STP sends Reckon cloud users skywards

Accounting solutions provider Reckon has reported $39.2m in revenue for the first six months of 2019, seeing a significant increase in cloud adoption following the ATO’s Single Touch Payroll (STP) digital reporting requirement.

Launched in late May 2019, 19,000 users have adopted Reckon’s new payroll app to ensure compliance with STP. The introduction of the STP requirement led to a 21% increase in Reckon’s cloud users, with the number of new signups for the first half of 2019 more than double that of signups in the second half of 2018. As a result, more than 46% of Reckon’s revenue is now generated through cloud services.

“There is no doubt that our introduction of a feature-rich and affordable STP solution has been well timed, given the government’s implementation of the new reporting requirement,” said Reckon CEO Sam Allert.

“Offering customers a free and simple solution to STP compliance has demonstrated Reckon’s genuine commitment to helping people do better business and reducing the cost of compliance,” he said.

“We are excited by our future growth opportunities. Our new payroll app launched on mobile in the first half of this year, to great success. Our subscription model and focus on cloud in 2019 has also put us in a solid position, reinforcing our ability to deliver solutions to SMB customers as well as the top accounting and legal firms in the world.

“We have experienced an exciting six months and, with a clear strategy in place, are continuing solid execution across the group. With rapid advancements in our industry and an explosion of cloud technology, we have remained competitive with the development of new products to support our customers. Our strategy is proving effective as we respond to growing customer demands for smarter services.”

Image credit: ©stock.adobe.com/au/Kalawin