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Home Press

Essensys Plc Releases “Strong” First Trading Update

by Allwork.Space - Press
August 13, 2019
in Press
Reading Time: 2 mins read
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aws essensys trading

essensys plc’s first pre-close trading update reveals “good early progress” after the company completed an IPO in May this year.

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  • essensys plc has released its first pre-close trading update after completing an IPO earlier this year.
  • The company states that it is “trading ahead of market expectations” and its US business is “growing strongly”.
  • CEO, Mark Furness, commented that the company is looking ahead “with confidence based on excellent pipeline visibility and good early progress”.

essensys plc (AIM:ESYS), the leading global provider of mission critical software-as-a-service (SaaS) platforms and on-demand cloud services to the flexible workspace industry is pleased to announce an unaudited pre-close trading update for the financial year ended 31 July 2019.

Highlights

Group revenue for the year was ahead of market expectations at £20.5m, an increase of 25% (FY18: £16.4m).  Recurring revenue was £15.8m, representing 77% of Group revenue.

Adjusted EBITDA* is anticipated to be at least in line with market expectations at not less than £3.8m (2018: £3.2m).

Annual Recurring Revenue (ARR) run-rate as at 31 July 2019 was £17.3m, an increase of 27% on July 2018 (£13.6m).

The Group closed the financial year with 358 live Connect sites, an increase of 38% year-on-year (260 as at 31 July 2018), and has an additional 45 new Connect sites contracted with the majority of these to be delivered in H1 FY20.

The Group’s US business continues to grow strongly with year-on-year recurring revenue increasing 67% to £5.5m from £3.3m in FY18.

Net cash at year end was £2.7m with the Group now being debt free following its IPO.

Outlook

The continued expansion of essensys’ services to existing customers as well as an increase in the number of new customer wins further supports the Board’s high degree of confidence that the Group will continue to deliver strong levels of future growth.

Mark Furness, CEO commented:

“2019 has been an important and exciting year for essensys. We have a simple vision – to power the world’s largest community of tech driven flexible workspaces. This is supported by a clear strategy to land, expand and grow, and we see exciting opportunities ahead in the high growth flexible workspace industry. Our successful IPO in May gives us a strong platform to accelerate the execution of our plans and deliver on our vision.

“We are delighted to provide a strong first trading update and we look ahead with confidence based on excellent pipeline visibility and good early progress with our plans to broaden and deepen our customer base, extend our geographic reach and accelerate product development.”

The Group intends to announce its final results for the year ended 31 July 2019 on 22 October 2019.

* Adjusted for IPO costs and share option charges

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