This excerpt is from our complimentary Q2 2012 Software Industry Financial Report which can be downloaded here: http://www.softwareequity.com/research_reports.aspx
SaaS providers in the ERP & Supply Chain category finished 2Q12 with the highest median EV/Revenue multiple, 6.0x. The category was bolstered by strong performances from Netsuite (12.5x) and Ariba (7.1x).
Public SaaS companies in the Workforce Management category improved their median EV/Revenue multiple in 2Q12, to 4.8x. Ultimate Software Group led the pack, boosting its YoY EV/Rev an impressive 22.8%. The category’s relative strength was driven, at least in part, by investor hopes of capitalizing on the wave of consolidation in the SaaS WFM arena.