Business
Trading Update, New Partner & Notice of Results
Trading Update, New Partner & Notice of Results.
About this update from Pci-pal Plc
[{"type":"text","content":"\n\n\n28 August 2024\n \nPCI-PAL PLC\n(\"PCI Pal\", the \"Company\" or \"the Group\")\n \nFY24 Trading Update, New Partner Announcement, & Notice of Results\n \nPCI-PAL plc (AIM: PCIP), the global cloud provider of secure payment solutions for business communications, announces a trading update for the financial year ending 30 June 2024.\n \nTrading Update\nThe Board acknowledges that the timing of its trading update is later than prior years which is due to the Company's audit process taking longer than expected this year.\n \nReported revenue for the year is expected to be approximately £18.0 million, a 20% increase year on year (2023: £14.9 million). This is c.£0.7 million below the level the Board had expected to report at the year end. The majority of this revenue shortfall relates to a specific project where the customer has paid in full and, in the Board's opinion at the time, the Company had delivered the services and revenue could be recognised in FY24. However, following commencement of the Company's annual audit, and discussions with its auditors, the Board has decided it is appropriate to defer the £0.7 million of revenue in respect of this specific project from FY24 into FY25. The deferral of revenue into FY25 has no impact on cash and will be beneficial to the FY25 financial outlook.\n \nAccordingly, the Company now expects to report an FY24 adjusted1 loss before tax of approximately £0.6 million, with an adjusted2 EBITDA profit of c.£0.9 million (2023: loss of £1.1 million). The Group achieved an adjusted3 free cash inflow of approximately £0.9 million (2023: outflow £2.4 million), resulting in a strong year-end balance sheet, with net cash of £4.3 million. \n \nNew business licence sales for FY24 were £3.8 million ACV (2023: £4.2 million) which, although 10% lower than FY23, is measured against a very strong prior year which included the signing of one of the Company's largest single contracts to date. The Board is particularly pleased that the underlying trend of run rate new business is strong and ahead of the prior year with a 13% increase in new logo contracts signed in the year. This has resulted in notably more consistent quarter on quarter new sales throughout the year. This cadence provides the Board with confidence in t...