Business
Pre-close trading update
Pre-close trading update.
About this update from Eagle Eye Solutions Group Plc
[{"type":"text","content":"\n \nRNS Number : 8020A Eagle Eye Solutions Group PLC 10 June 2016 \n\n \n10 June 2016\nEagle Eye Solutions Group PLC\n(\"Eagle Eye\", \"Group\" or the \"Company\")\n \nPre-Close Trading Update\n \n \nEagle Eye, the SaaS technology company that validates and redeems digital promotions in real-time for the grocery, retail and hospitality industries, announces the following trading update ahead of its audited results for the year ending 30 June 2016 (the \"Period\") which are expected to be announced on 21 September 2016. \n \nFinancial Highlights:\n· Group revenue expected to grow by c.34% to £6.5m (FY15: £4.9m)\n· Accelerating revenue growth in second half (c.20% H2-on-H1)\n· Recurring subscription and transactional AIR platform revenues expected to be up c.87% year-on-year at £3.6m\n· Expected redemption volumes of over c.38m, an increase of c.120% (FY15: 17.4m)\n· Subscription and transactional revenues are expected to represent c.81% of total revenues (FY15: 80%)\n· Expected messaging volumes maintained from prior year at c.40m per year\n· Cash position expected to be £1.1m (FY15: £4.3m)\n \n \nBased on unaudited figures, turnover for the Period is expected to be in the region of £6.5m, up c.34% on the prior year (FY15: £4.9m). Overall revenue from the AIR platform is expected to be c.72% of total revenue, £4.7m (FY15: 56%, £2.7m). H2 FY16 revenue is expected to account for £3.5m (H1 FY16: £3.0m), representing growth of 38% year on year. Half by half growth rate would therefore represent c.20% (H2 FY15 to H1 FY16: 14%). \nAs stated at the time of our interim results in March 2016 this revenue, for the year ending 30 June 2016, is lower than previous management expectations. The shortfall has been driven by three factors: the timing of significant contracts being deployed to live, the knock on impact on the ability to drive FMCG brand campaigns through those clients; and, the messaging business generating lower than expected new business revenue.\nThe core strategic revenue from digital promotions and rewards expects to see a c.87% increase to £3.6m (FY15: £1.9m) driven by increased volumes through existing clie...