Sophia L.P. (dba Ellucian)

Overview Key strengths Key risks Market leader in the higher-education enterprise resource planning (ERP) market. Falling enrollment trends among higher education institutions. Gross retention rates in the high-90% area with a large proportion of contractually recurring revenues. Highly competitive landscape, with ERP products available from Workday, Oracle, Jenzabar, and Anthology. Mission-critical product suite that is largely essential to end users. Financial sponsor ownership that may preclude sustained deleveraging over the near term. Revenue was well above the same period last year, up 10%. Top-line performance benefitted partially from the CampusLogic acquisition, which closed in April, but core business activities, which rebounded significantly in the post-COVID-19 pandemic economic environment, drove organic revenue growth near 7% through the company?s subscription and cloud

...Sales activity growth was strong in the first half of 2022, but Sophia L.P.'s (dba Ellucian) profitability metrics came in modestly below expectations following the CampusLogic acquisition. Revenue was well above the same period last year, up 10%. Top-line performance benefitted partially from the CampusLogic acquisition, which closed in April, but core business activities, which...

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