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London based startup Oriole Networks has raised £10m in seed funding for its solutions using light to train LLMs. The funding was led by UCL Technology Fund, Clean Growth Fund, XTX Ventures and Dorilton Ventures and supported by the Innovate UK Investor Partnership.
Oriole Networks is aiming to revolutionise the performance of AI systems and speed up data centres, whilst dramatically reducing energy consumption. Oriole has developed a novel way of using light to connect thousands of AI chips together. Once connected, the power of each individual graphics processing units (GPUs) is combined to form a “super-brain.” This super-brain can be used to train advanced Large Language Models a hundred times faster, with a thousandth of the latency, while using a tiny fraction of energy, according to the company.
Oriole networks is a spinout from University College London, founded in 2023 by UCL scientists, Professor George Zervas, Alessandro Ottino and Joshua Benjamin, and is led by CEO James Regan. Regan already has a track record of building successful tech companies from university spinouts, having spun out EFFECT Photonics and built it to a half-a-billion-dollar company.
Data centres have played a critical role in the proliferation of SaaS companies and are vital in powering the ongoing high demand for AI. However, the increasing demands placed on data centres and the approach underlying their networking are leading to systemic problems and unsustainable power consumption. Oriole is seeking to address these challenges and according to the company its novel approach to harness the power of light has already demonstrated significant technical performance improvements, up to 100 times speed up in completion time and 40 times improvements in energy consumption.
Posted by: Simon Baxter at 09:49
A view from TechMarketView's Chief Analyst, Georgina O'Toole:
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“Excluding the year 2020, which was affected by the coronavirus (COVID-19) pandemic, this is the weakest annual change in real GDP since the financial crisis in 2009.”
That’s the message from the Office for National Statistics (ONS) after it confirmed previous indications that the UK economy entered recession at the end of 2023. UK GDP is estimated to have fallen by 0.3% in Q4 and by 0.1% in Q3. Overall, in 2023, GDP grew by just 0.1%, after growth of 4.3% the previous year.
Yet, on more than one occasion over the last few weeks, I’ve heard leaders in our industry comment that the analyst community is predicting a “brilliant” 2024, boosted by the immense interest in the possibilities presented by GenAI.
However, that is not the take of the TechMarketView analyst team. My response is to the above is, “it might be better (than 2023), but not brilliant”. We'd caution setting budgets and planning investment based on greater optimism than that.
When we published our Market Outlook Update in December (see Market Outlook Update 2023 | TechMarketView), we confirmed our 2024 forecast for the UK Software and IT Services (SITS) market of 5.3% growth. That would equate to c.3.0% real-terms growth (using the OBR’s GDP Deflator). This would be an improvement compared to a market in 2023, which, based on early indications, looks like it will have had no underlying (real terms) growth. We will be revisiting these figures over the next couple of months, as we enter our annual forecasting cycle.
The state of the UK economy is just one reason for our forward view. And confirmation of a late 2023 recession will do little to boost business confidence and drive increased investment. Our array of conversations with leaders of UK SITS businesses is already painting a picture of prolonged decision making, pricing pressure, and caution (particularly related to newer technologies, such as GenAI).
Of course, there’s potential for an acceleration in second half of 2024, with some positive indicators like a falling inflation rate, a more robust labour market, and the prospect of a lowering of interest rates. However, the fact is 2024 remains cloaked in uncertainty. Indeed, the World Economic Forum (WEF) highlights that over half of Chief Economists anticipate the global economy will weaken this year, with seven in 10 expecting the pace of geoeconomic fragmentation to accelerate.
In the UK, we have an additional event set to rock the boat: the likely autumn General Election. The UK Public Sector makes up around a quarter of the UK software and IT services market. Therefore, a pause on decision making due to General Election Purdah, will have an impact, as will the likelihood of a new Government, which will want to take some time to reassess – and potentially reset – some Government policy.
To make sure you stay abreast of our latest market forecasts and trends analysis for the UK Software and IT Services market, you need to be a TechMarketView subscriber. Please contact Deb Seth to find out more.
Posted by: HotViews Editor at 09:44
Tags: forecasts economy
The INC Ransom extortion gang is threatening to publish three terabytes of data allegedly stolen after breaching the National Health Service (NHS) of Scotland.
