PHD Proactis Holdings Plc

TIDMPHD

RNS Number : 5900O

PROACTIS Holdings PLC

22 August 2017

 
 Date:              22 August 2017 
 On behalf of:      PROACTIS Holdings PLC ("Proactis" 
                     the "Company" or "the Group") 
 Embargoed until:   0700hrs 
 

PROACTIS Holdings PLC

Trading Update & Notice of Results

PROACTIS Holdings PLC, the global Spend Control and eProcurement solution provider, is pleased to update the market on trading for the year ended 31 July 2017.

The Group has delivered substantial commercial and transformational strategic progress during the year and expects to report:

-- Revenues of approximately GBP25.4m (2016: GBP19.4m), an increase of 31%;

-- Adjusted(1) EBITDA of approximately GBP7.9m (2016: GBP5.3m), an increase of 43%; and

-- Adjusted(1) Profit before tax of approximately GBP5.3m (2016: GBP3.1m)

which are in line with consensus expectations.

Deal volumes have been at expected levels with 54 new name deals and 110 up-sell and cross sell(2) deals.

Perfect Commerce LLC

The completion of the transformational acquisition of Perfect Commerce LLC was announced on 7 August 2017. The Group is focussing its energy on the integration process and synergy realisation and the Board is pleased to report that GBP1.4m of annualised cost savings have been realised to date. The Board remains confident that this will increase to GBP5.0m by the end of the current financial year.

Notice of Results

The Group intends to release its preliminary results for the financial year ending 31 July 2017 on 11 October 2017.

Note 1: Adjusted for non-recurring administrative expenses and share based payment charges.

Note 2: A cross sell deal is where the Group sells a solution of an acquired business into its existing customer base or vice versa.

Tim Sykes, Chief Financial Officer commented:

"Our core business has demonstrated strong organic growth and a solid rate of new business wins during the year. Furthermore, our capability to sell more into our existing customer base, which is a key element of our strategy going forward as we seek to leverage the customer bases that have been acquired historically, is performing well with up-sell and cross-sell activity at new, record levels.

I am pleased that we have sustained this rate of growth alongside the Group's strategic progress through the acquisitions of both Millstream Associates Limited during November 2016 and, more recently, the transformational acquisition of Perfect Commerce LLC, which completed during August 2017.

I relish the opportunity that the Perfect Commerce LLC acquisition provides the Group and I look forward to realising the opportunities that the business combination provides."

Hamp Wall, Chief Executive Officer commented:

"PROACTIS has delivered an excellent performance during the year prior to its acquisition of Perfect Commerce LLC. This gives me great confidence for the future prospects of the Group as we look to combine two individually strong businesses and deliver our strategy over the coming months and years. I believe the acquisition positions us to exploit the high growth areas of the spend management market and enables the business to provide our customers with an even broader product offering."

End

For further information, please contact:

 
 PROACTIS Holdings PLC 
 Hamp Wall, Chief Executive       Via Redleaf Communications 
  Officer 
  Tim Sykes, Chief Financial 
  Officer 
 Redleaf Communications 
 Elisabeth Cowell                 0207 382 4730 
  Sam Modlin                       proactis@redleafpr.com 
 
 finnCap Limited 
  Stuart Andrews / Carl Holmes 
  - Corporate Finance             0207 220 0500 
 Stephen Norcross / Simon 
  Johnson - Corporate Broking 
 

The information communicated in this announcement is inside information for the purposes of Article 7 of the Market Abuse Regulation 9EU) No. 596/2014.

The financial information contained in this announcement is unaudited and has been extracted from the Group's unaudited management accounts, which are prepared in accordance with IFRS, and other internal sources.

Notes to Editors:

PROACTIS is head-quartered in London with offices in the UK, North America, Mainland Europe and New Zealand. It creates, sells and maintains specialist software which enables organisations to streamline, control and monitor indirect expenditure. It is used in over 1,000 organisations around the world from the commercial, public and not-for-profit sectors.

PROACTIS floated on the AIM market of the London Stock Exchange in June 2006.

This information is provided by RNS

The company news service from the London Stock Exchange

END

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