Venios Revenue, Valuation & Funding (2024)

Venios reported approximately $3 million in revenue for 2022. As of the March 2023 interview, the company was generating roughly $350,000 per month, implying an annualized run rate of approximately $4.2 million. Danzeisen confirmed the monthly figure was slightly below $400,000 at the time of the interview.

Venios serves approximately 100 power grid operators as of early 2023, spread across Germany, the Netherlands, Austria, Switzerland, India, and South America. The company's technology is connected to roughly one million substations in total. Danzeisen highlighted that Venios serves two of the three DSOs in Delhi, India, noting that a single street in Delhi represents roughly 80 to 90 percent of the scale of all of Scandinavia.

Pricing is based on the number of substations a customer operates. Annual SaaS fees range from several tens of thousands of euros for small utilities to several hundred thousand dollars for large ones. Danzeisen stated the range is approximately $50,000 to $300,000 per year in SaaS fees. A customer paying $300,000 per year typically operates between 30,000 and 100,000 substations. A customer paying $50,000 per year typically operates between 150 and 500 substations in a full rollout. The SaaS fee represents approximately 30 to 35 percent of total project volume, with the remainder being a one-time implementation fee. For a $50,000 per year SaaS customer, the implementation fee is roughly $150,000 to $200,000.

Venios operates a SaaS model with a recurring annual fee layered on top of a one-time implementation fee. The SaaS fee accounts for 30 to 35 percent of total project volume, with implementation making up the balance. Once a customer is live, the recurring SaaS fee continues indefinitely. Danzeisen confirmed a gross churn rate of zero percent across the company's ten-year history, meaning no customer has ever fully cancelled or even downgraded their substation count.

Customer return on investment payback periods are less than one year, according to Danzeisen. Implementation of a customer with up to 10,000 substations takes less than 10 days, which Danzeisen contrasted with competitors who he said typically require a full project management office and significantly more time for comparable deployments. Venios integrates with existing utility systems including geographic information systems, asset information systems, and SCADA systems, functioning as an enterprise service bus that builds a real-time virtual twin of the grid.

The company is not profitable in a formally stated sense, and profitability was not explicitly confirmed or denied in the interview. The market opportunity Danzeisen cited includes approximately 100 billion euros in German infrastructure investment over the next 10 years, roughly 1 trillion euros in European electricity infrastructure investment, and $3 trillion to $5 trillion globally. Revenue per employee was approximately $160,000 annually as of early 2023.

Venios had approximately 30 full-time employees as of March 2023. Of those, 18 are engaged in software development on a daily basis. The remaining staff work with customers, including a sales team of 3 people with quotas. Danzeisen said the first sales hire became the company's chief sales officer and now leads the sales team.

Danzeisen plans to double the total team to approximately 60 employees within the next 12 months. The sales team is expected to grow from 3 to 4 or 5 people over the same period. Revenue per employee at the current headcount is approximately $160,000 annually.