On the 15th March, NHS Dumfries and Galloway issued a statement that it had been the target of a focused and ongoing cyber-attack. The healthcare provider warned that there was a risk that hackers had been able to acquire significant quantities of data. It would seem its fears have been confirmed and in a post yesterday, the cybercriminals shared multiple images containing medical details and said that they would leak data "soon," unless the NHS pays a ransom.
Scotland's NHS is the country’s public health system, providing services ranging from primary care, hospital care, dental care, pharmaceutical, and long-term care. The government says it is working with multiple entities, including the health board, Police Scotland and other agencies (e.g. National Crime Agency, National Cyber Security Centre) to determine the impact of the breach "and the possible implications for individuals concerned. It does not appear however that the breach extended beyond NHS Dumfries and Galloway.
INC Ransom emerged in July 2023 as a data extortion operation that targets organisations in both the public and the private sector. In the past 8 months we have seen it attack oranisations including manufacturing companies (incl. Yamaha Motors), IT companies, the hospitality sector, real estate businesses, a pharma lab and even a housing charity. The operators of the threat actor position themselves as a service to their victims. Victims can pay the ransom to “save their reputation”, though the threat actors indicate their intention to reveal their methods, making the victim’s environment “more secure” as a result. The group uses a number of methods, including spear-phishing emails and targeting vulnerable systems.
We will have to wait and see if further details are provided on what data has been exfiltrated and how the breach occurred, but it is likely the usual story, continuing to highlight the need for public sector organisations to invest in more robust security measures.
Posted by: Simon Baxter at 09:33
UK-based customs management solutions startup iCustoms has raised $2.2m in a seed funding round from Fuel Ventures, PlugnPlay, Outrun Ventures, Montblu Capital, and SyndicateRoom.
iCustoms provides an AI-powered, all-in-one solution that automates customs processes (according to the company, achieving “99% accuracy”) to drive efficiencies by streamlining manual tasks, and ensure trade compliance.
The company intends to use the funding to expand its tech team and develop new offerings.
Subscribers to TechSectorViews can discover more about AI use cases such as document and process management in TechMarketView’s recent Artificial Intelligence: Market Trends, Use Cases and Suppliers report. If you don’t have a subscription and would like to gain access the report and our other research and services, please contact Deb Seth.
Posted by: Craig Wentworth at 09:17
Tags: funding customs
Accenture has made a strategic investment in Sanctuary AI, a developer of humanoid, AI-powered general-purpose robots. Accenture Ventures joins the likes of Bell, Verizon and Workday which have already put money into the Canadian startup. Terms of the deal have not been disclosed.
Founded in 2018, Sanctuary AI is on a mission to create the world's first human-like intelligence in robots capable of performing a wide variety of work tasks quickly, safely and effectively. The company to a material step towards this ambition twelve months ago with the unveiling of its sixth generation robot named Phoenix™. Pictured right, the humanoid stands 5”7’ tall, weighs-in at 155 lbs and has a maximum speed of 3 mph. Phoenix™ can carry loads of up to 55 lbs and features human-like hands both capable of fine manipulation and incorporating proprietary haptic technology that mimics the sense of touch. The robot is powered by the company’s AI control system, Carbon™, which mimics subsystems found in the human brain, such as memory, sight, sound and touch, and translates natural language into action in the real world.
The predecessor of Phoenix™ has been piloted successfully in the commercial realm. Last year, the fifth-generation system completed 110 retail-related tasks at a Marks outlet in Vancouver. These included front and back-of-store activities such as picking and packing merchandise, cleaning, tagging, labelling and folding. Accenture believes that there is significant potential for Sanctuary AI’s robots in post and parcel, manufacturing, retail and logistics warehousing operations, where they could complement and collaborate with human workers and automate tasks that traditional robotics cannot tackle.
It is very early days for the robot revolution. How fast it develops and in what directions it progresses are still far from clear. It does appear, however, that the rise of the machines is inching closer by the day.
