REG - Beeks Fin Cloud Grp - Trading Update

Beeks Financial CloudAnnouncement

06/09/2023 07:00

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RNS Number : 4853L  Beeks Financial Cloud Group PLC  06 September 2023

Beeks Financial Cloud Group plc

("Beeks" or the "Company")

Trading Update

6 September 2023 - Beeks Financial Cloud Group plc (AIM: BKS), a cloud
computing and connectivity provider for financial markets, provides an update
on trading for the year ended 30 June 2023 (FY23).

Following a strong performance across the Group's Private Cloud offering, and
a further Exchange Cloud contract signed with the Johannesburg Stock Exchange
(JSE), the largest stock exchange in Africa, Beeks has delivered significant
growth on the prior year.

Beeks exited FY23 with over 20% growth in ACMRR in the year to £23.8m (30
June 2022: £19.3m), which has further increased to over £25m as at 31 August
2023, as a result of a strong start to the new financial year. This strong
growth in ACMRR, combined with the expected JSE Exchange Cloud deployment in
the coming weeks provides significant visibility of the Board's FY24
expectations.

Revenue for FY23 is expected to be over 20% higher than FY22, delivering
underlying EBITDA(1) growth of over 35% and underlying profit before tax(2)
growth of approximately 10% versus FY22.  In the second half of the year,
Beeks achieved a positive free cash flow position in line with management's
stated strategy, with unaudited net cash of £4.41m at the period end (H1 23:
net cash of 3.35m; FY 22: net cash of 7.86m).

The Company's pipeline of opportunities for each of its offerings is
significant and growing. Exchange Cloud remains a potentially transformational
opportunity for Beeks, with significant traction with both existing and new
customers, albeit contracts of this size will take time to convert.

The above indicative financial results are subject to audit. The Company
expects to release audited results for FY23 in early October 2023.

Gordon McArthur, CEO at Beeks, commented: "FY23 was a year of double digit
growth and one in which we continued to expand the pipeline across each of our
offerings. With two Exchange Cloud contracts now secured following the
addition of the JSE in the year, and many more in discussion, we remain
confident in the opportunity ahead, as we capitalise on our unique cloud
computing offering for the global financial services industry. We have entered
the new year with high levels of revenue visibility and strong momentum and
thus remain in line with management expectations for FY24, with further upside
potential from new client wins."

 

This announcement contains inside information for the purposes of article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of domestic law by
virtue of the European Union (Withdrawal) Act 2018.

 

Notes:

(1.) Underlying EBITDA is defined as profit for the period before
amortisation, depreciation, finance costs, taxation, acquisition costs, share
based payments, exchange rate gains/losses on statement of financial position
translation and exceptional non-recurring costs.

(2 .) Underlying profit before tax is defined as profit before tax excluding
amortisation on acquired intangibles, acquisition costs, share based payments,
exchange rate gains/losses on statement of financial position translation and
exceptional non-recurring costs.

For further information please contact:

 Beeks Financial Cloud Group plc
 Gordon McArthur, CEO                               via Alma PR
 Fraser McDonald, CFO

 Canaccord Genuity                                  +44 (0)20 7523 8000
 Adam James / Gordon Hamilton

 Alma PR                                            +44(0)20 3405 0205
 Caroline Forde / Hilary Buchanan / Joe Pederzolli

 

About Beeks:

 

Beeks provides advanced technology services for capital markets and the
finance community. Using innovative trading solutions and a growing network of
global data centres, Beeks support their operations and ecosystems by
delivering low-latency compute, connectivity and analytics, on-demand. Our
cloud-based Infrastructure-as-a-Service (IaaS) model allows financial
organisations the flexibility and agility to deploy and connect to exchanges,
trading venues and cloud service providers at a fraction of the cost of
building their own networks and infrastructure. Our vision is simple: Build.
Connect. Analyse.

 

beeksgroup.com

 

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