REG-Acuity RM Group Plc: Half-year Report
02/09/2025 07:02
This announcement contains inside information for the purposes of Article 7 of
the UK version of Regulation (EU) No 596/2014 which is part of UK law by
virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon
the publication of this announcement via a Regulatory Information Service,
this inside information is now considered to be in the public domain.
2 September 2025
Acuity RM Group plc
(“Acuity” or the “Company” or the “Group”)
Interim Results for six months ended 30 June 2025
Acuity RM Group plc (AIM:ACRM), the provider of risk management products and
services, today releases the interim results for the six months ended 30 June
2025 (“H1 2025” or the “Period”).
Highlights for the Group for the Period:
* Revenues: up 10% to £1.1m (30 June 2024: £1.0m)
* Operating loss – reduced to £282,000 (30 June 2024: £586,000) a
reduction of 52%
* Strategy: target market has been refocused on Cyber GRC, the business’s
core strength
* New product: Vendor Management Hub, an entry level product to manage cyber
security risks related to suppliers
* NextGen STREAM® – redeveloped incorporating features and functions to
make it more attractive for users with benefits for Acuity
* New marketing initiatives incorporating AI have been implemented to more
accurately target prospective customers
David Rajakovich, Chief Executive, commented: “I believe we have now put in
place the foundations of a leaner, more efficient and focused business. There
is still much to do to achieve Acuity’s potential but we have started, the
impact is beginning to show positively in the financials and I believe we are
now much better placed to deliver in H2 and beyond. Our focus on operational
efficiency and product innovation positions us well to capitalise on
opportunities as they emerge.
In recent times with the economic uncertainty and the new Strategic Defence
Review, we have seen companies and Government agencies act cautiously. Looking
ahead, we're seeing encouraging signs in our pipeline development,
particularly in the defence segment where decision-making appears poised to
accelerate. While we remain cautious about the broader market conditions,
there are significant sales opportunities for the Company, both measured by
number and value, and I look forward to announcing new order wins as we begin
to properly exploit our commercial opportunities.”
For further information please contact:
Acuity RM Group plc https://www.acuityrmgroup.com
Angus Forrest / David Rajakovich +44 (0) 20 3582 0566
Zeus Capital Limited (NOMAD & Broker) https://www.zeuscapital.co.uk
Mike Coe / James Bavister +44 (0) 20 3829 5000
Peterhouse Capital (Joint broker)
Lucy Williams / Duncan Vasey +44 (0) 20 7469 0936
Clear Capital (Joint broker)
Bob Roberts +44 (0) 20 3869 6080
Note to Editors
Acuity RM Group plc
Acuity RM Group plc (AIM: ACRM), is an established provider of risk management
products and services. Its award-winning STREAM® software platform which
collects and analyses data to improve business decisions and management is
used by clients operating in global markets including government, defence,
broadcasting, utilities, manufacturing and healthcare.
The Company is focused on delivering long term, sustainable growth in
shareholder value from organic growth and complementary acquisitions.
Chairman’s statement
Introduction
The directors are pleased to present the interim results for the six months
ended 30 June 2025.
Acuity’s performance in the Period shows improvement compared with the
previous year, with revenue up to £1.1m (30 June 2024: £1.0m) and operating
loss reduced by 48% to £282,000 (30 June 2024: £586,000).
In the period, Acuity’s new Chief Executive, David Rajakovich has been
actively making changes to focus the business, improve efficiencies and
enhance competitiveness. Some of the benefits can be seen in these results
but should be more evident as they are realised more fully over the next six
months. Further detail on the changes and progress achieved is set out in
the Chief Executive’s statement below.
Outlook
The objective to create shareholder value will be delivered from a combination
of:
* strong revenue growth through a new focus on the business’s strengths in
the cyber security GRC market;
* the introduction of new products; and
* improving the financial performance, moving to positive cash generation and
profitable trading.
