Kape Technologies - Trading Update & Notice of Results
17/01/2023 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:20230117:nRSQ9052Ma&default-theme=true
RNS Number : 9052M Kape Technologies PLC 17 January 2023
17 January 2023
Kape Technologies plc
("Kape," the "Company" or the "Group")
Trading Update
&
Notice of Results
Pro forma Adjusted EBITDA above guidance and revenue at the upper end of
guidance
Kape now servicing c. 7.4 million paying subscribers
Kape (AIM: KAPE), the digital security and privacy software business, provides
the following trading update for the year ended 31 December 2022 ("FY 2022").
The Company is pleased to report that 2022 has been Kape's strongest year to
date, with Pro forma Adjusted EBITDA for the full year now expected to exceed
guidance. For FY 2022, revenues are expected to be at the upper end of
guidance at c. $623 million (FY 2021: $230.7 million) and the Pro forma
Adjusted EBITDA is expected to be slightly above guidance at c. $173 million
(FY 2021: $78.0 million). As of 31 December 2022, Kape served c. 7.4 million
paying customers globally, a 12% increase from the previous year.
The integration of ExpressVPN has exceeded expectations; in less than a year
Kape has successfully created one unified team across management, product,
R&D, marketing and customer support. The Company realised $9 million of
synergies in FY 2022 and expects to realise the full planned operational
synergies of $30 million in FY 2023.
In September 2022, the Company completed a significantly oversubscribed
capital raise of $222.5 million (£190.14 million), evidencing strong support
from investors for Kape's ambitious organic and inorganic growth strategy.
In addition, the Company secured new committed debt facilities of $425.0
million in November 2022 with its existing syndicate of lenders and two new
banks, adjusted leverage at the end of the period is below 1x. This new
banking facility replaced all existing debt facilities, and has generated
approximately $20 million in net debt reduction, approximately $8 million in
savings on financing costs, and provides long term financing to support Kape's
continued growth.
Notice of Results
The Group expects to report its results for the year ended 31 December 2022 on
21 March 2023.
Ido Erlichman, Chief Executive Officer of Kape, commented:
"2022 was Kape's most successful year to-date. We not only delivered
substantial profitable growth and executed on our largest integration exercise
to date; we have also been able to further strengthen our balance sheet.
Our overperformance, delivered against a turbulent financial backdrop, further
reinforces the growing demand for superior privacy and security products.
Kape's achievements are a testament to the quality of our products and the
determination of the teams who are delivering them. Kape is now in an enhanced
position to accelerate our ambitious strategy. "
Enquiries:
Kape Technologies plc via Vigo Consulting
Ido Erlichman, Chief Executive Officer
Oded Baskind, Chief Financial Officer
Shore Capital (Nominated Adviser & Joint Broker) +44 (0)20 7408 4090
Toby Gibbs / Mark Percy / James Thomas / Iain Sexton
Stifel Nicolaus Europe Limited (Joint Broker) +44 (0) 20 7710 7600
Alex Price / Brad Topchik / Alain Dobkin / Richard Short
Vigo Consulting (Financial Public Relations) +44 (0)20 7390 0237
Jeremy Garcia / Kendall Hill
kape@vigoconsulting.com
About Kape
Kape is a leading 'privacy-first' digital security software provider to
consumers. Through its range of privacy and security products, Kape focuses on
protecting consumers and their personal data as they go about their daily
digital lives.
Kape has c. 7.4 million paying subscribers, supported by a team of over 1,400
people across ten locations worldwide. Kape has a proven track record of
revenue and EBITDA growth, underpinned by a strong business model which
leverages our digital marketing expertise.
Through its subscription-based platform, Kape has fast established a highly
scalable SaaS-based operating model, geared towards capitalising on the vast
global consumer digital privacy market.
www.kape.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 TSTUNOAROWUAAUR