On Wednesday, VOQUZ Labs announced a strategic partnership with PwC Solutions Germany for the marketing of remQ, the company’s business transaction monitoring and auditing software for SAP customers. In detail:

PwC will offer its client base in Germany the establishment of a digitalized internal control system (ICS) based on remQ. Mind you, remQ was added to the product portfolio within the framework of the company’s first M&A deal in early 2023. The software monitors business-critical transactions, i.e. procure-to-pay and order-to-cash processes, in real-time, hence improving data and transaction control across all business areas. Moreover, customers can upsell in order to add premium solutions such as payroll- and sanctions compliance or an AI-based criminal watchlist name-matching tool. The software is optimized for both SAP ERP and S/4HANA environments. PwC will likely position remQ as a managed service solution. In our view, this should be a well needed push for remQ after a flattish sales development in 2023 (eNuW: € 150k).

Given PwC’s market leading position with c. 13k auditing and consulting customers in Germany, the partnership is seen to significantly facilitate the go-to-market of remQ. As VOQUZ is typically targeting mid-sized customers with 500-20,000 employees, we estimate the deal to have a total potential of € 25-30m in annual revenues, based on an average annual contract volume of € 35k (eNuW).

As VOQUZ also aims to intensify cross-promotion with its flagship software samQ (SAP software asset management), top-line growth is seen to accelerate from 2024e onwards. We hence conservatively expect remQ sales to triple to € 450k in ‘24e before doubling again to € 900k in ‘25e.

visoryQ offering further upside. While the company’s core product samQ looks set to provide solid double-digit sales growth going forward (eNuW: 11.3% CAGR ‘23p-26e) and setQ as a pure re-sell product likely remaining flat, visoryQ is also seen to contribute with strong growth momentum going forward. This should be, among others, driven by the ongoing S/4HANA transition (mainstream maintenance for old ERP software ends in 2027).

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