The pandemic triggered a boom in software firms selling tools to other businesses, most obviously videoconferencing and employee collaboration. But while that burst of new business is petering out for some companies now that people are starting to return to the office, most enterprise software firms are still seeing accelerating growth.
An analysis of 64 enterprise software firms’ financial results for the past two quarters found that about two thirds showed faster revenue growth in the second quarter than the first quarter. Among those that showed particularly strong acceleration in topline growth were HR and payroll services firm Paycom and bill-paying service Bill.com. These companies have benefited from the growing adoption of automated services for core administrative functions. Others that stood out include cloud-based collaboration companies like Monday.com and Asana, reflecting the shift to remote work.