REG - Smartspace Software - Trading Update

Smartspace SoftwareAnnouncement

15/02/2022 07:00

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RNS Number : 7065B  Smartspace Software PLC  15 February 2022

 

 

15 February 2022

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulation
(EU) No. 596/2014 ("MAR").  Upon the publication of this announcement via a
Regulatory Information Service ("RIS"), this inside information is now
considered to be in the public domain.

SmartSpace Software Plc

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

Trading Update

For the year ended 31 January 2022

Notice of Investor Meet Company Presentation | 11am on Thursday 17 February
2022

SmartSpace Software plc, (AIM:SMRT) the leading provider of 'Integrated Space
Management Software' for smart buildings and commercial spaces, is pleased to
announce a trading update following the Company's year end of 31 January 2022.

The Group has been progressing its objective to build a high growth SaaS
business with strong recurring revenues. Further to the trading update issued
on 14 January 2022, we are pleased to confirm that results for the full year
ending 31 January 2022 are expected to be slightly ahead of market
expectations.

 

Financial Highlights:

·      Revenue for the year ended 31 January 2022 up 15% to £5.3m
(FY21: £4.6m)

·      Continued strong momentum of Annual Recurring Revenue ("ARR") up
64% year on year to £4.9m as at 31 January 2022 (FY21 :£3.0m restated to the
prevailing exchange rate at 31 January 2022)

·      Recurring revenue up 50% to £3.6m (FY21: £2.4m)

·      Adjusted LBITDA expected to be not more than £2.5m (FY21:
£2.1m) slightly ahead of market expectations

·      The Group had gross cash of £2.76m as at 31 January 2022, ahead
of market expectations (31 July 2021: £3.37m)

Operational Highlights:

SwipedOn

·      SwipedOn ARR increased by 57% year on year to £4.2m at 31
January 2022 (FY21: £2.7m restated to the prevailing exchange rate at 31
January 2022)

·      Monthly average revenue per user ("ARPU") increased by 58% year
on year to $154 (£75) at year end (FY21: $97 (£48) restated to the
prevailing exchange rate at 31 January 2022)

·      SwipedOn locations increased to 7,076 as at 31 January 2022
(FY21: 6,741) as SwipedOn continues to target higher value, multi-location
customers

·      SwipedOn Desks now available to the entire customer base with
positive feedback received to date

·      SwipedOn has been ranked No. 1, in the 2021 Crozcore Visitor
Management Software Awards, scoring 95/100 based on the scoring methodology

Space Connect

·      ARR up 291% to £0.61m in the year to 31 January 2022 (FY21:
£0.16m) driven through the continued strong progress from its reseller
channels

·      At 31 January 2022 Space Connect had 69 customers, an increase of
28 new customers from 31 July 2021

·      Space Connect partners network has grown to include partners in
Philippines, Poland, India, Ireland, Canada, Belgium and USA

·      Sales of Evoko Naso in line with current conservative forecasts,
in light of a more gradual return to the office, as a result of the ongoing
challenges of Covid-19. Evoko remains optimistic regarding the future sales
trajectory of Naso moving through 2022

 

Anders & Kern (A+K)

·      As a result of work from home directives, A+K revenue to 31
January 2022 decreased to £1.73m (FY21: £2.28m)

SmartSpace expects to announce its Final Results for the year ended 31 January
2022, in May 2022.

Frank Beechinor, CEO of SmartSpace, commented:

"Both SwipedOn and Space Connect have continued to achieve strong growth since
our last two trading updates in October 2021 and January 2022. We are
encouraged by the strong growth in ARR and ARPU, despite the work from home
policies which persisted in the UK and USA until recently. In other markets,
such as Australia, we have seen a strong resurgence since coming out of
lockdown in the Autumn. The recent push to return to the office has seen a
significant pick up in orders and movement in our sales pipeline, in
particular in the UK. While Evoko Naso sales continue to be slower than we
would like to see, they are in line with our current forecasts and we share
Evoko's confidence in the medium and long-term potential of Naso. A major
determinant of this will be the return to the office in Evoko's major markets
in Europe and North America.

 

Consolidation in our market has continued apace, evidenced by a number of
major competitors being acquired at exceptionally high ARR multiples over the
past few months.

 

Our focus remains on becoming a leading, global workplace optimisation SaaS
business, delivering continued growth in ARR and ARPU. Our launch of SwipedOn
in South Korea is imminent and we will report further on this in due course.

 

We are excited by the opportunities that lie ahead and are focused on
delivering significant growth across the Group."

 

Investor Meet Company Presentation

Frank Beechinor, CEO and Kristian Shaw, CFO will provide a live presentation,
relating to the Trading Update, via the Investor Meet Company platform,
on 17 Feb 2022 at 11:00am GMT.

The presentation is open to all existing and potential shareholders. Questions
can be submitted pre-event via your Investor Meet Company dashboard up until
9am the day before the meeting or at any time during the live presentation.

Investors can sign up to Investor Meet Company for free and add to
meet SMARTSPACE SOFTWARE PLC via:

https://www.investormeetcompany.com/smartspace-software-plc/register-investor
(https://www.investormeetcompany.com/smartspace-software-plc/register-investor)

Investors who already follow SMARTSPACE SOFTWARE PLC on the Investor Meet
Company platform will automatically be invited.

 

 

Enquiries:

 SmartSpace Plc                                                     via Lisa Baderoon

 Frank Beechinor (CEO)

 Kris Shaw (CFO)

 Lisa Baderoon (Head of Investor Relations)                         +44 (0) 7721 413 496

 lbaderoon@smartspaceplc.com (mailto:lbaderoon@smartspaceplc.com)

 Singer Capital Markets(NOMAD and Joint Broker)                     + 44 (0) 20 7496 3000

 Shaun Dobson

 Tom Salvesen

 Jen Boorer

 Alex Bond

 Canaccord Genuity (Joint Broker)                                   +44 (0) 20 7523 8000

 Adam James

 Georgina McCooke

About SmartSpace Software Plc

SmartSpace Software Plc is a SaaS-based technology business, designing and
building smart software solutions. The Company's software solutions help
transform employee engagement with modules which include visitor management,
desk management, meeting room management and analytics.

The three operating companies in the Group comprise:

·    Space Connect - SaaS meeting room and desk booking
(www.spaceconnect.co (http://www.spaceconnect.co/) )

·    SwipedOn - SaaS visitor management, desk booking (www.SwipedOn.com
(http://www.swipedon.com/) )

·    Anders & Kern - distribution and technical support
(www.anders-kern.co.uk (http://www.anders-kern.co.uk/) )

For more information go to: www.smartspaceplc.com
(http://www.smartspaceplc.com)

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