I would like to thank all shareholders for their patience over the Period,
when significant changes have been made to strengthen the business for the
long term.
Angus Forrest
Chairman
2 September 2025
Chief Executive’s statement
This is the first full reporting period since I became Chief Executive. In the
Period there has been significant change in every area of the business in
order to focus, strengthen and build the foundations for strong business
growth. I identify the major and most important changes in the business
review below.
Business review
Strategy – as previously reported, we made the strategic decision to focus
exclusively on cyber Governance, Risk and Compliance ("GRC") management rather
than attempting to address the enterprise risk management market as a whole.
Cyber is the area where the directors believe Acuity has the greatest
advantage over the competition while also offering major growth
opportunities. This more focused approach allows us to deliver specialised
solutions that address the challenges our clients face in identifying,
assessing, and mitigating cyber risks.
In recent months several high profile cyber security breaches with costly
disruption to business have increased awareness and highlighted the importance
of addressing cyber security risks. This should drive demand for our
products and services. Demand will also be driven by regulation such as (i)
new ISO type standards (ii) the new EU AI Act and (iii) requirements of risk
committees and corporate governance reports.
Sales and marketing - We have fundamentally transformed our go-to-market
approach to better align with market opportunities and customer needs:
* Direct sales efforts have been repositioned to focus primarily on mid-market
clients where we see the highest conversion rates and fastest adoption. The
team has been upgraded in capability as a result of training through H1 and we
are negotiating several material deals.
* The partner network has been rationalised and refocused on those partners
which fit with our strategy and really want to work with us bringing an
advanced offering to blue-chip enterprise clients, leveraging our partners'
established relationships and implementation capabilities with Acuity’s
advanced software. Partners remain an important channel for us and we are
committed to working with the selected strategic partners to increase the pace
of growth.
* Sales processes have been optimised to reduce cycle times and improve
conversion at every stage of the process.
Following a period of development we have launched a new AI led marketing
programme which is designed to identify active buyers with demand suited to
Acuity’s STREAM® product. It has begun to produce results, we expect
shorter lead times and better conversion rates. As a side effect it has
begun to identify new well qualified partners so improving our distribution
channels. We have recently been mentioned in Gartner’s Market Guide to GRC
Tools for Assurance Leaders, thus providing the recognition of our arrival as
a top provider of Cyber GRC
https://www.gartner.com/reviews/market/grc-tools-for-assurance-leaders.
We have reviewed and cleaned the sales pipeline and are now applying much
stricter criteria for inclusion resulting in a reduction in number and value
of opportunities. The pipeline is now realistically valued at £3.8 million
with over 145 high quality opportunities where a decision from the customer is
expected in the next 12 months and where we believe our offering should be
very competitive.
Organisational transformation - to support our new direction, we have made
several key changes to our organisational structure and leadership team. The
focus has been on building a highly motivated and united team to deliver
services of highest quality, in some cases this has meant outsourcing some
specialist activities. These changes have been necessary to better align our
resources with our strategic priorities, improve operational efficiency, and
reduce costs. The changes have created a more agile, focused team that is
better positioned to execute on our vision and deliver value to our customers
and shareholders.
Product – There have been significant product developments in the Period
which demonstrate our capability to modify existing products rapidly in
respect of NextGen STREAM® and develop new ones such as Vendor Management
Hub (“VMH”).
* NextGen STREAM®
In the Period our flagship product, NextGen STREAM®, was redeveloped and its
relaunch was announced at the end of the Period. Following delivery from the
software house a number of bugs have been identified. These are being
resolved but it has delayed full scale implementation which will go ahead as
soon as the product completes testing. This next-generation platform
represents a significant investment in our product capabilities and user
experience. Key improvements will include:
* A revamped user interface with intuitive workflows based on extensive user
research to give an easier and friendlier experience. By improving the
customer experience it should ensure Acuity improves sales conversion and
experiences better retention rates.
