REG - Skillcast Group PLC - Full Year Trading Update

SkillcastAnnouncement

23/01/2025 07:00

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RNS Number : 3517U  Skillcast Group PLC  23 January 2025

 

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.

 

23 January 2025

 

Skillcast Group plc

("Skillcast", the "Group", or the "Company")

 

Full Year Trading Update

Continued strong ARR growth and a return to sustained profitability

 

 

Skillcast (AIM:SKL), the provider of SaaS compliance software and
off-the-shelf e-learning, is pleased to announce a trading update for the year
ended 31 December 2024.

 

The Group's revenue for 2024 is expected to be c.£13.3 million, 18% higher
than the previous year (2023: £11.3 million). The revenue growth is entirely
organic and driven by strong growth in recurring subscription revenues, which
increased by 29% to c.£11.0 million (2023: £8.5 million). As anticipated,
professional services revenues were 17% below the previous year at c.£2.3
million (2023: £2.8 million). Recurring subscription revenues represented 83%
of total Group revenues in 2024 (2023: 76%).

 

The ARR* grew by 25% from £9.3 million in December 2023 to £11.6 million in
December 2024, driven by new customer acquisition and sales of new products.
This, combined with a strong pipeline of new business, means that the Group is
well-positioned to continue to achieve its revenue objectives over the next
year.

 

EBITDA for 2024 is expected to be in line with market expectations at c.£0.5
million (2023 LBITDA: £0.6 million). This was all generated in the last 6
months of the year, and follows two years of investment after the Company's
admission to AIM in late 2021.

 

The Group's net cash position at 31 December 2024 was £9.1 million (31
December 2023 net cash: £7.2 million). This represents c.10p per ordinary
share in the Company.

 

The Company expects to announce its full-year results and recommend a final
dividend for the year ended 31 December 2024 in April 2025.

 

Vivek Dodd, CEO of Skillcast, said:

"We are delighted with another year of strong performance and a return to
sustained profitability as expected following our planned investment phase.
Over the three years since our IPO in December 2021, this investment has
enabled us to double the size of our recurring subscription business,
significantly increasing our scale and breadth of offer.

We expect that our SaaS business model and innovative product releases, like
Aida - our AI digital learning assistant, will continue driving ARR growth and
increasing EBITDA margins further in 2025. We look forward to sharing more
details when we announce our full-year results in April."

 

 

* ARR is calculated by annualising revenue recognised in a given month from
all client subscriptions on annual contracts

 

For further information, please contact:

 Skillcast Group plc                                          +44 (0) 207 929 5000

 Richard Amos, Chairman

 Vivek Dodd, CEO

 Richard Steele, CFO

 Allenby Capital Limited (Nominated Adviser and Broker)       +44 (0) 203 328 5656

 James Reeve / Piers Shimwell (Corporate Finance)

 Jos Pinnington / Tony Quirke (Corporate Broking and Sales)

 

About Skillcast Group plc

Skillcast helps companies build ethical, inclusive, and resilient workplaces.
It provides content and technology to digitise and streamline compliance
processes and manage them from a single compliance portal. Its product range
includes a Learning management system with comprehensive off-the-shelf
compliance course libraries, a Policy hub, Staff declarations, Anonymous
surveys, CPD tracking, and compliance registers for gifts, expenses, PA
dealing, whistleblowing.

 

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