Irish-American software firm Intercom is planning on making an initial public offering (IPO) “sooner rather than later” – and has moved into profitability for the first time, its chief executive officer has said.
Speaking to the Irish Independent, CEO Karen Peacock also said that the company’s valuation is now higher than the €1bn level at its last funding round.
“Our accelerating growth makes it sooner rather than later,” she said of an IPO, without specifying a timeline.
"The growth we’re seeing is setting us up toward being ready to be a successful public company, and that is on the horizon for us.”
Intercom’s last set of published accounts in Ireland showed a loss of €23m for the year to January 2020. However, it has undergone a series of bumper quarters, Ms Peacock said.
“I can tell you that we’re profitable now,” she said. “And that’s part of why we’re driving so much reinvestment into the business, and why we’re doing so much hiring. Our market and sales lead business is up more than 60pc year on year.”
Ms Peacock said that an IPO was a preferable future path to remaining private and seeking more funding – even though venture markets are awash with cheap capital at present.
“We’re in a place where we’re driving significant revenue growth and we don’t need more cash,” she said. “We’re a very efficient company and we’re doubling down. So we don’t need to take on the additional dilution of raising more money. Instead, we’re funding our own growth.”
Intercom, which designs and sells online customer communication systems, became one of Ireland’s only home-grown ‘unicorn’ companies in 2018 with a value of €1bn when it attracted a €125m funding round.
“We have significantly grown by multiple times of our revenue since then. So you can assume that our valuation has increased,” said Ms Peacock.
Intercom, which employs 700 people in Ireland, Australia, the United States and the UK, is currently on a hiring spree, with plans to “aggressively” add to the 300 it currently employs in Dublin.