* Simplified integration capabilities with popular security and business tools
such as AI, interoperability – allows easier, faster interactions with a
wider range of other software.
* Enhanced dashboards and reporting features for greater visibility and
insights.
* It should make upgrades easier and faster and reduce Acuity’s running
costs.
* Vendor Management Hub (“VMH”)
In June a new entry level product, VMH was launched and the first order for it
was received in August. VMH is available as stand-alone product or it can be
incorporated in STREAM®. VMH provides a strong foundation for cyber risk
oversight, without the complexity of a full GRC program. It enables users to
better manage their cyber security risks relating to their suppliers' systems.
VHM addresses the same market as Rizikon, the product acquired by the Group in
November 2024.
The benefits of VMH include:
* It is easy to understand, deploy and use
* It accelerates and standardises vendor onboarding - streamlines the process
with automated workflows, standardised assessments and digital document
management, also providing compliance records, automated monitoring and
audit-ready documentation for better regulatory compliance
* It automates prioritisation of third party risks based on the criticality of
the supplier and potential impact of the vulnerability and risk visibility -
real time monitoring of critical measures with automated risk scoring and
alerts
The improvements directly support our strategic shift toward Product Led
Growth (PLG) by making onboarding seamless and intuitive. The new platform has
also been designed to dramatically reduce time-to-value for new customers,
allowing them to experience the benefits of our solution faster and with
minimal friction
Acuity is implementing optimised distribution channels to accelerate its
uptake. If clients mandate their suppliers to use it, their own cyber
security is better managed and it will drive the market opportunity for
Acuity.
Financial overview
For the Period the Group reported revenue of £1.1m (30 June 2024: £1.0m), a
much-reduced operating loss of £0.282m (30 June 2024: loss £0.586m) (52%)
and a similarly reduced pre tax loss of £0.263m (30 June 2024: loss £0.634m)
(58%). The administrative costs in the first 6 months of 2025 are down by
£0.249m (16%) compared to the same period in 2024. The reduction in costs
continued through the period and post period, as it takes time for some
reductions to be realised because of notice periods, a greater impact should
be seen in H2.
New orders won in the period were below that of the previous year because the
business was refocussing onto Cyber GRC and other changes were made in order
to achieve the future growth strategy. A key focus has been on reducing the
cost base, improving efficiency and flexibility.
In May 2025, the Company successfully raised £0.421m (before expenses) from
new investors and existing Shareholders. In addition, the Directors and the
largest shareholder, Simon Marvell, announced their intention to subscribe for
shares which raised an additional £0.105m, which was completed post the
Period end. The Board thanks its shareholders for their support.
Outlook
I believe we have now put in place the foundations of a leaner, more efficient
and focused business. There is still much to do to achieve Acuity’s
potential but we have started, the impact is beginning to show positively in
the financials and I believe we are now much better placed to deliver in H2
and beyond. Our focus on operational efficiency and product innovation
positions us well to capitalise on opportunities as they emerge.
In recent times with the economic uncertainty and the new Strategic Defence
Review, we have seen companies and Government agencies act cautiously. Looking
ahead, we're seeing encouraging signs in our pipeline development,
particularly in the defence segment where decision-making appears poised to
accelerate. While we remain cautious about the broader market conditions,
there are significant sales opportunities for the Company, both measured by
number and value, and I look forward to announcing new order wins as we begin
to properly exploit our commercial opportunities.
