As a leading enterprise in the field of human resources software as a service (HR SaaS) in China, Beisen Holdings has recently attracted much attention from the market. The company currently has a market capitalization of HK$2.9 billion, an annual recurring revenue (ARR) of over RMB700 million, and cash reserves of HK$1.8 billion. These data fully demonstrate the strong strength and good financial position of Beisen Holdings.
First of all, Beisen Holdings is the HCM SaaS company with the largest market share in China. According to the latest data from the International Data Corporation (IDC), Beisen accounted for 15 percent of the HCM SaaS market in the first half of 20231% share, and this number continues to grow. The company has more than 5,300 customers and has always adhered to a public cloud subscription model. To its credit, the company's money retention rate is as high as 104%, which shows that customers have extremely high loyalty to Beisen's products and services.
Beisen Holdings has not only performed well in core human module products, but also made remarkable achievements in the field of integrated HCM software. In fiscal year 2023, the company achieved 7The revenue was 5.1 billion yuan, of which the non-revenue from cloud subscription services accounted for 72%, and the annual recurring revenue (ARR) was close to 700 million yuan. This achievement fully reflects Beisen's leading position and strong market competitiveness in the field of HR SaaS.
China's human resource management software-as-a-service (HCM SaaS) market is in a phase of rapid growth. In 2021, the domestic HCM market size was about 18.9 billion yuan, of which the cloud HCM solution market size was 5.5 billion yuan, accounting for about 29% of the overall market. Compared with the U.S. market, there is still huge room for improvement in the proportion of SaaS in China. With the acceleration of digitalization and the increasing demand for efficient human resource management, the HCM SaaS market is expected to continue to grow at a rate of more than 20% in the future.
As a leader in the industry, Beisen Holdings' leading attributes are continuously enhanced. Despite the fierce market competition, the company has continuously consolidated and expanded its market share by virtue of its integrated products and firm key customer strategy. According to industry observation, Beisen Holdings has obvious competitive advantages in the fields of recruitment, salary performance, etc., and the trend of cloud transformation is obvious. In addition, modules such as talent stocktaking, assessment, performance management, and learning have also shown counter-cyclicality, maintaining steady growth even in economic downturns.
To sum up, with its leading position in the field of HR SaaS, strong product strength and continuous growth momentum, Beisen Holdings has shown extremely high investment value. At present, the company's market capitalization is 2.9 billion Hong Kong dollars, and there is still a lot of room for improvement after excluding cash on hand. In addition, the company's recent launch of a buyback program of no more than HK$50 million also sends a positive signal to the market, showing that the management is confident in the company's future. When considering investing in Beisen Holdings, investors should fully evaluate its growth potential and financial position in order to make an informed decision.
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