REG - PCI-PAL PLC - Trading Update

PCI- PALAnnouncement

09/08/2023 07:00

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RNS Number : 6986I  PCI-PAL PLC  09 August 2023

 

 

9 August 2023

 
PCI-PAL PLC
("PCI Pal", "the Company" or "the Group")
Trading Update
 
Strong growth momentum continues - driven by excellent H2 new business
sales performance and continued high retention rates

 

PCI-PAL PLC (AIM: PCIP), the global cloud provider of secure payment solutions
for business communications, is pleased to announce a trading update for the
year ended 30 June 2023 ("FY2023").

 

The Board anticipates full year results to be in line with the Board's
expectations, with revenue growth of approximately 25% to £14.9m (2022:
£11.9m) and adjusted loss before tax for the year estimated to be
approximately £2.3m (2022: £2.9m).

 

As anticipated at the interims, the Company had a very strong H2, signing
£2.7m of new contracts, allowing us to record total new business ACV sales
for the year of £4.2m, a 21% increase on FY2022. Of the new business in the
year, £3.5m was from net new logo sales, a 49% increase on the prior year.

 

Supporting these key growth indicators, PCI Pal's retention metrics continue
to perform well with gross revenue retention (GRR) for the year at over 95%.

 

The Group finished the year with net cash of £1.2m (2022: £4.9m) having
spent £2.0m on the on-going patent case in the year. The Company generated a
positive cashflow in H2 of FY2023, before the costs of the patent case. The
Group has £4.2m of available finance (2022: £4.9m) which includes an undrawn
£3.0m revolving credit facility with its bank HSBC.

 

Unfounded Patent Case Update

Investors are referred to the Company's patent case update included in its
trading update released on 24 May 2023. As indicated, the UK trial was held
across eight days from 12 June 2023. We are now waiting for the judge's ruling
and, once it is received, we will update the market accordingly.

 

The FY2023 results date will be confirmed once the ruling is received.

 

Commenting on FY2023, James Barham, Chief Executive Officer of PCI Pal, said:

 

"PCI Pal has delivered another strong year. We have again proven the
effectiveness of our strategy to be the market leader in secure payment
solutions for the business communications space.

 

"I am particularly pleased with the excellent H2 new business sales achieved.
We continue to drive a strong mix of run-rate small to mid-market size new
logo wins, as well as numerous new enterprise-class contracts particularly in
the US, where we are experiencing significant sales momentum both via our
partner eco-system and direct channel.

 

"We remain highly confident in our position on the unfounded patent claim
being brought against us by a competitor, and we look forward to the UK
court's ruling in the near future.

 

"Overall, the Board is very pleased with the momentum being shown by the
business and we look ahead with confidence to FY2024."

 

 

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the company's obligations under Article 17 of
MAR.

 

 

For further information, please contact:

 

 PCI-PAL PLC                                 Via Walbrook PR
 James Barham - Chief Executive Officer

 William Good - Chief Financial Officer

 finnCap (Nominated Adviser and Broker)      +44 (0) 20 7227 0500
 Marc Milmo/Simon Hicks (Corporate Finance)

 Sunila De Silva (Corporate Broking)

 Walbrook PR                                 +44 (0) 20 7933 8780
 Tom Cooper/Nick Rome                        +44 (0) 797 122 1972
                                             PCIPAL@walbrookpr.com

 

About PCI Pal:

 

PCI Pal is a leading provider of Software-as-a-Service ("SaaS") solutions that
empower companies to take payments from their customers securely, adhere to
strict industry governance, and remove their business from the significant
risks posed by non-compliance and data loss. Our products secure payments and
data in any business communications environment including voice, chat, social,
email, and contact centre. We are integrated to, and resold by, some of the
worlds' leading business communications vendors, as well as major payment
service providers.

 

The entirety of our product-base is available from our global cloud platform
hosted in Amazon Web Services ("AWS"), with regional instances across EMEA,
North America, and ANZ.

 

For more information visit www.pcipal.com (http://www.pcipal.com) or follow
the team on Linkedin: https://www.linkedin.com/company/pci-pal/
(https://www.linkedin.com/company/pci-pal/)

 

 

 

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