REG - Mobile Tornado Group - Full Year Trading Update

Mobile TornadoAnnouncement

01/02/2022 07:00

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RNS Number : 2270A  Mobile Tornado Group PLC  01 February 2022

This announcement contains Inside Information for the purposes of Article 7 of
EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the
European Union (Withdrawal) Act 2018). Upon the publication of this
announcement this Inside Information is now considered to be within the public
domain.

 

1 February 2022

 

Mobile Tornado Group plc

("Mobile Tornado", the "Company" or the "Group")

 

Full Year Trading Update

 

Mobile Tornado (AIM: MBT), a leading provider of resource management mobile
solutions to the enterprise market, announces a trading update ahead of the
publication of its audited results for the year ended 31 December 2021, which
are expected to be announced during the week commencing 28 March 2022.

 

The Directors currently expect unaudited revenues for the six months to 31
December 2021 to be approximately £1.29m with an approximate EBITDA loss of
£30k. As a result, based on unaudited management accounts and subject to
audit, full year revenues for 2021 are expected to be approximately £2.52m
with an EBITDA* loss of approximately £20k.

 

Despite the continuing impact of COVID-19 across all of the Group's main
markets during 2021, the Directors are pleased to report that the Group's
recurring revenues remained stable at approximately £2.07m (2020: £2.04m).
Non-recurring revenues were approximately £0.45m compared to £0.49m in 2020.
The Company has delivered further efficiencies in operations, driven by the
continuing performance improvements of its technical platform, which has
resulted in total operating expenses falling to approximately £2.47m in the
year 2021 from £2.72m in 2020.

 

As detailed in the interim results announced in September 2021, the Company
has developed a comprehensive resource management solution, combining the
current Push to Talk ('PTT') application with workforce management
functionality ('WFM') and mobile device management ('MDM'). The target market
will continue to be businesses with remote workforces, but initially the focus
will be on the security, hospitality and public utility verticals. The Board
is pleased to report that the resource management solution has been launched
to a number of customers and the feedback received to date has been very
positive. The Company's website has been relaunched to better capture the
broader service offering and the Board look forward to making further advances
with new partners and customers during the 2022 financial year.

The Board were disappointed to lose the customer in Canada, as announced on 1
December 2021. The loss of this customer has created a shortfall as the
Company moves into the new financial year and the Directors and employees are
working hard to bridge this gap, through further operational efficiencies, and
renewed efforts to close out deals that have stalled as a result of the
disruption caused by COVID-19 related restrictions in the Group's key markets.
The Company is also exploring new routes to market, to ensure that its
enhanced proposition is given the opportunity to deliver its full potential.
The Board will update further on these initiatives when the Company reports
its full year results at the end of March 2022.

 

 

*EBITDA refers to earnings before interest, tax, depreciation, amortisation
and exchange rate gains or losses

 

Enquiries:

 

 Mobile Tornado Group plc                          +44 (0)7734 475 888
 Jeremy Fenn, Chairman                             www.mobiletornado.com (http://www.mobiletornado.com/)

 Allenby Capital Limited                           +44 (0)20 3328 5656

 (Nominated Adviser & Broker)
 James Reeve / Piers Shimwell (Corporate Finance)

 David Johnson (Sales and Corporate Broking)

 Walbrook PR Ltd                                   +44 (0)20 7933 8780
 Paul Vann/Nick Rome                               mobiletornado@walbrookpr.com

 

About Mobile Tornado

 

Mobile Tornado is a leading provider of Resource Management solutions combined
with critical communications for Tier 1 mobile operators and solution
providers. The Company's range of solutions include Instant Talk, Instant
Locate, Instant Alert and Instant Message as well as an advanced Dispatch
Console. These services have been supplemented by a sophisticated suite of
tools to manage employees and other assets, while reducing manual tasks and
lowering cost of ownership.

 

 

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