurgence Continues with First Revenue Growth in a Decade

Tom Wright

Sales climb to just under $3bn

Avaya
Avaya Resurgence Continues with First Revenue Growth in a Decade

Avaya’s cloud-driven resurgence has continued with the vendor reporting its first year of revenue growth in over a decade.

Sales for the year ending 30 September hit $2.97bn, up 3.5 percent on the previous 12 months. OneCloud annualised recurring revenue rocketed 177 percent year on year to $530m.

Jim Chirico, CEO at Avaya, said the year is a significant one in Avaya’s journey towards becoming a cloud-first company.

“Avaya’s fiscal 2021 was a landmark year for the company,” he said.

“What our team accomplished represents a pivotal point in our history and a defining moment for the company, and it will play a central role in our success story of Avaya as we move forward”

“If you take a step back and put this past year into context, it is a year marked by many firsts.

“The outstanding results we delivered exceeded expectations on almost every front. These results not only reflect how far we’ve come but, importantly, reinforce the speed at which we are delivering on our value creation strategy: grow the company through a cloud and SaaS business model, and remain highly profitable.”

Avaya continued its growth in the enterprise space in Q4 year, signing over 100 deals with a total contract value of $1m – including eighteen over $5m and seven over $10m. The firm brought in 1,600 new customers in the quarter.

Chirico said that Avaya has developed its CCaaS offering over the last few quarters – with its offering now available in 49 countries and on course to be available in 100 countries by the end of the current financial year.

The vendor is also building out its channel ecosystem for CCaaS, through 160 resellers in North America and 11 master agents globally.

The CEO said that RingCentral is expecting to drive adoption of its cloud offerings by integrating its CCaaS offering with Avaya Cloud Office, with a particular focus on taking the combined solution into the SMB and mid-market.

Avaya’s share price rocketed by as much as a quarter after it announced the results.

 

 


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