David Rajakovich
Chief Executive
2 September 2025
Condensed consolidated statement of comprehensive income
For the 6 months ended 30 June 2025
Notes Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited 12 months to December 2024
£’000 £’000 £’000
Revenue 5 1,145 1,049 2,132
Cost of sales (143) (103) (201)
Gross profit 1,002 946 1,931
Administrative expenses (1,284) (1,533) (3,007)
Operating loss (282) (586) (1,076)
Finance - net expense (16) (11) (38)
Gain/(Loss) on investments 73 (36) (43)
Share based payments expense (14) - (27)
Exceptional costs (24) - (141)
Loss for the period before taxation (263) (634) (1,325)
Tax - 44 58
Loss for the period after taxation (263) (590) (1,267)
Basic and diluted (loss) per share from loss for the period 4 (0.16)p (0.48)p (0.92)p
Condensed consolidated statement of financial position
For the 6 months ended 30 June 2025
Notes Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited 12 months to December 2024
£’000 £’000 £’000
Non current assets
Intangible assets 6 5,680 5,315 5,473
Tangible assets 7 10 9
Investments at fair value through profit or loss 8 280 207 207
Total non current assets 5,967 5,532 5,689
Current assets
Trade and other receivables 193 324 672
Cash and cash equivalents 418 1,855 606
Total current assets 611 2,179 1,278
Total assets 6,578 7,711 6,967
Current and long term liabilities
Trade, other payables and loans 729 858 714
Deferred income 1,895 2,403 2,453
Total liabilities 2,624 3,261 3,167
Net assets 3,954 4,450 3,800
Equity
Share capital 7 2,840 2,796 2,796
Share premium 13,729 13,370 13,370
Share based payment reserve 153 112 139
Merger reserve 1,012 1,012 1,012
Retained earnings (13,780) (12,840) (13,517)
Total equity 3,954 4,450 3,800
Condensed consolidated statement of changes in equity
For the 6 months ended 30 June 2025
Share capital Share premium Share based payments reserve Merger reserve Retained earnings Total equity
£’000 £’000 £’000 £’000 £’000 £’000
Balance at 1 January 2024 2,767 12,447 112 1,012 (12,250) 4,088
Loss for the year - - - - (1,267) (1,267)
Total comprehensive expense for the year - - - - (1,267) (1,267)
Contributions by and distributions to owners
Issue of shares net of transaction costs 29 923 - - - 952
Issue of share options - - 27 - - 27
Total contributions by and distributions to owners 29 923 27 - - 979
Balance at 31 December 2024 2,796 13,370 139 1,012 (13,517) 3,800
Loss for the year - - - - (263) (263)
Issue of shares net of transaction costs 44 359 - - - 403
Issue of share options - - 14 - - 14
Balance at 30 June 2025 2,840 13,729 153 1,012 (13,780) 3,954
Condensed consolidated statement of cash flows
For the 6 months ended 30 June 2025
Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited 12 months to December 2024
£’000 £’000 £’000
Cashflows from operating activities
(Loss) before taxation (263) (634) (1,267)
Adjustments for:
Depreciation and amortisation 86 81 163
Fair value adjustments for listed investments (73) 37 37
Share based payments 14 - 27
R&D tax rebate received - 44
Settlement of loan note and supplier invoice in shares not cash 21
Decrease in trade and other receivables 479 932 582
(Decrease)/Increase in trade and other payables (543) 355 262
Net cash (used in)/generated from operating activities (279) 815 (196)
Cashflows from investing activities
Purchase of tangible fixed assets - (5) (7)
Additions to intangible fixed assets (291) (6) (243)
Net cash flows from investing activity (291) (11) (250)
Cash flows from financing activities
Cash raised through issue of shares (net of transaction costs) 382 951 952
Net cash flow from financing activity 382 951 952
Net (decrease)/increase in cash and cash equivalents (188) 1,755 506
Cash and cash equivalents at beginning of financial year 606 100 100
Cash and cash equivalents at the end of financial year 418 1,855 606
1. General information
Acuity RM Group plc is a public limited company, which is listed on AIM of the
London Stock Exchange, incorporated and domiciled in England and Wales. The
address of the registered office is 2nd Floor, 80 Cheapside, London EC2V 6EE.
The condensed consolidated interim financial report was approved for issue
by the Board of Directors on 1 September 2025.
The principal activity of the Group is the provision of risk management
software, STREAM® and related services.
