REG - Cirata PLC - Q4 FY25 Trading Update

CirataAnnouncement

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RNS Number : 7710O  Cirata PLC  14 January 2026

14 January 2026

 

 

Cirata plc

("Cirata" or the "Company")

 

Q4 FY25 Trading Update

 

Cirata plc (LSE: CRTA) today provides an unaudited trading update for the
quarter ended 31 December 2025 (Q4 FY25), together with summary highlights for
FY25. A supporting video presentation with Q&A will be available here
(https://stream.brrmedia.co.uk/broadcast/69664b3e21449c0013b625dd) shortly
after the release of this RNS.

 

 

Key Highlights

·    $13.2m FY25 Data Integration ("DI") bookings; strongest full year
since 2017; an increase of 181% YoY

·    $9.8m Q4 FY25 DI bookings; strongest Q4 DI bookings in the Company's
history

·    $6.7m OEM contract signed, representing the largest OEM contract in
the Company's history

·    $3.1m direct contract 1  (#_ftn1) signed, the largest direct contract
in the Company's history

·    Current annualized cash overheads now stand at 31% of all-time peak,
with management now forecasting cash flow positive in Q1 FY26

 

Stephen Kelly, Chief Executive Officer of Cirata, commented:

"We ended the year with a series of records and firsts. FY25 played out as
highlighted a year ago-back-end loaded with strong Data Integration growth-and
Q4 delivered our largest ever DI bookings quarter; the full year delivered the
highest DI contract value since 2017; and we also secured the largest direct
and OEM contracts in the Company's history. The delivery of multi-year
contracts with blue chip customers and partners represents growing confidence
in Cirata's product roadmap and ability to execute.

 

FY25 was a foundational year for Cirata. The divestment of the DevOps assets
and the launch of Cirata Symphony-our Data Orchestration offering-give the
Company product focus and an expanding addressable market. We rebuilt our GTM
strategy from the ground up, and we are setting records for bookings with a
cost base now running at less than a third of its historic peak.

 

I'm proud of the expansion wins we secured in FY25 and this customer expansion
approach remains a critical part of our growth strategy as we move forward.
Alongside this, and as the year ahead unfolds, we will gradually put other
building blocks in place to broaden our pursuit of growth. Further new product
development is one important element, with customer and market validation and,
ultimately as the new sales team reaches maturity, the acceleration of new
customer wins. Bringing these key building blocks together will be
management's primary focus for FY26."

 

Trading Update

Total Contract Value 2  (#_ftn2) ("TCV") for DI in Q4 FY25 amounted to $9.8m
(Q4 FY24, $2.3m) an increase of 326% YoY. Total contract value for DI in FY25
was $13.2m (FY24, $4.7m) an increase of 181% YoY. Total contract bookings
(including discontinued operations) in FY25 were $13.9m (FY24, $7.1m), an
increase of 96%. Q4 FY25 is the strongest bookings quarter for DI (continuing
operations) in the Company's history and FY25 is the strongest bookings year
for DI since 2017. In total, 6 DI contracts were signed in the quarter (Q4
FY24: 6 DI contracts signed), of which all were growth contracts 3  (#_ftn3) .

 

In Q4 FY25 the Company announced a 3-year DI growth contract of $3.1m for the
deployment of Live Data Migrator ("LDM") with a leading US insurer. The
customer transitioned from a 1-year legacy Fusion product agreement to LDM
with a 3-year commitment. This contract represents the largest direct contract
in Cirata's history. In addition, the Company announced a 3-year DI growth
contract of $6.7m for the deployment of LDM to support a financial services
company through its OEM agreement with IBM. This contract represents the
largest OEM contract in Cirata's history.

 

The expansion wins within existing customers are an important strategic
imperative for sustainable growth. Returning customers with changing
requirements for data volumes, sources and targets, features and formats,
together with improving term commitments, provide a stable environment for
Cirata to build on.

 

On 9 September 2025, the Company announced the commercial launch of Cirata
Symphony, a Data Orchestration platform designed to address the challenges of
enterprise data modernization. Cirata Symphony was developed in response to
the findings of the Project Lighthouse strategic review (the "Lighthouse
Review") -previously communicated to shareholders and designed with direct
customer input. Early interest in Cirata Symphony is encouraging and this is
being reflected in lead generation.  Further information on Cirata Symphony
can be found on the Company's website here (https://cirata.com/whycirata) .

 

On November 27(th), Cirata announced that the Financial Conduct Authority
(FCA) had closed its investigation into the Company with no action taken.

 

 

Completion of DevOps divestment

On 11 August 2025, Cirata announced the completion of the divestment of its
DevOps assets. The divestment followed the Lighthouse Review. On 19 December
2025, Cirata announced the final settlement of the conditional consideration,
with a payment of US$0.9m. The total final consideration received for the
divestment of the DevOps assets therefore amounted to US$3.4m. The DevOps
business was primarily renewal-based in nature. Following the divestment,
renewals are therefore expected to represent a lower proportion of the
Company's overall revenues. The Company is now solely focused on its Data
Integration and Orchestration product offerings, which represents a larger and
more sustainable growth opportunity, with a lower reliance on recurring
renewals.

 

 

Cash and Overheads

Cirata has achieved the realignment of its target cost base, from a $16-$17m
run-rate exiting Q1 FY25 to an annualized total of $12m-$13m exiting Q4 FY25
(less than a third of the peak cash overhead of $41.5m in FY21). The estimated
Q4 FY25 exit run rate is $3.2m.

