Smartree, the strategic partner offering integrated HR services and software solutions, announces the financial results of the past year, as well as the main development directions for 2022.
In 2021, the turnover exceeded 123 million lei, marking a 17% increase compared to the previous year. This growth was also driven by the new technology innovation division for HR processes, Smartree HRTech, which recorded a turnover of 18.2 million lei. At the same time, Smartree Romania, the division providing temporary employees to companies, achieved a turnover of 105 million lei throughout the past year. For 2022, Smartree anticipates a 20% growth in the technology division and a 25% growth in the temporary employee division.
The year 2021 ended with a profit of 5.3 million lei for the Smartree group, 35% higher than in 2020. This profit resulted from a series of automation implementations in the work processes of the group companies, driven by the pandemic’s pressure to accelerate efficiency initiatives.
“Last year was one with many challenges, and we are pleased with the results we achieved. The increase in turnover was supported by the partnerships we developed over the past two years and our continuous focus on digitizing and optimizing HR processes in our client companies. All these efforts led to increased demand for our services and products. The Smartree team managed to overcome all challenges and uncertainties, and I am grateful to my colleagues for their sustained efforts,” said Alexandra Peligrad, CEO of Smartree Romania.
In 2021, the pandemic continued to impact the business environment, including the HR sector, necessitating the transformation of various processes or even total reinvention through remote and hybrid work. Despite all these challenges, Smartree implemented a project last year to split into two companies, resulting in Smartree HRTech, the technology innovation division for HR processes. The new company took over all software technology activities and associated services for strategic HR process management and currently consists of a team of approximately 100 people. Meanwhile, Smartree Romania retained the temporary work, personnel leasing, and recruitment division, continuing to provide workforce supply services to its clients, with an average monthly number of over 2,000 temporary employees throughout 2021.
“We expect the market for HR software products and HR services to continue its upward trend, driven by increased digitalization investments by companies and organizations. These are some of the reasons why Smartree HRTech became a standalone company. Additionally, as pandemic restrictions are lifted, companies will resume their strategic development plans and will want to invest in projects that include integrated HR process management and digitalization solutions to enhance and amplify their activities,” says Alexandra Peligrad, CEO of Smartree Romania.
For 2022, Smartree aims to continue the growth lines started in previous years, with a keen interest in partnerships with companies developing complementary software products and applications in the HR process area. Examples of such partnerships made in the last two years include PandemSafe, a software application that ensures the safe return of employees to offices, Druid, an HR chatbot software application, and Salarium, through which Smartree clients’ employees can request and receive salary advances for days already worked, anytime and anywhere.
Additionally, another growth perspective Smartree targets is carrying out acquisition and investment projects in HR companies. These projects could prove significant for the company’s dynamics in the coming years, both for Smartree HRTech and the temporary employee division. Furthermore, through the innovation division, Smartree is investing in developing a new HR software product. The decision to develop a new HR solution comes in response to the changes the pandemic period has caused in company processes, where HR departments have become key pillars in establishing and implementing business strategies.
About Smartree
A strategic partner in the payroll outsourcing and personnel administration services market in Romania, Smartree has been offering complete services and software solutions for the strategic management of HR processes for over 20 years, constantly evolving. Smartree holds a unique position in the Romanian market as the only local ADP partner, the largest payroll processor globally. The company provides expertise in industry best practices and the know-how of over 100 specialists working in payroll services, personnel administration, and software solutions development. The Smartree group of companies is owned by the investment holding Delta Asset Invest, belonging to Dragoș Roșca, an active entrepreneur and investor in companies such as Smartree, BIA, Patiline, Ynovate Immo, Brexton, 2Performant, Bento, etc.