Canva has hit a $US40 billion ($55 billion) valuation following a year that has seen use of its products quadruple as the pandemic propels businesses toward new communications strategies.
The Sydney-based company revealed it has doubled its annualized revenue and remains on track to exceed US$1 billion by the end of the year, with the fresh round of funding used to accelerate this continued growth.
The additional $US200 million raise from investors was led by T. Rowe Price, and joined by new and existing investors including Blackbird and AirTree Ventures, with the milestone marking the company as one of the fastest-growing software companies to date.
Canva’s last round of capital-raising in April came after it reported its user base increased by 50% in 2020.
The pandemic has been a boon for the tech company, as businesses and individuals scrambled to refocus attention on online and social media communication amid lockdowns and remote work.
Canva said it surpassed 60 million users across 190 countries in 2021, with a 150% increase in the amount of content created by those using the service.
This shift in working practices has seen adoption of Canva’s products more than quadruple in the past 12 months, with increased uptake across US-based Fortune 500 companies including Zoom and PayPal.
This growth has also seen its team double, with almost 1000 new hires in 2021 bringing its global team to 2000.
The company said the funding would go toward doubling its headcount in the year ahead.
Melanie Perkins, Canva’s co-founder and chief executive, said the company’s rapid growth in recent months reflected the increasing need for tools by organisations operating remotely.
“It has been incredible to see the continued growth of Canva across the globe over the last year,” Perkins said.
“More than 60 million people are now using Canva for everything from launching startups to raising awareness for nonprofits, supporting remote learning, collaborating in distributed teams, and managing global enterprise brands at scale.”
In tandem with the announcement, co-founders Melanie Perkins and Cliff Obrecht also committed a portion of their wealth to philanthropy. The pair said they will commit the vast majority of their equity, 30% of Canva, to charitable projects through the Canva Foundation.
The company has also directed its focus toward building enterprise tools in recent months, with the number of presentations created by businesses tripling in the last 12 months.
Canva said it plans to expand its visual communications products for business, with tools including a new video editor and a responsive website creator set to launch later this year.