The "new normal" of remote working has brought about a change in the types of service businesses require. It is out with the old world of physical infrastructure and hardware and in with the new world of cloud computing and software-as-a-service (SaaS). For many businesses and corporations, this pandemic could have long-lasting implications for how their people work. But ASX growth companies, Dubber Corp Ltd (ASX: DUB), LiveTiles Ltd (ASX: LVT) and ELMO Software Ltd (ASX: ELO) are helping businesses adapt to these new working environments.
Dubber
Cloud-based call recording software developer, Dubber has seen its share price surge in recent weeks. Despite plunging to a 52-week low of $0.38 in late March, Dubber's shares have rebounded over 200% to $1.215 at the time of writing. This is fuelled, in part, by recent news that it is acquiring Australian call recording company, CallN.
Dubber uses AI technology when helping corporate clients analyse voice data to deliver business insights and improve customer service. Being cloud-based, the company's SaaS model doesn't rely on physical hardware. This means it has quickly adapted to the paradigm shift in working conditions caused by the coronavirus pandemic.
In the March company update, Dubber reported quarter-on-quarter revenue growth of almost 9% to $2.61 million. Dubber is experiencing record demand for its services as more companies transition to remote working arrangements.
LiveTiles
Long-undervalued LiveTiles is another cloud-based software company primarily servicing corporate and government sectors. It specialises in the development of collaborative digital working environments such as company intranet portals and homepages.
The LiveTiles share price has also staged a strong recovery since hitting a 52-week low of $0.11 in mid-March. Its shares have surged 150% to $0.275 as at the time of writing. But, while that is a solid rebound, its shares are still trading well-short of the $0.60 52-week high struck in July 2019. This means there's still room to offer significant value for new investors.
LiveTiles has developed a strong relationship with international technology and software behemoth, Microsoft Corporation (NASDAQ: MSFT). The company has developed a number of programs designed to work with Microsoft Teams; Microsoft's online collaboration and communication platform. Microsoft Teams is the fastest-growing application in its history. This growth has been accelerated during the COVID-19 pandemic with many corporations using the software from home offices.
In LiveTiles latest quarter update, it reported 60% year-on-year growth in annualised recurring revenues to $55.2 million. Cash receipts were also up 109% to $10.9 million for the quarter.
ELMO Software
After surging from a 52-week low of $3.66 in late March to be back up at $8 by early May, ELMO shares have come off the boil recently. Over the last month, shares slide almost 15% and are currently trading at $6.48.
The company's share price originally surged with the news of completing a $70 million capital raising. The company stated that the placement, which closed oversubscribed, would finance a pipeline of acquisitions and growth opportunities. ELMO reaffirmed its full-year guidance for total revenues of between $50 million and $52 million.
Elmo Software develops human resources and payroll solutions for business clients. Its suite of software helps manage the full employee lifecycle from recruitment and onboarding through to performance management, professional development, remuneration and succession planning. Its cloud-based SaaS business model is well-suited to supporting businesses adopting remote working arrangements.
