Osirium Technologies - Trading Update

Osirium Technologies

08/07/2022 07:00

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RNS Number : 7532R  Osirium Technologies PLC  08 July 2022

The information contained within this announcement is deemed by the Company to
constitute inside information pursuant to Article 7 of EU Regulation 596/2014
as it forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 as amended.

 

8 July 2022

 

Osirium Technologies plc

("Osirium" or the "Group")

 

Trading Update

 

Record half year performance for bookings and revenue

 

Osirium Technologies plc (AIM: OSI), a leading vendor of cloud-based
cybersecurity and IT automation software, announces an update on trading for
the six months ended 30 June 2022.

 

The positive trading momentum reported in the Company's Q1 2022 trading update
has continued through Q2, and the Board expects to report the Group's best
six-month figures for bookings and revenue:

 

 ·         Bookings increase of 30% to not less than £1.18 million (1H 2021: £0.91
           million), with more than 50% of the value coming from new customer wins
 ·         Revenue of £0.91 million (1H 2021: £0.74 million)
 ·         Deferred revenue increased 14% to £1.91 million (1H 2021: £1.68 million),
           providing enhanced visibility
 ·         Debtors and cash balances as at 30 June 2022 were £0.61 million

 

The Board recognises that annualised recurring revenue ("ARR") is a key
industry measurement of the size of a SaaS Company's subscription revenues and
has decided to adopt this as a key performance indicator going forward. For
June 2022, the Group's ARR* was £1.61 million, an increase of 11% since the
start of the year (December 2021: £1.45 million) and 29% over the past 12
months (June 2021: £1.25 million).

 

The Group is pleased to report a continuing increase in average contract size
amongst its new customer acquisitions. New contracts have been signed across a
range of sectors during the period, including notable wins in healthcare,
higher education and financial services. The Group expects these markets to
continue to be key growth drivers in H2 and beyond.

 

In line with its land-and-expand strategy, Osirium has also expanded licenses
with existing customers, including with a number of the Group's NHS customers
signed in 2021.

 

Aided by its international channel partner network of resellers and
distributors, the Group has signed deals in two new geographies, the USA and
Finland, during H1.

 

The Group has seen the continued strong growth of its newer products.
Increasing numbers of PAM customers are adding PPA and PEM to their
environments and the Group also announced its first deals where these products
were the main component during H1. The growth in demand for these products
provides the important opportunity for cross-selling and up-selling.

 

Reflecting this cross-selling opportunity, Osirium is pleased to announce it
has signed a contract expansion with an existing customer, a major UK provider
of telephony and broadband services. Initially signed as a 36-month PAM deal
in December 2020, this customer has now expanded its scope to include
Osirium's PPA and PEM solutions. This sale, won in conjunction with Osirium's
channel partner Nomios, is the first where all three Osirium privileged
security products will be utilised.

 

With a good pipeline of opportunity ahead, an enhanced base of deferred
revenue and an ongoing trend towards privileged security procurement, the
Board remains confident of meeting revenue and bookings guidance for the full
year. The Board maintains a focus on balancing investment alongside managing
costs and will continue to ensure the appropriate structures are in place to
support the growth strategy. As announced at the time of the Group's
fundraising in February 2022, the Group will be required to raise additional
capital in the second half of 2022 and the Board continues to assess all
available options in this regard.

 

The Group expects to report its interim results for the period in September
2022.

 

* ARR is calculated by annualising revenue recognised in a given month from
all clients on deployed subscription contracts

 

David Guyatt, Chief Executive Officer of Osirium said:

 

"Our record half for bookings and revenue shows the continued drive in the
business as we increase our customer base as well as average total contract
values. This is facilitated through the expansion of our products and
additional licenses and our well-established channel partner network which
extends into new territories underserved by our competitors.

 

"There remains an opportunity to scale the business significantly and I am
pleased with the progress made in the first half of the year."

 

 Contacts:

 Osirium Technologies plc                                Tel: +44 (0)1183 242 444
 David Guyatt, CEO
 Rupert Hutton, CFO

 Allenby Capital Limited (Nominated adviser and broker)  Tel: +44 (0)20 3328 5656
 James Reeve / George Payne (Corporate Finance)
 Tony Quirke (Sales and Corporate Broking)

 Alma PR (Financial PR adviser)                          Tel: +44 (0)20 3405 0205
 Hilary Buchanan                                         osirium@almapr.co.uk
 Kieran Breheny
 William Ellis Hancock

 

 

About Osirium Technologies Plc

 

Osirium Technologies plc (AIM: OSI) is a leading UK-based cybersecurity
software vendor delivering Privileged Access Management (PAM), Privileged
Endpoint Management (PEM) and Osirium Automation solutions that are uniquely
simple to deploy and maintain.

 

With privileged credentials involved in over 80% of security breaches,
customers rely on Osirium PAM's innovative technology to secure their critical
infrastructure by controlling 3(rd) party access, protecting against insider
threats, and demonstrating rigorous compliance. Osirium Automation delivers
time and cost savings by automating complex, multi-system processes securely,
allowing them to be delegated to Help Desk engineers or end-users and to free
up specialist IT resources. The Osirium PEM solution balances security and
productivity by removing risky local administrator rights from users, while at
the same time allowing escalated privileges for specific applications.

 

Founded in 2008 and with its headquarters in Reading, UK, the Group was
admitted to trading on AIM in April 2016. For further information please visit
www.osirium.com (http://www.osirium.com/) .

 

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