REG - Gresham Technologies - Trading Update

Gresham TechnologiesAnnouncement

04/10/2022 07:00

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RNS Number : 6347B  Gresham Technologies PLC  04 October 2022

4 October 2022

Gresham Technologies plc

Trading Update

Strategic Clareti win and key account renewals growth driving FY22 upgrade

Gresham Technologies plc (LSE: "GHT", "Gresham", "Group", "Company"), the
leading software and services company that specialises in providing solutions
for data integrity and control, banking integration, payments and cash
management, is pleased to announce a strong quarter with strategic new name
business and existing key account growth.

Strategic Clareti contract win

On 30 September 2022, one of Europe's largest privately held banking and
financial services firms signed a contract for Clareti Control to replace
legacy vendor products across its global asset management business. The firm
will partner with Gresham to consolidate all reconciliations and data controls
onto a single modern cloud platform. The initial contract has a minimum
five-year term with total committed subscription fees in excess of £1m, with
additional fees for professional services.

ANZ account growth

In late September, the Group's largest customer, Australia and New Zealand
Banking Group Limited ("ANZ"), executed contracts totalling over AUD19m to
cover the period 1 October 2022 to 30 September 2023 contributing to account
growth of approximately 15% over the same period last year on a constant
currency basis. These contracts include uplifts from recurring software,
recurring managed services, consulting services and contracting services, and
provide certainty over the renewal of all existing ANZ business.

FY22 performance and outlook

The Clareti business is continuing to grow strongly in line with expectations.
The Company benefits from a solid pipeline of new opportunities and expects to
close further new subscription business before the end of the year,
contributing to the Group's Annualised Recurring Revenue ("ARR").

With non-Clareti renewals in the ANZ account being higher than planned and
favourable foreign exchange rates, the Company now expects Group FY22 revenues
and earnings to be ahead of market expectations(1), with committed renewals
contributing significantly to FY23 Group revenues.

The Company plans to continue its investment in Clareti whilst confidently
navigating cost pressures and challenging global market conditions.

Ian Manocha, CEO commented:

"We are delighted to be extending our relationship with a key banking customer
as well as welcoming one of Europe's leading asset managers as a new customer
to Gresham. The financial services industry is currently under intense
pressure, and our market leading technology solutions provide for more
effective and efficient operations, as well as enabling innovation and growth.
Furthermore, our cloud, managed service options, and deep industry skills are
very attractive to firms who see partnering as key to their future operating
models.

This was another very positive quarter from our global team in challenging
conditions and we are well prepared to close the financial year strongly."

 

(1) The Company believes that current market expectations for the year
ending 31 December 2022 are revenues of £42.0m and adjusted EBITDA
of £9.2m, with £46.2m and £10.6m respectively for the year ending 31
December 2023.

 

Enquiries

 Gresham Technologies plc                               +44 (0) 207 653 0200
 Ian Manocha / Tom Mullan

 Singer Capital Markets (Financial Adviser and Broker)  +44 (0) 207 496 3000
 Shaun Dobson / Tom Salvesen / Jen Boorer

 Alma PR
 Josh Royston / Hilary Buchanan / Hannah Campbell       +44 (0) 203 405 0205

Inside information

The 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").  Upon the publication of this announcement via a
Regulatory Information Service ("RIS"), this inside information is now
considered to be in the public domain.

Note to editors

Gresham Technologies plc is a leading software and services company that
specialises in providing real-time solutions for data integrity and control,
banking integration, payments and cash management. Listed on the main market
of the London Stock Exchange (GHT.L) and headquartered in the City of London,
its customers include some of the world's largest financial institutions and
corporates, all of whom are served locally from offices located in the UK,
Europe, North America and Asia Pacific.

Gresham's award-winning Clareti software platform is a highly flexible and
scalable platform, available on-site or in the cloud, designed to address
today's most challenging financial control, risk management, data governance
and regulatory compliance problems. Learn more at www.greshamtech.com.

 

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