The financial information set out in this interim financial report does not
constitute statutory accounts as defined in Sections 434(3) and 435(3) of the
Companies Act 2006. The Company’s statutory financial statements for the
year ended 31 December 2024 have been filed with the Registrar of Companies
and are available at www.acuityrmgroup.com. The auditor’s report on those
financial statements was unqualified and did not contain any statement under
Section 498(2) or Section 498(3) of the Companies Act 2006.
2. Basis of preparation
The condensed consolidated interim financial report has been prepared in
accordance with the requirements of the AIM Rules for Companies using
accounting polices expected to be adopted for the year ending 31 December
2025.
As permitted, the Company has chosen not to adopt IAS 34 “Interim Financial
Statements” in preparing this interim financial information. The condensed
consolidated interim financial statements should be read in conjunction with
the annual financial statements for the year ended 31 December 2024. The
interim financial statements have been prepared in accordance with
International Financial Reporting Standards as adopted by the United Kingdom.
(“UK adopted IFRS”) and those parts of the Companies Act 2006 applicable
to companies reporting in accordance with UK adopted IFRS.
The comparative figures for the financial year ended 31 December 2024 set out
in these interim statements are not the Group’s statutory accounts for that
financial year. Those accounts have been reported on by the Company’s
auditors and delivered to the Registrar of Companies. The report of the
auditors was (i) unqualified, (ii) did not include a reference to any matters
to which the auditors drew attention by way of emphasis without qualifying
their report, and (iii) did not contain a statement under section 498 (2) or
(3) of the Companies Act 2006.
Going concern
The Directors, having made appropriate enquiries, consider that adequate
resources exist for the Company and Group to continue in operational existence
for the foreseeable future and that, therefore, it is appropriate to adopt the
going concern basis in preparing the condensed consolidated interim financial
statements for the period ended 30 June 2025.
Risks and uncertainties
The Board continuously assesses and monitors the key risks of the business.
The key risks that could affect the Group’s medium-term performance and the
factors that mitigate those risks have not substantially changed from those
set out in the Company’s 2024 Annual Report and Financial Statements, a copy
of which is available on the Company’s website: www.acuityrmgroup.com.
Critical accounting estimates
The preparation of condensed consolidated interim financial report requires
management to make estimates and assumptions that affect the reported amounts
of assets and liabilities at the end of the reporting period. Significant
items subject to such estimates are set out in the Company’s 2024 Annual
Report and Financial Statements. The nature and amounts of such estimates have
not changed significantly during the interim period.
3. Accounting policies
Except as described below, the same accounting policies, presentation and
methods of computation have been followed in these condensed consolidated
interim financial statements as were applied in the preparation of the
Group’s annual financial statements for the year ended 31 December 2024.
3.1 Changes in accounting policy and disclosures
Accounting developments during 2025 and new standards, amendments and
interpretations in issue but not yet effective or not yet endorsed and not
early adopted
The International Accounting Standards Board (IASB) issued various amendments
and revisions to International Financial Reporting Standards and IFRIC
interpretations. The amendments and revisions which were applicable for the
period ended 30 June 2025 did not result in any material changes to the
financial statements of the Group or Company. The Group is evaluating the
impact of the new and amended standards above which are not expected to have a
material impact on the Group’s results or shareholders’ funds.
4. Loss per ordinary share
The loss per ordinary share is based on the weighted average number of
ordinary shares in issue during the period of 159,516,908 ordinary shares of
0.1p (June 2024: 123,461,493 ordinary shares of 0.1p).
Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited year to 31 December 2024
Loss attributable to equity shareholders £’000 (263) (590) (1,267)
Loss per ordinary share (0.16)p (0.48)p (0.92)p
Diluted loss per share is taken as equal to basic loss per share as the
Company’s average share price during the period is lower than the exercise
price and therefore the effect of including share options is anti-dilutive.
