REG - Eckoh PLC - New Business Update

EckohAnnouncement

06/02/2024 07:00

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RNS Number : 0792C  Eckoh PLC  06 February 2024

6 February 2024

 

Eckoh plc

("Eckoh", the "Group", or the "Company")

New Business Update

 

-       Record total contracted business of £45m already signed by the
end of January

-       Over £20m of total contracted business won to date in H2 FY24

-       New contracted business in H2 FY24 includes over $12m in North
America

 

Eckoh plc (AIM: ECK), the global provider of Customer Engagement Data Security
Solutions, today announces an update on total contracted business(1) and new
contracted business(2) achieved in H2 FY24 by the end of January.

 

In the first half ended 30 September 2023, Eckoh contracted a record level of
business totalling £24.6m. The Group is pleased to report that the strong
levels of contract wins has continued in H2 with over £20m of additional
contracted business closed since 1 October 2023. With two months still
remaining to our financial year end, we have already exceeded the highest ever
order intake for a single year with record total contracted business of £45m
year-to-date, of which c.£18m is new business.

 

As outlined in the interim results announcement on 21 November 2023, the
closure of several sizable enterprise deals where Eckoh was the chosen
supplier had shifted into H2. A number of these contracts have now been
signed. This has led to £12m of new contracted business signed to date in H2,
of which £9.9m ($12.3m) is in North America. Once these new contracts are
implemented during the first half of our new financial year, this will lead to
a meaningful uplift in our exit ARR as at 30 September 2024.

 

The new North American enterprise wins include:

·      a 5-year contract with a US travel technology company that has
multiple global on-line brands in its portfolio;

·      a 5-year healthcare contract with a leading US homecare business;

·      a 3-year contract with one of the largest paediatric
organisations in the US; and

·      a 3-year contract with a Fortune 500 office supplies retailer

 

In line with our strategy these contracts are for multiple products and are
cloud-delivered solutions, while two were won in competitive tender processes.

 

The new UK wins include a 3-year contract with a large UK-based media &
telecommunications provider for voice and chat security worth £2.3m (of which
£0.8m is a renewal of an existing service that has migrated to the cloud).

 

In H2 there have also been some notable contract renewals, including a 3-year
renewal with one of the largest North American insurance groups, which will
see their service migrate to the cloud. We have also renewed for five years
with one of the largest global cruise operators that is a longstanding client,
which again involves a cloud migration.   The move from on premise solutions
to cloud-based deployments is an increasing trend and supports our strategic
objectives to increase the share of cloud-generated revenue and cross-sell
additional solutions to our clients from our comprehensive Secure Engagement
Suite for enterprise contact centres.

 

Nik Philpot, Chief Executive Officer, said:

 

"At our interim results we highlighted that we had achieved a record level of
total contracted business mainly due to several excellent long-term renewals,
but that in the second half we expected this record level to be driven more by
new contracted business. It is pleasing to see the new business coming through
as we anticipated, and this activity, alongside the strong level of contract
renewals in the year to date, underpin our growth expectations for the next
financial year. We have other exciting new business opportunities that remain
well progressed and the Board is hopeful that further contracts will close
before the end of our financial year in 31 March 2024.

 

We are seeing excellent strategic progress with the record levels of contract
wins, increased levels of cross-selling and upselling, and continued growth in
the proportion of cloud-delivered revenue. We are confident that Eckoh is well
placed to consolidate our market leading position by assisting enterprises
with the significant challenges that they are facing globally to keep their
customers' data and engagement secure."

 

Notes:

 

(1)Total contracted business includes new business from new clients and from
existing clients as well as renewals with existing clients.

(2)New contracted business includes new business from new clients and existing
clients.

 

 

For more information, please contact:

 

 Eckoh plc                                                 Tel: 01442 458 300
 Nik Philpot, Chief Executive Officer
 Chrissie Herbert, Chief Financial Officer
 www.eckoh.com (http://www.eckoh.com)

 FTI Consulting LLP                                        Tel: 020 3727 1017
 Ed Bridges / Emma Hall / Valerija Cymbal / Emily Bowen
 eckoh@fticonsulting.com (mailto:eckoh@fticonsulting.com)

 Singer Capital Markets (Nomad & Joint Broker)             Tel: 020 7496 3000
 Shaun Dobson / Tom Salvesen / Alex Bond / Angus Campbell
 www.singercm.com (http://www.singercm.com)

 Investec Bank plc (Joint Broker)                          Tel: 020 7597 5970
 Patrick Robb / Nick Prowting / Shalin Bhamra
 www.investec.com (http://www.investec.com)

 

 

About Eckoh plc

As a global provider of Customer Engagement Data Security Solutions, Eckoh is
all about making the world of data more secure.

 

Our vision is that everyone should be able to trust every brand and engage
without risk to their personal information. We're on a mission to set the
standard for secure interactions between consumers and the world's leading
brands, and our innovative products build trust and deliver value though
exceptional experiences.

 

We're trusted by many of the world's leading brands to help them manage the
personal data from customer enquiries and transactions safely. Our solutions
enable payment transactions to be performed securely and help protect
sensitive personal data across any customer engagement channel and device the
customer chooses.

 

Protected by multiple patents, our solutions remove sensitive personal and
payment data from contact centres and IT environments, as the best way to
secure data is not to collect it. This allows organisations to be not just
compliant but secure, increase efficiency, lower operational costs, and
provide an excellent customer experience.  This is our specialism.

 

Our solutions are delivered globally through multiple cloud platforms or can
be deployed on the client's site. They offer merchants a simple and effective
way to reduce the risk of fraud, secure sensitive data and become compliant
with the Payment Card Industry Data Security Standards ("PCI DSS") and wider
data security regulations.  Eckoh has been a PCI DSS Level One Accredited
Service Provider since 2010, and our extensive portfolio of typically large
enterprise clients spans a broad range of vertical markets including
government departments, telecoms providers, retailers, utility providers and
financial services organisations.

 

For more information go to www.eckoh.com (http://www.eckoh.com/)  or
email MediaResponseUK@eckoh.com (mailto:MediaResponseUK@eckoh.com) .

 

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