Sees revenue grow by 37 percent as customers sign multi-year agreements to manage transportation through online portal
Minneapolis — March 29, 2006 — Collaborative logistics network Nistevo Corporation is touting its results for the 2005 fiscal year, pointing to increased revenues, new customer wins and growth in new market verticals over the past year.
The Collaborative Logistics Network that Nistevo operates offers an "on-demand" transportation management solution that enables manufacturers, retailers, distributors, logistics service providers and carriers to view, plan, execute, settle and report on their shipments.
New customer contracts drove the company's annual revenue up by more than 37 percent in 2005 over the previous fiscal year. At the same time earnings before interest, taxes, depreciation and amortization (EBITDA) grew by more than 30 percent. The company said its earnings growth will be used to drive additional research and development and to invest in corporate and business development.
Investing in Innovation
Nistevo said its revenue growth has exceeded 35 percent for each of the past three years. The company enjoyed significant backlog growth as customers continue to sign multi-year agreements, many of which extend beyond 2010. The growing backlog provides revenue and earnings visibility given the company's ability to scale revenue faster than expenses.
"We are generally happy with our financial performance", said Kevin Lynch, president and CEO of the company. "We will re-invest earnings in two areas: R&D to drive innovation; and business development efforts to further expand market share."
The company believes its innovation strategy produced 2005 market share dividends. The company experienced growth with both small and midsize business (SMBs, with customer revenues between $100 million and $500 million) and enterprise clients (customer revenues between $500 million and $10 billion). In addition, the company entered two new vertical markets in 2005, discrete manufacturing and chemical, pointing to further market adoption.
Customers Going Live in '06
The company also added new functionality to its on-demand solution, including additional optimization support through nesting, a capacity center, a customer portal with the ability to brand for each customer, among other upgrades.
New customers joining the Nistevo network in 2006 have included, to date, Sargento in the dairy sector; Schenker, a third-party logistics (3PL) provider; three other midsize 3PLs; and a large apparel retailer and consumer packaged goods (CPG) organization.
Customers that have gone live with the solution in 2006 include Bar-S Foods, which contracted with Nistevo in November 2005; an additional division of Coleman Foods; Monsanto, with the Moving Inventory Module and transportation management solution (TMS); Pacific Seafood, which contracted with Nistevo in September 2005; Menards, for international and domestic vendor connectivity; and Swift Foods, with a customer portal serving 75 customers.
Nistevo will be hosting its annual community meeting on May 22-24 in Las Vegas.
Additional Articles of Interest
— Consumers spent nearly $28 billion on the "Black Friday" after Thanksgiving 2005, up 21.9 percent over 2004's results. Great news for retailers, but a potential nightmare for supply chain executives trying to get the right product on the right shelf at the right time. The lesson: Now is the time to plan for the next peak shipping season. Read more in the "Seasons' Peakings," the Executive Memo column in the December 2005/January 2006 issue of Supply & Demand Chain Executive.
— A logistics team is called upon to craft supply chain processes that update logistics and inventory management at the growing retail chain Michaels Stores Inc. Read more in "The Art of Supply Chain Optimization," a Best Practices article in the October/November 2005 issue of Supply and Demand Chain Executive.
Minneapolis — March 29, 2006 — Collaborative logistics network Nistevo Corporation is touting its results for the 2005 fiscal year, pointing to increased revenues, new customer wins and growth in new market verticals over the past year.
The Collaborative Logistics Network that Nistevo operates offers an "on-demand" transportation management solution that enables manufacturers, retailers, distributors, logistics service providers and carriers to view, plan, execute, settle and report on their shipments.
New customer contracts drove the company's annual revenue up by more than 37 percent in 2005 over the previous fiscal year. At the same time earnings before interest, taxes, depreciation and amortization (EBITDA) grew by more than 30 percent. The company said its earnings growth will be used to drive additional research and development and to invest in corporate and business development.
Investing in Innovation
Nistevo said its revenue growth has exceeded 35 percent for each of the past three years. The company enjoyed significant backlog growth as customers continue to sign multi-year agreements, many of which extend beyond 2010. The growing backlog provides revenue and earnings visibility given the company's ability to scale revenue faster than expenses.
"We are generally happy with our financial performance", said Kevin Lynch, president and CEO of the company. "We will re-invest earnings in two areas: R&D to drive innovation; and business development efforts to further expand market share."
The company believes its innovation strategy produced 2005 market share dividends. The company experienced growth with both small and midsize business (SMBs, with customer revenues between $100 million and $500 million) and enterprise clients (customer revenues between $500 million and $10 billion). In addition, the company entered two new vertical markets in 2005, discrete manufacturing and chemical, pointing to further market adoption.
Customers Going Live in '06
The company also added new functionality to its on-demand solution, including additional optimization support through nesting, a capacity center, a customer portal with the ability to brand for each customer, among other upgrades.
New customers joining the Nistevo network in 2006 have included, to date, Sargento in the dairy sector; Schenker, a third-party logistics (3PL) provider; three other midsize 3PLs; and a large apparel retailer and consumer packaged goods (CPG) organization.
Customers that have gone live with the solution in 2006 include Bar-S Foods, which contracted with Nistevo in November 2005; an additional division of Coleman Foods; Monsanto, with the Moving Inventory Module and transportation management solution (TMS); Pacific Seafood, which contracted with Nistevo in September 2005; Menards, for international and domestic vendor connectivity; and Swift Foods, with a customer portal serving 75 customers.
Nistevo will be hosting its annual community meeting on May 22-24 in Las Vegas.
Additional Articles of Interest
— Consumers spent nearly $28 billion on the "Black Friday" after Thanksgiving 2005, up 21.9 percent over 2004's results. Great news for retailers, but a potential nightmare for supply chain executives trying to get the right product on the right shelf at the right time. The lesson: Now is the time to plan for the next peak shipping season. Read more in the "Seasons' Peakings," the Executive Memo column in the December 2005/January 2006 issue of Supply & Demand Chain Executive.
— A logistics team is called upon to craft supply chain processes that update logistics and inventory management at the growing retail chain Michaels Stores Inc. Read more in "The Art of Supply Chain Optimization," a Best Practices article in the October/November 2005 issue of Supply and Demand Chain Executive.
- More articles about Nistevo.
