REG - Smarttech247 Group - Year-end trading update and proposed delisting

Smarttech247Announcement

26/09/2025 07:00

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RNS Number : 9139A  Smarttech247 Group PLC  26 September 2025

Certain 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") as applied in the United Kingdom. Upon
publication of this Announcement, this information is now considered to be in
the public domain.

26 September 2025

Smarttech247 Group PLC

 

("Smarttech247", the "Group" or the "Company")

 

Year-end trading update and proposed delisting

 

Smarttech247 (AIM: S247), a multi-award-winning provider of AI-enhanced
cybersecurity services providing automated managed detection and response for
a portfolio of international clients,  announces a trading update for the
year to 31 July 2025 ("FY2025"). The Board is also announcing a proposed
cancellation of the Company's admission to trading on AIM.

 

This financial year has been another period of further strategic development
for the Group. We have secured major new customer contracts and expanded our
platform and product offerings. Notably, we have entered into new agreements
with leading companies across the automotive, hospital, pharmaceutical,
financial services, security, transport and public sectors. Furthermore, we
have become an elite partner to Splunk, enhancing our service and platform
capabilities.

 

Notable Wins in FY2025

The Company has secured numerous multi-year contracts during  FY2025. Notable
wins and renewals include:

·      Extension of Irish hospital contract (€500k over 4 years).

·      Appointed to London airport cybersecurity framework (potential
£7m over 5 years).

·      3-year MDR contract with Irish hospital group (€210k).

·      1-year automotive renewal (€1m).

·      3-year MDR renewal & service expansion with global pharma
business ($2.87m).

·      1-year renewal with large US automotive client ($405k).

·      2-year VisionX MDR renewal with Irish financial services firm
(€343k).

·      3-year data security contract with US motion control leader
($548k).

·      3-year extension with Irish hospital (€92k).

·      2 new 3-year NoPhish email security contracts (€53k).

 

These contract wins showcase not only the Company's progress at extending its
client wins but also an excellent client retention rate within its MDR
clients, clearly demonstrating the quality of the service that we provide.

Against this background, we are therefore pleased to report that we expect
revenue for the year ended 31 July 2025 to be ahead of market guidance.

Furthermore, recurring revenue for FY2025 represents approximately 74% of
total unaudited revenues for the year compared to 61% for FY2024, which is a
key performance indicator reflecting the Group's growing strength and
resilience. This significant increase underscores our success in securing
long-term, sustainable revenue streams, and it positions us strongly for
continued expansion in the coming years.

Also, during the year, we sold our shareholding in Getvisibility, resulting in
a significant profit, and a cash inflow to the Group of €1.8 million, which
has enhanced the Group's financial position.

 

Margins have been slightly softer than originally anticipated, which is
expected to result in trading EBITDA and operating profit to be less than
current market guidance for the period. If the profit from the sale of the
Company's stake in Getvisibility were included, overall EBITDA would be more
in line with market guidance. The Board has initiated a programme to drive
operational efficiency through increased automation and a sharper focus on
higher-margin Managed Detection and Response services. With the continued
growth in our percentage of recurring revenue, these actions are expected to
enhance scalability and support sustained margin improvement over time.

Outlook

Our positive momentum has continued into FY2026 with a number of further
contract wins.  In particular,  we have just secured a 4-year VisionX MDR
contract with a major UK transportation services company worth approximately
£715,000. The Company has also received a letter of intent for a 3-year MDR
contract with a leading European bank. Smarttech247 has also secured a 1-year
deal with a public transportation company and a 1-year deal with a major UK
airport, both for dark web monitoring services, with a combined worth of
€80,000. The Company has also won a 6-month MDR contract with a global
aviation services company (worth €180,000, with a potential 3-year extension
due in January 2026).

The sales pipeline also continues to increase compared to the previous period,
thereby building momentum and positioning us for continued success. With
several new contracts, as described above, we expect the positive impact of
these wins to be realised progressively in our recurring revenue during this
current financial year and into the next. Going forward, the Company remains
well-positioned and well-funded for growth in an exciting sector and with a
customer base that clearly values the services that the Company is able to
provide.

Proposed Delisting and Strategic Rationale

The Board has carefully considered the benefits and drawbacks of maintaining
the Company's public quotation and has concluded that the Group is
significantly undervalued on public markets, despite its year-on-year revenue
growth, technological advancement and strategic progress. The Directors
therefore believe that a delisting would be in the best interests of
shareholders and the Company as a whole.

The Board believes that a delisting should provide greater strategic
flexibility for the Group as it looks to grow in what remains a competitive
sector, reduce the costs and regulatory burdens associated with maintaining a
public quotation, and allow management to focus more resources on driving
long-term growth. Cancellation of admission to trading on AIM, requires the
approval of shareholders in a general meeting.

To support shareholder liquidity, the Company intends to establish a matched
bargain facility to enable ongoing trading of shares on a matched basis
following the delisting.

Further details of the proposed delisting and the facility will be provided in
a shareholder circular, together with the notice of general meeting, to be
published in due course.

 

Further announcements will be made as appropriate.

 

Raluca Saceanu, CEO of Smarttech247, commented:

 

"We are immensely proud of the progress we are making. Revenues are ahead of
expectations, our pipeline has never been stronger, and the contracts we have
secured put us in an excellent position to deliver sustainable growth. Despite
this momentum and the clear opportunities ahead, we believe the Company is
better positioned to achieve its ambitions as a private business. The
potential delisting will allow us to focus more resources on our strategy,
enhance our flexibility, and continue building long-term value for our
shareholders."

 

-Ends -

 

 

For further information please contact:

 

 Smarttech247 Group PLC                                Tel: +353 21 206 6033
 Ronan Murphy, Executive Chairman

 Raluca Saceanu, Chief Executive Officer

 Nicholas Lee, Finance Director
 SPARK Advisory Partners Limited - Nominated Adviser   Tel: + 44 (0) 20 3368 3550
 Mark Brady/Angus Campbell
 Cavendish Capital Markets Limited - Corporate Broker  Tel: +44 (0) 20 7220 0500
 Marc Milmo/Hamish Waller

 Tim Redfern/Sunila de Silva
 Yellow Jersey PR                                      Tel: +44 (0) 20 3004 9512

 Charles Goodwin/Annabelle Wills/Bessie Elliot

 

 

About Smarttech247

 

Smarttech247 is a multi-award winning automated MDR (Managed Detection &
Response) company. Its platform is trusted by international organisations and
provides threat intelligence with managed detection and response to provide
actionable insights, 24/7 threat detection, investigation and response.

 

The Group's services are geared towards proactive prevention, and it achieves
this by utilising the latest technologies, along with an experienced incident
response team. In recognition of its innovative technology.

 

Smarttech247's offices are located in Ireland, United Kingdom, Romania, Poland
and the USA. The Company was admitted to trading on the London Stock Exchange
on 15 December 2022.

 

For further information please visit www.smarttech247.com
(http://www.smarttech247.com)

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