From the CEO

From the CEO

The first year of the strategy period 2021-2023 was eventful for Admicom. As in the previous year, 2021 was marked with the uncertainty created by the coronavirus pandemic in the operating environment, which we were however more prepared to respond to as a result of the development of the organisation and operating models. Also, the adaptation to and development of the industryspecific organisational model resulting from the strategy work continued, we launched new product solutions and services for the market, prepared for the introduction of a remuneration system and performance metrics for all personnel, carried out a comprehensive analysis of acquisition and investment opportunities, and finalised three acquisitions in the second half of the year. I would like to thank Admicom Group’s personnel, customers and partners for the year 2021. Together, we enabled successful business development and growth despite challenging conditions.

Although our operating environment was challenging in many respects in 2021, we continued to grow profitably during the review period and made investments in the continuous development of products, services and operations. The growth of our new sales was slowed down especially by the coronavirus pandemic, which is causing
uncertainty in our customer base, complicating face-toface sales work and slowing down the onboarding of new sales personnel. We still have to spend significantly more
time and resources to every new contract than before the coronavirus pandemic. In the second half of the year, however, there have been signs of improving business
conditions in our customer industries and an easing of corona related uncertainty, but it will take time for this to begin to show in new sales and revenue growth.

Tocoman’s new cloud-based cost accounting version was launched in March 2021. The product was well received in the customer base and enables even wider development opportunities for our product portfolio and new product innovations. During the review period, we recruited new experts to various parts of the Group to prepare for personnel changes, strengthening growth and developing our organisation. We will continue to invest in growth and competitiveness also in the coming years.

Several mergers and acquisitions took place in our industry during 2021, and Admicom also actively analysed acquisition opportunities to strengthen growth and competitiveness during the year, inline with the objectives of the strategy period. During 2021, we carried out a total of three acquisitions, the acquisition of the majority of the share capital of Aitio Finland Oy in Jyväskylä, which specialises in software development, the acquisition of the entire share capital of Hillava Oy, a software company belonging to the same group of companies, and the acquisition of the business operations of Lakeus accounting firm in Seinäjoki. Aitio Finland’s and Hillava’s personnel’ expertise in software products, building technology and construction, as well as technology, is a great complement to Admicom’s and Tocoman’s expertise, and together we can take the development of our software solutions forward more quickly, utilise the growth investment opportunities we have identified and improve the customer experience. Lakeus’s business supports Admicom’s core business’ growth opportunities, expands the Group’s network of offices and outlets to new cities, and strengthens the resources of accounting services. Work to implement M&A that support growth, competitiveness and forerunner position, expand the partner network and grow the ecosystem will continue in the coming years.

The accelerating digitalisation development of our industries and the transition to modern cloud-based software solutions offer Admicom significant growth opportunities in the long term. I believe that with the development work, investments and growth efforts made in 2021, we will be more prepared to take advantage of these opportunities in 2022.

Petri Aho
CEO (interim)
CFO