REG - Rosslyn Data Tech. - Trading Update

Rosslyn Data TechnologiesAnnouncement

05/03/2025 07:00

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RNS Number : 3615Z  Rosslyn Data Technologies PLC  05 March 2025

5 March 2025

 

Rosslyn Data Technologies plc

("Rosslyn" or the "Company")

 

Trading Update

 

Rosslyn (AIM: RDT), the provider of a leading cloud-based spend intelligence
platform, provides the following update on trading for the year ending 30
April 2025.

 

As noted in its interim results announcement, the Company entered the second
half of FY 2025 in a stronger position than at the same point of the prior
year. This was due, in particular, to the Company having secured a major new
client that is a leading global technology company and household name (the
"Major New Client") and strengthening the balance sheet with the completion of
a fundraising. At the same time, the Company also started to benefit from the
initial actions taken to focus  on quality of revenue and increased
operational efficiency.

 

The Company is pleased to report that it is making excellent progress with the
deployment of its initial contract with the Major New Client, which is to
provide the Rosslyn platform to the customer's central procurement department
and which has now entered user acceptance testing. The Company's solution has
been well-received and the Major New Client intends to embed the technology
before rolling it out to further departments, which is now expected to
commence in the Company's next financial year. As a result, some of the
revenue that the Company had anticipated receiving from the Major New Client
in the current financial year is now expected to be received in FY 2026.

 

The Company has continued its focus on prioritising sustainable growth, with
an increased emphasis on cash conservation with the intention of ensuring a
sufficient cash runway until it becomes cash generative, which it expects to
achieve on a monthly basis by the end of FY 2026. Following the implementation
of further cost control measures, the Company's cash burn rate has continued
to reduce in the second half of the year to under £100k per month (H1 2025:
£125k per month).

 

The Company's pipeline remains strong, with customer profiles moving up the
size spectrum and good progress has been made with the new significant
consulting partner that was secured during the first half. Commensurate with
the increase in customer size profiles, timelines for converting some of the
pipeline opportunities have elongated. Nonetheless, the Company continues to
expect to deliver strong growth in the current year and beyond.

 

As a result, the Company now expects to report revenue for FY 2025 of c.
£3.3m, representing year-on-year growth of c. 14% (FY 2024: £2.9m), and a
significant improvement in adj. EBITDA to c. £1.7m loss (FY 2024: £2.5m
loss). The Company expects to report cash and cash equivalents at 30 April
2025 of c. £1.7m (30 April 2024: £0.6m).

 

Paul Watts, CEO of Rosslyn, said: "As highlighted at the time of our interim
results, Rosslyn has significantly strengthened its position compared with
previous years. Having undertaken a comprehensive transformation, we began
executing on our renewed strategy and have had that strategy validated with
the winning of major contracts. Our refocusing on quality of revenues and
prioritisation of cash generation are critical steps towards establishing a
sustainable business. While we have prudently adjusted our revenue projections
for certain contracts, we remain on track to deliver strong growth in FY 2025
and beyond and expect to become cash generative by the end of FY 2026. As a
result, we continue to look to the future with confidence."

 

 

This announcement contains inside information.

 

Enquiries

 

 Rosslyn
 Paul Watts, Chief Executive Officer                                                     +44 (0)20 3285 8008

 James Appleby, Chairman

 Cavendish Capital Markets Limited (Nominated adviser and Broker)
 Stephen Keys/Camilla Hume/George Lawson                                                 +44 (0)20 7220 0500

 Gracechurch Group (Financial PR)
 Claire Norbury/Anysia Virdi                                                             ++44 (0)20 4582 3500

 

 

About Rosslyn

 

Rosslyn (AIM: RDT) provides an award-winning spend intelligence and predictive
analytics platform. The Rosslyn Platform helps organizations with diverse
supply chains mitigate risk and make informed strategic decisions. It
leverages automated workflows, artificial intelligence and machine learning to
extract and consolidate procurement data providing visibility of complex
supplier data, enabling supplier spend savings and delivering rapid ROI. For
more information visit www.rosslyn.ai (http://www.rosslyn.ai) . Investors
wishing to contact the Company should email investors@rosslyn.ai.

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