REG - Cornerstone FS PLC - Trading Update - Strong Q1 revenue

Cornerstone FSAnnouncement

20/04/2022 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220420:nRST6701Ia&default-theme=true

RNS Number : 6701I  Cornerstone FS PLC  20 April 2022

Certain information contained within this Announcement is deemed by the
Company to constitute inside information as stipulated under the Market Abuse
Regulation (EU) No. 596/2014 ("MAR") as applied in the United Kingdom. Upon
publication of this Announcement, this information is now considered to be in
the public domain.

 

20 April 2022

 

Cornerstone FS plc

("Cornerstone" or the "Company" or the "Group")

 

Trading Update

Strong Q1 revenue

 

Cornerstone FS plc (AIM: CSFS), the cloud-based provider of international
payment, currency risk management and electronic account services to SMEs,
provides an unaudited update on trading for the first quarter ended 31 March
2022.

 

As announced on 14 January 2022, the Group expects to report annual revenue
growth, subject to audit, of approximately 38% to £2.3m for full year 2021
(2020: £1.7m). As the Directors anticipated, this strong trading momentum has
continued into the new year. For the first quarter of 2022, Cornerstone
achieved underlying revenue growth across the business and received the first
contribution to revenue from Capital Currencies, which the Group acquired
during the period. As a result, total unaudited revenue for Q1 2022 was
approximately £946k; the Group's highest ever unaudited quarterly revenue.
Excluding the contribution from acquisitions, the Group's three month Q1 2022
unaudited revenue of approximately £888k has surpassed the six month revenue
reported by the Group for H1 2021 of £837k.

 

Revenue generated by clients that the Group serves directly continued to
increase significantly during Q1 2022 to approximately 77% compared with 28%
for the first half of the previous year. A key contributor to this was the
Group's Asia team that was brought on board in the second half of 2021 As
announced in its trading update on 14 January 2022 this change to majority
direct revenue has had a positive impact on the Group's gross margin,
increasing to approximately 51.5% for the full year 2021 (unaudited) from
29.8% for the full year 2020.

 

The Board remains confident in the Group's prospects and looks forward to
updating the market on further progress in its audited results for the year
ended 31 December 2021, which it intends to announce in June 2022.

 

 

Enquiries

 

 Cornerstone FS plc                         +44 (0)203 971 4865
 Julian Wheatland, Chief Executive Officer

 Judy Happe, Chief Financial Officer

 SPARK Advisory Partners Limited (Nomad)    +44 (0)203 368 3550
 Mark Brady, Neil Baldwin

 SP Angel Corporate Finance LLP (Broker)    +44 (0)203 470 0470
 Jeff Keating, Harry Davies-Ball

 Luther Pendragon (Financial PR)            +44 (0)207 618 9100
 Harry Chathli, Claire Norbury

 

About Cornerstone FS plc

 

Cornerstone FS plc is a payments focused fintech business that makes managing
currency simple for SMEs. It provides international payment, currency risk
management and electronic account services using a proprietary cloud-based
multi-currency payments platform. These services are delivered directly and
via white label partners on a SaaS basis to UK-based SMEs that engage in
international trade. Cornerstone also serves some high-net worth individual
clients.

 

Headquartered in the City of London with offices in Tunbridge Wells and Dubai,
Cornerstone is admitted to trading on AIM under the trading symbol 'CSFS'. For
more information, please visit www.cornerstonefs.com.

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  TSTBKCBKDBKBDQD