SiteMinder updates growth guidance to mid-20s percentage

SiteMinder (ASX:SDR) shares climbed 20% after the company told shareholders it expects annual recurring revenue to grow at a mid-20s compound annual growth rate out to the 2030 financial year.

The updated outlook revises prior company guidance that simply anticipated growth in the 20s percentage range.

The business stated that the revised growth outlook stems from ongoing capital deployment into its Smart Platform, Dynamic Commerce Engine, and artificial intelligence productivity initiatives.

For the 2027 financial year, the firm stated that guidance points to annual recurring revenue and overall revenue increasing by similar percentages, alongside continuing expansion in profitability within current investment plans.

Following the announcement, SiteMinder expects to drive further efficiency and long-term value by embedding automation across its global operations.

Following the announcement, the SiteMinder share price was up at $3.38.

The software provider operates a digital hotel commerce platform connecting tens of thousands of accommodation properties across more than 150 countries to third-party distribution channels.

Over recent reporting periods, the company has focused heavily on scaling its transaction-based add-on products and expanding core subscription segments to diversify revenue streams.