REG - ActiveOps PLC - Full Year Trading Update

ActiveopsAnnouncement

25/04/2023 07:00

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RNS Number : 2948X  ActiveOps PLC  25 April 2023

25 April 2023

ActiveOps plc

("ActiveOps" or the "Company")

Full Year Trading Update

Strong financial performance across all metrics

 

ActiveOps plc (AIM: AOM), a leading provider of Management Process Automation
(MPA) software for running hybrid and global back-office operations, today
provides an update on trading for the year ended 31 March 2023.

The Board is pleased to announce that following continued positive trading in
the second half of the year, it expects to deliver results for the year ahead
of market expectations*. Group revenue is expected to have increased by
approximately 11% to at least £25m (FY 2022: £22.9m), which combined with
the Group's high gross margins, and a significant positive impact from
currency movements, has resulted in a stronger than expected profit
performance delivering a positive adjusted EBITDA** (FY 2022: loss £0.3m).

Cash generation has also been strong, resulting in a year-end cash position of
£15.4m (March 31, 2022: £13.8m), increasing to £17.5m following additional
cash receipts shortly after the year end.

SaaS revenue is expected to have increased by approximately 13% (FY 2022:
£19.6m), which combined with increasing levels of Net Revenue Retention has
seen Annual Recurring Revenue also increase by approximately 13% to £22.6m
(31 March 2022: £20.1m) as the Group continues to build a solid base of
recurring revenues from which to drive further growth.

ActiveOps has seen good uptake of the newly launched CaseWorkiQ solution, as
well as securing multiple new wins and contract expansions for its existing
software solutions, ControliQ and WorkiQ. This includes the first example of
all three products within one customer, demonstrating the cross and upsell
potential within the existing customer base.

The R&D team continues to ensure ActiveOps maintains its status as a
provider of market leading Management Process Automation products, making
considerable advances in the areas of artificial intelligence (AI) and
automation, providing clients with new means to increase the efficiency of
their back-office, support their planning processes and ultimately provide
greater resilience and agility within their organisations.

The Group expects to release audited results for the year ended 31 March 2023
in early July 2023.

 

Richard Jeffery, Chief Executive Officer of ActiveOps plc, commented:
"ActiveOps has gone from strength to strength in the past year, delivering
ahead of the targets we set ourselves at the time of our IPO, securing a
strong revenue performance and achieving a positive EBITDA run rate as we
entered the final quarter of the year. We have continued to expand the usage
of our offerings across our growing roster of blue-chip customers,
demonstrating the appeal of our solutions and the clear return on investment
they deliver our clients within these tough macro-economic times.

"With a cutting-edge product set that helps clients solve real-time issues,
high levels of recurring revenues, a clear pathway to profitability,
increasing cash position and a resilient and diverse customer base, we are
well placed to continue to deliver against our growth plans."

 

* Company compiled range is based on known sell-side analyst estimates. The
latest known sell-side analyst estimates for the full year ended 31 March 2023
are:

 ·             Revenue in the range of £24.6m to £25.1m;
 ·             Adjusted EBITDA((1))  loss of £(0.5)m

 

** Adjusted EBITDA is used by management to assess the trading performance of
the business. Defined as Operating profit before depreciation, amortisation,
share-based payment charges and exceptional items and includes FX differences.

 

For more information, please contact:

 ActiveOps                                 Via Alma PR
 Richard Jeffery, Chief Executive Officer  www.activeops.com (http://www.activeops.com/)
 Patrick Deller, Chief Financial Officer

 Investec Bank plc                         +44 (0)20 7597 5970
 Corporate Broking & PLC Advisory
 Patrick Robb / David Anderson

 Alma PR                                   + 44(0) 203 405 0205
 Caroline Forde / Will Ellis Hancock

 

About ActiveOps

ActiveOps is a leader in Management Process Automation (MPA), providing a SaaS
platform to large enterprises with complex and often global back-offices. The
Group's software and embedded back-office operations management methodology
enables enterprises to adopt a data-driven, scientific approach to organising
work and managing capacity.

The Group's enterprise platform comprises its MPA software products
and AOM, the Group's operations methodology and framework for effective
back-office management. Together, this combination of software and embedded
methodology enables operations managers to balance the competing priorities of
meeting service and quality standards while improving productivity and
reducing cost.

As at 30 September 2022, the Group has 180 employees, serving its global
customer base of over 80 enterprise customers from offices in the UK, Ireland,
USA, Australia, India and South Africa. The Group's customers are
predominantly in the banking, insurance and business process outsourcing (BPO)
sectors, including Nationwide, TD Bank, Anthem Inc and DXC Technology.

 

 

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