Silverlake EBITDA up by 11%, despite lower sales

The financial sector-focused tech company had an EBITDA of MYR59.6m for the third quarter.

Malaysia-based, SGX-listed firm Silverlake Axis reported an EBITDA of MYR 59.6m for the third quarter ending in March 31.

This is 11% higher than the MYR53.4m recorded for the same period last year despite lower revenues from software licensing projects and software project services.

Recurring revenue from maintenance and enhancement services, along with Software-as-a-Service (SaaS) remained a key revenue driver for Silverlake, which provides technology, software and related services to banks in Southeast Asia. These services contributed more than 83% of the RM449.4m revenue for the third quarter.

While revenue for the quarter was 11% lower than the same quarter last year, this was offset by a 10% decline in expenses to RM133.2m.

The decrease was due to the end of unwinding of discount on the contingent consideration payable for its qcquisition of Silverlake Investment.

Expecting the pandemic to continue in the coming months, Silverlake plans to refine its strategy to focus on sales and collaborations.