Boston, MA 06/17/2014 (wallstreetpr) – Cornerstone OnDemand, Inc. (NASDAQ:CSOD) positioned as a global leader in cloud based talent management solutions and retained its leading position in the 2014 Gartner Magic Quadrant for the second year in a row.
According to the report, Cornerstone demonstrated superior performance in providing talent management technology solution to its customers. The Company has significant customer satisfaction in offering solutions of unified talent management suite. It helps the organizations of all sizes spread over a wide variety of industries in North America, EMEA and APAC region.
Unique Talent Management Technology
Cornerstone OnDemand, Inc. (NASDAQ:CSOD) generates revenue from the sale of its solution that typically varies from two to nine months contract depending on the size of the customers. It includes the subscription of its Enterprise and Mid-Market solution.
The clients pay the fees based on the number users use the Company’s solutions. So, number of clients and active users for the solution are key operating indicators that drive growth opportunity for Cornerstone’s business.
During the first quarter of 2014, Cornerstone OnDemand, Inc. (NASDAQ:CSOD) reported revenues of $57.4 million, increase by 52% compared to $37.7 million in the same period 2013. The considerable increase in revenue was due to an increase in a number of clients to 1,703 (1Q2013: 1,313) and renewal of subscriptions from both the U.S. and outside the U.S.
Strong Growth Prospect
The market for talent management remains large and under-penetrated. The addressable market estimates to around $31 billion with more than 400 million addressable seats. It gives significant opportunities for growth. Even, organizations are choosing such solutions that will maximize their productivity levels.
Cornerstone OnDemand, Inc. (NASDAQ:CSOD) only has 14.5 million users and currently target 60 million users to have access to its unified talent management technology suite. Therefore, Cornerstone believes to spend on technology solution in the growing market and continue to deliver excellent services to its existing and new clients so to make a profitable business.
But, seasonality is one factor that may affect the quarterly performance in the business.
