AWS cloud drives Bulletproof revenue up 29 percent

Cloud service provider Bulletproof has reported AU$18.3 million in revenue for the 2014 financial year thanks to the increasing demand by customers for managed Amazon Web Services.

Given that Bulletproof is the sole premier consulting partner with leading public cloud player Amazon Web Services (AWS) in Australia and New Zealand, the company says the partnership has helped achieve strong growth during the 2014 financial year.

The cloud service provider reported that it achieved a revenue growth to AU$18.3 million, a 29 percent increase on 2013, as well as a 31 percent uplift in underlying EBITDA to AU$2.9 million from last year's reported AU$2.2 million.

Bulletproof CEO Anthony Woodward told ZDNet he attributed a large part of the growth to the significant increase in external cloud-based revenues.

"In FY13 managed AWS accounted for less than 1 percent of recurring revenue, and in this year it was over 17 percent, so it's grown very quickly," he said.

"This has matched up with the strong demand we're seeing in the market from all different types of customers, where it's not specialised to one particular area of the market; most businesses are now looking at cloud."

He said the demand has been driven by enterprise customers that continue to find public cloud options very attractive because of the benefits of agility and time to market.

"The underlying component is the sheer benefits of moving to cloud. The conversation is really around agility and businesses need to be more agile to be able to respond to market demands, they need to respond to their competitors, and using the cloud is one of the things in their toolset.

"But the flipside to that is cloud is a very complex area and they really need a partner to help them with the process, and that's why they look for a trusted like a managed service provider like Bulletproof," Woodward said.

Woodward continued saying a lot of the demand to move to cloud is coming from digital, marketing, and online departments of businesses, as they are areas that need to move quickly to take advantage of opportunities.

Meanwhile, the company is also having more conversations with enterprise customers around moving more complex back-office workloads to the cloud.

"That's the forward opportunity we see, where customers are getting the experience with the 'low hanging fruit', which are those digital assets that they have moved into the cloud, and then coming back and looking at what else could go over to the cloud," Woodward said.

During FY14, Bulletproof secured cloud contracts with companies including Mazda, Olympus Australia, Moshtix, Bauer Media, and Racing Victoria. This helped recurring revenue remain strong, contributing 85 percent of total revenues for the 2014 financial year.

This was in addition to relaunching its partner program with tier 1 partners back in July, including Vivid Group, IE Media, and Isobar.

The company also focused on the ongoing development of its managed 'as-a-service' offerings, which Woodward explained was about trying to "productise" the skills and expertise it had around the digital platform.

During the year, Bulletproof further implemented its 24-hour support strategy, which enables the company to deliver support from business hours at different global time zones. Recent hires in South Africa and planned hires in the US to target the digital agency market are expected to round the strategy.

The recent opening of the company's Melbourne office, added five additional staff, taking total staff numbers to 60 for the whole organisation.

Looking forward, Woodward said Bulletproof is aiming at 20 percent year-on-year growth rate of the cloud service space.

"We just want to seize that opportunity and grow at that rate or better, and be a relatively dominant player in the cloud services space. Our underlying vision is to make the cloud work for business so they don't have to worry about the latest thing and find a trusted partner."