REG - Cordel Group PLC - Full Year Unaudited Trading Update

CordelAnnouncement

18/07/2022 07:00

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RNS Number : 7261S  Cordel Group PLC  18 July 2022

18 July 2022

Cordel Group PLC

("Cordel" or the "Company" or the "Group")

 

Full Year Unaudited Trading Update

 

Cordel Group PLC (AIM: CRDL), the Artificial Intelligence platform for
transport corridor analytics, is pleased to announce a full year trading
update for the twelve months ended 30 June 2022.

 

Cordel Group PLC Full Year Comparison

 

 GBP 000's                                                   Twelve months to 30 June 2022*  Twelve months to 30 June 2021**  % Change  % Change constant currency
 Total Revenue                                               2,279                           1,690                            35%       33%
 Cost of sales                                               -676                            -604                             12%       11%
 Total expenses                                              -3,306                          -2,933                           13%       12%
 Grant Income***                                             303                             601                              -50%      -52%
 Other Income                                                8                               23                               -65%      -63%
 Loss before Income tax                                      -1,392                          -1,223                           14%       15%

 

* Constant currency reflects the results had the underlying transactional
currencies been constant in both periods reported. 52% of revenue for the
twelve months to June 2022 was predominantly in Australian dollars.

** As per FY2021 audited Financial Statements

*** Estimate until R&D return is lodged

 

Key Highlights for the Period

·    First significant contract with SEPTA, arising from Holland LP
partnership in the USA.

·    Network Rail (UK) long term Railway Gauging Data Solution contract
awarded.

·    One Rail Australia ballast profile analysis contract won (signed July
2022).

·    Network Rail High Speed contract awarded.

·    Total revenue up 35% in reported currency and up 33% in constant
currency.

·    Total expenses increased by 13% (12% in constant currency), with
additional hardware and software engineers, and market development staff
employed during the period.

·    Grant income reduced, with Australian COVID-19 support not being
replicated in FY22.

·    Cash balance and trade receivables as at 30 June 2022 was £988,785,
improving on the 31 March 2022 balance of £852,098.

 

 

Nick Smith, CEO of Cordel, commented:

"Building on our momentum from FY21, we enjoyed significantly increasing
engagement with our target markets in FY22, however customer decision time
frames were unusually stretched out, impacting revenue in the period.  We
achieved a 35% revenue growth result, but importantly now hold a strong deal
pipeline resulting from the backlog.  This, coupled with the development of
new partnerships, products and capabilities in our solution platforms, gives
us great confidence for the 2023 fiscal year."

 

Ian Buddery, Chairman of Cordel, commented:

"Our focus in the last 12 months has been on improving the depth and
reliability of our revenue forecasts, while building a stronger pipeline of
qualified opportunities.  The benefits of this began to flow in the second
half of FY22, where total revenue for the half year was £1,675K, close to the
previous full year result.  Looking forward, we believe that our automated
track inspection technology is of increasing relevance to the modern rail
industry and considerable growth opportunities are available."

 

 

 

Enquiries:

 

 Cordel Group PLC                           c/o SEC Newgate
 Ian Buddery, Chairman

 Nick Smith, CEO

 Arden Partners plc Broker                  +44 (0)20 7614 5900
 Ruari McGirr

 Strand Hanson Limited Nominated Advisor    +44 (0)20 7409 3494

 Richard Johnson / James Bellman

 SEC Newgate (Financial PR)                 +44 (0)7540 106366
 Robin Tozer / Bob Huxford / George Esmond  cordel@secnegwate.co.uk

 

About Cordel

Cordel produces specialist hardware and software for capturing, analysing and
reporting on large datasets within the transport sector, employing
sophisticated artificial intelligence algorithms.

Further information on the Company is available at: www.cordel.ai
(http://www.cordel.ai)

 

The information contained within this announcement is deemed to constitute
inside information as stipulated under the Market Abuse Regulations (EU) No.
596/2014, which is part of UK law by virtue of the European Union (Withdrawal)
Act 2018. Upon the publication of this announcement, this inside information
is now considered to be in the public domain.

 

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