 

The cash burn in Q4 FY25 was $1.3m, representing a 59% reduction compared to
Q4 FY24.

 

As of 31 December 2025, the unaudited cash position was $4.0m and short-term
trade receivables balance was $3.4m, giving a cash plus short-term receivables
balance of $7.4m.

 

 

Outlook

Overall DI bookings increased by 81% in FY24 and by 181% in FY25, primarily
reflecting growth from existing DI customers.  Cirata has delivered material
improvements to its cost base and demonstrated increasing traction with
existing customers.

 

As we go forward through 2026, we consider the continued success of our
expansion win strategy to be a critical component of our growth. The
additional building blocks that combine to deliver future growth will be
further product development, customer and market validation and, ultimately as
the new sales team beds in and reaches maturity, the acceleration of new
customer wins.  Bringing these additional building blocks together,
gradually, will be the primary focus for management as FY26 evolves.

 

Data Integration and Data Orchestration software solutions are enterprise
product offerings focused on the Global 2000 accounts and are expected to be
non-linear in nature, with revenues and cash flows continuing to be inherently
lumpy and subject to timing effects. Management expects an improvement in
sales activity levels, both through direct sales efforts and via partners.
With the changes led by Dominic Arcari in the Go-to-Market ("GTM"), visibility
is anticipated to improve by mid-year FY26.

The timing and conversion of new business opportunities remain uncertain. At
this early stage of the financial year, and based on current internal planning
assumptions, Management's anticipates the following for FY26:

1.   An anticipated annualized operating expense run-rate of approximately
$12-13m in FY26.

2.   Targeting cash flow positive in Q1 FY26 and planning for cash
break-even for FY26 overall, subject to bookings timing and working capital
movements.

3.   In FY26, Management is introducing Annual Contract Value 4  (#_ftn4)
("ACV") used as a key measure (KPI) of growth given ACV's close alignment with
cash collection.

 

Key performance indicators (KPI)

 

Quarterly Key performance indicators

 KPI                      FY22 Q4  FY23 Q4  FY24 Q4  FY25 Q1  FY25 Q2  FY25 Q3  FY25 Q4
 Headcount                177      112      93       71       67       57       47
 Overheads                $11.1m   $5.7m    $3.6m    $4.6m    $4.1m    $4.0m    $3.6m
 Bookings                 $2.2m    $2.7m    $3.0m    $3.0m    $0.8m    $0.3m    $9.8m
 DI Bookings              $1.2m    $1.5m    $2.3m    $2.4m    $0.7m    $0.3m    $9.8m
 DI Growth (YoY)          -43%     25%      53%      700%     17%      -79%     326%
 DI Activity 5  (#_ftn5)  2        3        6        5        2        4        6
 Cash Burn                $10.3m   $5.5m    $3.2m    $1.4m    $2.2m    $0.8m    $1.3m

 

Annual DI Bookings & Overheads

 KPI              FY22    FY23    FY24    FY25
 DI Bookings      $4.5m   $2.6m   $4.7m   $13.2m
 DI Growth (YoY)  -52%    -42%    81%     181%
 Overheads        $39.7m  $30.3m  $20.6m  $16.3m
 Cash burn        $28.7m  $30.5m  $15.7m  $5.7m

 

 

This announcement contains inside information under the UK Market Abuse
Regulation. The person responsible for arranging the release of this
announcement on behalf of Cirata plc is Stephen Kelly, Chief Executive
Officer.

 

For further information, please contact:

 Cirata                                            +1 (925) 380 1728
 Stephen Kelly, Chief Executive Officer
 Ricardo Moura, Chief Financial Officer
 Daniel Hayes, Investor Relations

 FTI Consulting                                    +44 (0)20 3727 1137
 Matt Dixon / Kwaku Aning / Usama Ali

 Stifel (Nomad and Joint Broker)                   +44 (0)20 7710 7600
 Fred Walsh / Brough Ransom / Ben Good

 Panmure Liberum (Joint Broker)                    +44 (0)20 3100 2000
 James Sinclair-Ford / Rupert Dearden / John More

 

About Cirata

Cirata, accelerates data-driven revenue growth by automating data transfer and
integration to modern cloud analytics and AI platforms without downtime or
disruption. With Cirata, data leaders can leverage the power of AI and
analytics across their entire enterprise data estate to freely choose
analytics technologies, avoid vendor, platform, or cloud lock-in while making
AI and analytics faster, cheaper, and more flexible. Cirata's portfolio of
products and technology solutions make strategic adoption of modern data
analytics efficient and automated.

 

For more information about Cirata, visit www.cirata.com
(http://www.cirata.com)

 

 

 1  (#_ftnref1) Direct contracts are software contracts that are executed
directly with customers, whereas partner contracts are executed via authorized
partners.

 2  (#_ftnref2) TCV is the total committed value of a contract over its full
term; ACV is the annualized value of that contract.

 3  (#_ftnref3) Cirata defines three contract types: Renewals (renewal of an
existing contract, same terms same product), Growth (sale of a new contract to
an existing customer, new terms, and or product) & New (sale to a new
customer).

 4  (#_ftnref4) TCV is the total committed value of a contract over its full
term; ACV is the annualized value of that contract.

 5  (#_ftnref5) Data Integration contracts signed included contracts for
renewals, growth and new.

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