About Infor (us), Inc.
Infor Global Solutions outfits companies in a wide range of industries with a wide range of software applications. The company's accounting, finance, and manufacturing software automates processes and connects disparate functions across an organization. Customers use Infor's software (which is increasingly cloud-based) for managing inventories, tracking shipments, managing customer interactions, and more. Infor supplies such industries as automotive, chemicals, consumer packaged goods, food processing, retail, and pharmaceuticals. Clients have included Bristol-Myers Squibb, Cargill, Grohe, Heinz, Whole Foods Market, and TRW. Infor is controlled by a group of investors led by Golden Gate Capital, Summit Partners, and Koch Industries.
Infor offers a range of software and services that bring together the different parts of a customer's business. Product updates and support fees supply about 50% of revenue, followed by software licenses and subscriptions, 25%, Software-as-a-Service subscriptions, 15%, and software license fees, about 10%.
The company rolls up many of its products into its CloudSuite product. It includes Infor ION middleware, Infor Ming.le (social collaboration), Infor Analytics, and the Infor Mongoose development platform.
Infor's core enterprise management products include Infor LN, Infor M3, Infor Lawson, Infor SyteLine, and Infor SunSystems. It also offers applications for corporate human resource and travel and expense functions which include Infor EAM, Infor Expense Management, Infor HR Service Delivery (Enwisen), and Infor PeopleAnswers Talent Science.
The GT Nexus supply chain network platform connects companies with suppliers, distributors, and third-party logistics firm in a commerce cloud.
The company also provides maintenance and support services as well as consulting.
Infor generates more than 60% of its revenue from the Americas, about 30% from the Europe, Middle East, and Africa region with the rest from the Asia/Pacific region. Altogether, it has operations in about 50 countries and offers its products in some 40 languages. Infor conducts research at its Infor Dynamic Science Labs in Cambridge, Massachusetts.
Sales and Marketing
Infor works through a direct sales force and about 1,900 systems integrators and resellers to market and sell to large organizations. The company also has a telesales group that focuses on sales to smaller customers and smaller deals within larger customer accounts. Infor's key vertical markets are manufacturing, distribution, healthcare, public sector, automotive, service industries, equipment services, management and rental, consumer products and retail, and hospitality.
Infor reported revenue of about $2.9 billion in 2017 (ended April), an 8% increase from $2.7 billion in 2016. After a sales dip in 2015, the company has posted two years of rising sales.
The company's turn to the cloud picked up pace in 2017 with revenue from Software-as-a-Service (SaaS) subscriptions rising more than 60% (but they account for just 14% of revenue). As SaaS revenue rose, revenue from the company's perpetual software license fees dropped about 7% for the year. Sales from product updates and support fees, which produce nearly 50% of revenue, were flat in 2017 while revenue from consulting services and fees rose about 12%.
Infor lost about $187 million in 2017, down from a profit of about $33 million in 2016. The company increased spending in most areas in 2017, including research and development and sales and marketing. The biggest jump was in costs related to acquisitions, which rose to about $215 million in 2017 from about $17 million in 2016. It also had about $40 million in restructuring costs.
Cash from operating activities was about $138 million in 2017 compared to more than $430 million in 2016.
Infor's shift to the cloud is in full swing as it aims to match its enterprise software rivals Oracle and SAP in developing software applications deployed from cloud environments.
Infor claims some 7,300 cloud customers with Software-as-a-Service subscriptions accounting for more than half of new software license fees and subscriptions revenue. It has made investments in products to satisfy specific needs of customers in targeted vertical industries. Its Infor Xi platform, which includes responsive design with machine-learning and big data analytics capabilities, has been rolled out across its growth products. The company runs its cloud-based software on Amazon Web Services.
In 2016 Infor got a $2.5 billion investment from Koch Industries, which also became a customer. Infor works with Koch to install its software across Koch's range of businesses and uses the experience to improve its software. Koch, which has about $115 billion in annual revenue, also provides financial resources in Infor's battle against its bigger rivals. Georgia-Pacific, a Koch Industries company, is an Infor customer and helped ignite the investment process.
Infor spent about $80 million in 2016 and 2017 on restructuring efforts to streamline operations and eliminate overlap from acquired companies. The reorganizations included work force reductions and facility consolidations and closings.
Mergers and Acquisitions
To expand and strengthen its cloud offerings, Infor made several acquisitions in its 2017 fiscal year (ended April). The most significant might be Birst Inc., a developer of cloud business intelligence, analytics, and data visualization tools. Incorporating Birst's technologies into Infor products should bolster Infor's offerings against those of Oracle and SAP.
Other acquisitions included assets of Ciber Inc., a provider of human resources consulting services; Accentia Middle East, a consulting services company with customers in the Middle East, North Africa, and India; Starmount Inc., a developer of mobile-first retail applications; and LogicBlox-Predictix Holdings Inc., a provider of cloud-based, predictive, and machine-learning tools for retailers.
In 2015 Infor acquired more than 80% of GT Nexus, a cloud-based supply chain management vendor. The acquisition complemented and expanded Infor's supply chain management portfolio.
13560 Morris Rd Ste 4100
Alpharetta, GA 30004-8995
Phone: 1 (678) 319-8000
Employer Type: Privately Owned
President: Duncan B. Angove
CEO and Director: Charles E. Phillips
Chairman: C. James Schaper
Employees (This Location): 257
Employees (All Locations): 3,980
Lake Forest, CA
Rancho Cordova, CA
San Francisco, CA
Boca Raton, FL
Grand Rapids, MI
Saint Paul, MN
New York, NY
East Greenwich, RI