Blue Yonder 2024: A Road to Double Digit Growth and Multi-Powerful Performance

Business Update
Blue Yonder, a leading supplier chain software provider, recently summarized its 2024 performance highlights to industry analysts. The company distinguished between four key areas of performance: strong fourth-quarter results, shifts in operations, growth in proactive services, and excitement for 2025.

In its fourth quarter, Blue Yonder achieved "the second largest software bookings in the history of the company," driven by strategic partnerships such as a diversified portfolio of high-value "exceptionally large deals" centered around a unified platform. These deals totaled approximately $12 billion, strategically aligned to accelerate the customer ecosystem and reduce cost for Blue Yonder’s clients. The company also highlighted the company’s "great momentum entering 2025," with customer loyalty growing as a collective entity, not just in terms of its ability to automate and improve processes through blueprints.

Blue Yonder has adapted to shifting market dynamics by reorienting from niche point solutions to a broader integration of common applications, which has fueled growth in services as Blue Yonder’s platform becomes more connected to its customers and competitors. The company also leveraged its "field-by-turning sales force role" to expand its global reach, driving "double-digit growth again for 2024" as the number of employees has soared, reaching almost 8,000 and recruiting 2,700 candidates in the first quarter.

Product Line Expectations and Growth
Blue Yonder is also demonstrating robust product line growth, with automotive accounting for the largest share at 56%. This growth is attributed to shifts in the automotive industry, particularly as consumption increases with "electric vehicles and changing tariff policies." The automotive supply chain, through its warehouse management system (WMS) solution, is delivering year-over-year growth in installations, especially during its second year in a row. The company’s "winner’s formula" has been able to control more "robots than anyone else but Amazon," as shown by its state-of-the-art WebLESS scheduling and task management platform.

The cloud-based WMS solution has also gained traction, with Blue Yonder asserting that "close to 800 of its customers, 3 to 4 times their nearest competitor, are using the service in the cloud." As a result, "Revenue on the WMS side growth is outpacing any other line of business during the quarter."

The company is also enhancing its retail divisions, includingblue Yonder’s "lady’s rotation" andFastFM, both of which have executed "consistent annual growth rates of over 30% and 48% year-over-year," respectively. The company’s ability to deliver "aggressive volume on the manufacturing side" was particularly evident during the first quarter, when million installations exceeded 45 million.

AI and Data Fabric: Transforming Business
Blue Yonder’s AI experiences are another key contributor to its growing market. The company recently announced its first AI initiative, collaborating with Snowflake for supply chain data configurable at "any speed," which is evidence of its growing ability to integrate AI-driven technologies across various product categories.

In 2022, Blue Yonder introduced advanced planning applications based on AGentic AI, leveraging the advancement of "end-to-end intelligence systems." These applications were launched last year, and the company suspects that this was a pivotal moment for its future, as it is "the company that has the fastest pace of innovation." Last year, Blue Yonder achieved "5x year-over-year growth in its category management product line, with some companies in the retail space catching up."

The company’s commitment to AI has been further amplified by its latest initiatives. While Blue Yonder already defended the type of product offering used in its 2023 income statement, a new AI-driven solution was introduced in March 2022, "designed with the thinking of all its customers." AI’s role in optimizing "event-driven analysis, decision-making speed, and scale to a new generation" is making Blue Yonder a leader in AI-driven supply chain execution.

Limitations and Long-Term Vision
The CEO has emphasized the importance of scaling its AI and product pipelines, with 44 new patents granted in 2023, bringing the company closer to another 400 patent applications after past two years of R&D investment. However, recognizing the growing importance of integrating AI within the platform, the CEO has cautiously hinted that the company’s 2025 vision is "closer in tune with identifying and solving new challenges."

As Blue Yonder continues to assert leadership in supply chain innovation, the company stands as a clear example of global infrastructure being built at a pace that will long recognize its presence.