Safetech Innovations, one of the players on the Romanian information security market, ended the first half of 2019 with RON 4,9 million in revenues, a 22% increase compared to the same period of 2018. The net profitability has doubled in the first semester of 2019, reaching RON 279,000 compared to RON 133,000 in the first half of last year, thus becoming the best semester ever registered in the company’s history.
The increase in the revenues in the first half of 2019 was primarily caused by the growing demand for consultancy services in the area of information security as well as demand for cybersecurity solutions. The principal drivers behind this need could be identified as the increased number cybersecurity attacks on local businesses as well as institutions as well as the continuous proves of regulating the cybersecurity in the various sectors of economy, which begun last year with the entry into force of GDPR regulation, followed by the NIS Directive which was translated into Romanian law at the end of 2018. The top services requested by Safetech Innovations’ clients in the first half of 2019 were cybersecurity testing, risk analysis, audit and management of security, monitoring as well as implementation of cybersecurity solutions.
An important increase has been registered on the CERT monitoring services. Safetech Innovations operates its own Computer Emergency Response Team (CERT) in Romania, available to clients from both public and private sectors that offers 24/7 monitoring system, alerting, incident management and forensic investigations. In the first half of 2019, STI CERT has recorded revenues of 332,000 lei. As the company plans expects the increase in the number of corporate clients using the services, the estimated revenue at the end of this year is forecasted at 1 million lei. The services rendered by STI CERT have enjoyed an increasing interest from local and international companies as the need for continuous monitoring and ensuring cybersecurity is ever-growing.
„The positive evolution of our business shows that the demand for cybersecurity services is significantly increasing. The monitoring, detection and treating cybersecurity threats is becoming an important item on companies’ agenda. The large number of high-profile cases where the security of the users has been compromised, paired with the increasing scrutiny caused by entry into force by GDPR and awarding the first fines in the first half of 2019 has contributed to the development of the cybersecurity market in Romania. We see it as a positive step, which shows that the domestic market is maturing. We also see it as a positive evolution for the users of the internet overall, as their rights and securities are now finally being safeguarded and properly protected,” said Victor Gansac, CEO at Safetech Innovations.
The number of cyberattacks has also significantly intensified since the beginning of 2019, targeting both institutions such as public hospitals as well as private companies. This trend is expected to continue as the cyberattacks will also grow in sophistication in the coming period. In line with that, for full year 2019, Safetech Innovations is targeting 11 million lei in revenues and a net profit of 1,7 million lei. As a comparison, in 2018, Safetech recorded revenues of 7 million lei and the profit of 1,1 million lei.
In first semester of 2019, 15% of revenues were brought by projects delivered abroad, an increase compared with 10% weight recorded last year. Foreign clients have primarily contracted Safetech Innovations for the consulting services in the area of cybersecurity management, security testing as well as implementation of cybersecurity solutions. Expansion abroad is one of the key focus for Safetech Innovations as the company aims for 25% of the revenues to come from international projects, thus increasing its international footprint and recognition.
Established in 2011, Safetech Innovations is currently the only dedicated information security company on the Romanian market, specialized in the field of cybersecurity and implementation of cybersecurity solutions. Safetech Innovations’ services include data protection, identification of vulnerabilities and risks, response to cybersecurity incidents and creating an organizational culture oriented towards safety, as well as implementation of cybersecurity solutions and measures. The company offers a ‘cybersecurity one stop shop’, able to assist organizations in increasing their cyber resilience and solving any cybersecurity problems that could arise. The company has a large portfolio of clients, having worked with more than 10 key institutions from the financial sector, international players as well as local companies from the energy, FMCG, telecom, IT&C and transportation sectors, just to mention a few. Currently, Safetech Innovations has 36 employees out of which 22 are IT and cybersecurity experts.