"Revenue from Asia Pacific -- Australia, Singapore and Malaysia -- is currently negligible at 5 percent," said Henrik Jeberg, managing director of Navision Software SEA.
The Danish company only started to ramp up its Asian presence last September when it formed its SEA headquarters in Singapore.
With a two year S$10 million to S$20 million investment plan, Navision will run its technical training programs for resellers and execute marketing activities in the region from its base here. The office currently has eight people but is set to increase to 15 by year end.
The company recently appointed six resellers in Singapore and two in Malaysia but does not expect profitability within the first two years, said Jeberg. Its solution is targeted at the small-and-medium-sized (with revenues ranging from S$5 million to S$250 million) enterprises in the hospitality and manufacturing industries.
Navision also plans to partner resellers in the Philippines and Thailand but no firm dates have been set for expansion into these countries.
Commenting on its late entry into Asia, Jeberg said: "Our entry into Singapore and Asia is timely because the Asian economy is starting to pick up. It saved us a lot of money by not being here during the recession."
Founded in 1984, Navision Software had sales of more than US$100 million (600 million DKK) for its fiscal year ended June 1999, of which 80 percent came from Europe, 15 percent from the US, with the rest from Australia, Singapore and Malaysia.
Listed on the Copenhagen Stock Exchange, Navision expects worldwide revenues of more than US$80 million for the first six months ended December 31, 1999 with income before tax of more than US$23 million.
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