REG - Skillcast Group PLC - Trading Update and Notice of Interim Results

SkillcastAnnouncement

25/07/2024 07:00

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RNS Number : 7176X  Skillcast Group PLC  25 July 2024

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.

 

25 July 2024

 

Skillcast Group plc

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

 

Half Year Trading Update and Notice of Interim Results

 

Skillcast Group plc (AIM: SKL), the provider of SaaS compliance software and
off-the-shelf e-learning, is pleased to announce a trading update for the six
months ended 30 June 2024.

 

The Group expects to report revenues of £6.4 million for H1 2024, a 23%
increase on the comparative period last year (H1 2023: £5.2 million). The
growth continues to be driven by recurring subscription revenues, which
increased 35% on the same period last year to £5.2 million (H1 2023: £3.8
million). The share of the revenue from subscriptions increased to 81% (H1
2023: 75%) of total Group revenues. Revenue from professional services was
£1.2 million (H1 2023: £1.3 million).

 

The Group's ARR* has increased by 27% over the 12 months to June 2024 to
£10.3 million (June 2023 ARR: £8.2 million) and by 11% since the start of
the year (December 2023 ARR: £9.3 million). Growth was supported by the
introduction of our new Premium plan, which enables companies to digitise and
automate their compliance process, and a 7% price increase. Our new e-commerce
self-serve Basic plan for small businesses has also had an encouraging start.
In addition, the Group has introduced new standardised SaaS terms of service,
which are expected to bring efficiencies in upsells and autorenewals in future
years.

 

The Group has made significant progress in terms of profitability and expects
to make a small EBITDA profit in the six months to 30 June 2024 compared to a
loss of £749k in the same period last year, and is well placed to grow
profits further in future periods.

 

The Group had no debt and cash in bank of £8.3 million at 30 June 2024 (31
December 2023: £7.2 million). This represents c. 9.3p per ordinary share in
the Company.

 

Notice of Interim Results

 

The Group will announce its full interim results on 18 September 2024.

 

Vivek Dodd, Chief Executive Officer of Skillcast Group, commented:

 

"We are pleased with the continued growth of our core compliance offering and
the introduction of our Basic and Premium plans in H1 2024. We are excited
about further growth opportunities from learning innovations that we are
developing to improve user engagement and reduce the cost and risks in
corporate compliance. We are encouraged by progress made on our planned return
to profitability and remain committed to our strategy of growing subscription
revenues. We remain confident of delivery of our full-year growth plans for
2024 and beyond."

 

* ARR (Annualised Recurring Revenue) is calculated by annualising revenue
recognised from all client subscriptions on annual contracts in a given month.

 

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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