REG - Osirium Technologies - Half Year Trading Update

Osirium TechnologiesAnnouncement

18/07/2023 07:00

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RNS Number : 2822G  Osirium Technologies PLC  18 July 2023

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.

 

 

18 July 2023

 

Osirium Technologies plc

("Osirium" or the "Group")

 

Half Year Trading Update

 

Strong ARR growth reflecting customer demand

 

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 2023.

Trading

The Board is pleased to report that Osirium's annual recurring revenue ("ARR")
has increased by 34% over the 12 months to 30 June 2023 to £2.16 million (30
June 2022 ARR: £1.61 million) and by 20% since the start of the year
(December 2022 ARR: £1.8 million).

Bookings for the period are expected to be at least £1.22 million (H1 2022:
£1.18 million) and revenue is expected to be no less than £1.1 million (H1
2022: £0.9 million), representing a 4% and 18% increase on H1 2022
respectively. Deferred revenue at 30 June 2023 was £2.9 million (30 June
2022: £1.9 million).

Osirium has continued to grow within its target sectors in the first half,
with over 20 new customers signed so far in the year. This includes several
contract wins in the UK healthcare sector, where the Group has established a
reputation as a key provider of privileged security. This reputation
contributes to Osirium's pipeline via referrals to prospective customers and
direct approaches from resellers.

ARR growth was driven by new customer wins and a high rate of renewals. A
significant proportion of Osirium's customer base increased their license
capacity or expanded their range of products during the period, underlining
the strength of the Group's land and expand strategy.

Following receipt of the Group's research and development tax credit, as
announced on 13 June 2023, the Company's cash balance as at 30 June 2023 was
£0.22 million, with short-term debtors of £0.40 million. The previously
announced cost savings measures identified by the Group in Q4 FY22 have been
fully implemented during the period, and the Board continues to keep all costs
under review with a view to reducing the timeframe by which the Group will
become cash flow break-even.

The strength of Osirium's offering is reflected in its speed and simplicity of
implementation and tailored user experience. Reflecting this, the Group is
pleased to announce it has recently been named by independent researchers,
SoftwareReviews, as a 'flagship leader' in Privileged Access Management. The
report ranked Osirium number one for vendor support, while also being 'top
rated' in 14 other categories including usability and intuitiveness, ease of
implementation, and ease of customisation. The report, assessing 14 PAM
providers, awarded Osirium a Gold Medal for its overall score of 8.7/10,
outperforming other major players within privileged security(1).

Outlook

The Group is pleased to report a strong start to H2 2023, with a healthy
pipeline underlined by a growing pool of prospective new customers, as well as
expected customer renewals, and contract expansions and upsells which are
expected to contribute to an increase in ARR at FY23.

Notwithstanding the positive trading momentum in the first half of the year,
the Directors anticipate that the Company will be required to raise additional
capital before the end of the year and are exploring all options in this
regard. The Company has also identified additional cost saving measures which
are being implemented.

The Group expects to announce its interim results in September 2023.

(1) https://www.softwarereviews.com/products/osirium-pam
(https://www.softwarereviews.com/products/osirium-pam)

Stuart McGregor, Chief Executive Officer of Osirium, commented:

"We are pleased to deliver a period of significant annual recurring revenue
growth, reflecting the sizeable market demand for privileged security and the
effectiveness our land and expand strategy.

"Enabled by our channel partner network, we are seeing our positive reputation
and strong industry relationships unlocking new opportunities throughout the
half. On this note, I'm delighted to see our status as an agile, easy to
deploy provider recognised by SoftwareReviews.

"The momentum seen in H1 has continued to date and, with a healthy pipeline of
opportunities ahead, we look forward to the second half with confidence."

 Contacts:

 Osirium Technologies plc                                      Tel: +44 (0)1183 242 444
 Stuart McGregor, Chief Executive Officer
 Rupert Hutton, Chief Financial Officer

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

 Alma PR (Financial PR adviser)                                Tel: +44 (0)20 3405 0205
 Hilary Buchanan                                               osirium@almapr.co.uk (mailto:osirium@almapr.co.uk)
 Kieran Breheny
 Will 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 3rd 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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