5. Revenue and segmental analysis
The following is an analysis of the Group’s revenue for the period from
continuing operations:
Unaudited 6 months to 30 June 2025 Unaudited 6 months to 30 June 2024 Audited year to 31 December 2024
£’000 £’000 £’000
Provision of software licences and services consisting of: 1,145 1,049 2,132
Revenue from subscriptions 959 900 1,804
Revenue from services 186 149 328
6. Intangible assets
Software development Goodwill Acquired on acquisition Total
£’000 £’000 £’000
Cost or valuation
B/F 1 January 2025 913 5,154 6,067
Additions 290 - 290
C/F 30 June 2025 1,203 5,154 6,357
Accumulated amortisation
B/F 1 January 2025 594 - 594
Charge for period 83 - 83
C/F 30 June 2025 677 - 677
Net book value as 30 June 2025 526 5,154 5,680
Net book value as 30 June 2024 161 5,154 5,315
Net book value as 31 December 2024 319 5,154 5,473
7. Share capital
At the 30 June 2025 the Company’s share capital was as follows:
Allotted, issued and fully paid Number Value £’000
Ordinary shares of 0.1p each 193,701,583 194
Deferred shares of 0.1p each 2,645,954,765 2,646
Total 2,840
As at 31 December 2024 the number of ordinary shares was 150,128,159. On 23
May 2025 the Company issued 42,107,143 ordinary 0.1p shares at a price of 1.0p
each raising an additional £421,000 gross of costs.
In addition, on 23 May 2024, the Company issued 344,827 ordinary 0.1p shares
at a price of 1.45p per share to settle £5,000 of deferred consideration for
the purchase of a loan note, in accordance with the terms of the purchase, and
it issued 1,121,454 ordinary 0.1p shares at a price of 1.45p per share to
settle £16,261 of a supplier invoice, in accordance with the terms agreed
with that supplier at the outset of that supplier being engaged.
The value of the deferred shares shown in note 7 is nominal, they are
effectively valueless following the approval by Ordinary and Deferred
shareholders of resolutions to adopt new articles of association in November
2022.
8. Investment
The Company acquired its legacy investment in KCR Residential REIT plc
(“KCR”) at a price of £0.70 per share in 2018. KCR is an AIM listed real
estate investment trust focused on the residential property market. The
investment was classed as fair value through profit and loss in accordance
with IFRS 9. The share price at 30 June 2025 was £0.115 per share and the
closing value at 30 June 2025 was £280,107. (31 December 2024: £207,035 and
30 June 2024: £207,035). The investment was valued upwards at 30 June 2025 by
£73,072 in accordance with IFRS 13.
As KCR is an AIM listed company, it is measured under level 1 of the fair
value hierarchy in accordance with IFRS 13:
- Level 1: quoted prices in an active market for identical
assets or liabilities. The fair value of financial instruments traded in
active markets is based on quoted market prices at the balance sheet date. A
market is regarded as active if quoted prices are readily and regularly
available and those prices represent actual and regularly occurring market
transactions on an arm’s-length basis. The quoted market price used for
financial assets held by the Group is the closing price on the last day of the
financial year of the Group. These instruments are included in level 1 and
comprise FTSE and AIM-listed investments classified as held at fair value
through profit or loss.
All assets held at fair value through profit or loss were designated as such
upon initial recognition.
9. Post balance sheet event
On 4 July the Company announced the directors and one other had invested
£105,000 for 10,500,000 new ordinary shares. This subscription is on the
same terms as the subscription on 19 May 2025.
Copyright (c) 2025 PR Newswire Association,LLC. All Rights ReservedRecent news on Acuity RM
See all newsREG-Acuity RM Group Plc: Holding(s) in Company
AnnouncementREG-Acuity RM Group Plc: Statement re Investor presentation 10.00am 11 September
AnnouncementREG-Acuity RM Group Plc: Half-year Report
AnnouncementRCS - Acuity RM Group PLC - First customer win for new product
AnnouncementREG - AIM - AIM Notice - 04/08/2025
Announcement