Posted by: Duncan Aitchison at 09:04
Tags: funding robotics
AdvancedAdvT has released its first set of interim results since acquiring five Capita businesses last year and listing on AIM in January. With no comparable period and only five months of revenue from the ex-Capita operating units, there’s a limit to what we can glean from the numbers for the six months to end of December ’23, but investors welcomed them sending Advt’s shares up 7% in early trading to 131.5p, compared to 82p at listing.
There are signs of some solid progress in operational performance since the acquisitions and the outlook for the next fiscal year – now ending in February ‘25 – is ahead of management expectations following a number of ‘substantial contracts and renewals’.
Revenue from continuing operations – excluding the Synaptic Software business sold for £3.5m in January – came in at £15.1m for the period, 76% of which was defined as recurring. It’s also encouraging to see the group turn a pre-tax profit of £3.3m, compared to a loss of £0.1m the prior year. Cash reserves as at the end of December had dipped to £79m, from £105m six months earlier.
Advt now has four operating units: IBSS (financial management software); CHKS (AI based healthcare intelligence compliance and accreditation software); Retain (global resource planning and talent management software) and WFM (workforce management software provider). To unite these offerings under a common banner, the group is positioning itself as an ‘agent for change’ where long term digitisation trends are transforming the workplace.
As with other businesses that Vin Murria has led, M&A is a core part of Advt’s strategy, and in the months ahead we can expect further acquisitions with a view to expanding its presence across adjacent markets, geographical boundaries, and digital sectors. Indeed, we understand there has been a notable increase in inbound opportunities, which the Board is evaluating. The Group also continues to hold a 9.8% stake in M&C Saatchi plc, which is now worth £19.2m.
Posted by: Tola Sargeant at 08:52
Tags: results software
Scottish electric bus network start-up Ember has raised £11m in Series A funding from Inven Capital, 2150, and AENU (with participation from existing investors Pale Blue Dot and SkyScanner).
Founded in 2019, Ember builds and operates an intercity electric bus network, having also developed an automated platform that serves as the network’s digital twin, EmberOS (which provides timetabling, ticketing, charging, and maintenance orchestration services).
The company’s aim is to take advantage of higher margins achievable by optimal use of electric buses (leveraging EmberOS to ensure high vehicle utilisation) to provide a climate-friendly travel service at low cost.
Ember will use the funding to accelerate the rollout of its electric bus services and further invest in the development of EmberOS.
For more on sustainability use cases in Transport & travel, see TechMarketView’s Sustainability Technology Activity Index (our unique take in the sustainability technology landscape).
Subscribers to our SustainabilityViews research stream can download the Index now. If you are not yet a subscriber, or would like to learn more about our sustainability research, please contact Deb Seth for more information.
Posted by: Craig Wentworth at 09:26
Tags: funding transport EV
AIM-listed Corero Network Security delivered a strong performance in FY 2023, underpinned by continued demand for its DDoS Protection-as-a-service (DDPaaS) offerings.
Revenues grew 11% to $22.3m in FY23 with annualised Recurring Revenues (ARR) up 17% to $16.9m. The business posted a loss before taxation of $0.2m. The launch of the SmartWall ONE solution during 2023 was a significant milestone for Corero. SmartWall delivers a modular architecture which interfaces with industry-leading routers, providing increased protection against DNS-based attacks, and a new 100G software appliance solution.
Corero also announced a global partnership agreement with Akamai, which will see Corero’s on-premises DDoS protection provided in Akamai Prolexic, Akamai’s own comprehensive portfolio of DDoS security solutions. Corero also announced its first major LATAM partnership with network solutions distributor TechEnabler supporting growth in Brazil.
In November, Corero appointed US-based Carl Herberger as CEO. Herberger’s previous roles included Field CSO at Verinext Solutions and VP of Security Services at CyberSheath International. Before that, he spent nine years with Radware as Global General Manager and Vice President of Security Solutions, during which time it became the No 2 player in the global DDoS market.
Looking ahead to 2024, Corero will build upon the foundations established last year with a high focus on continuing new business and partnership momentum and pursuing regional expansion. There will also be a focus on profitability and positive cash-flow generation, whilst delivering both ARR and revenue growth. With cybercriminals increasingly opting to launch DDoS attacks on corporations, or even using DDoS as camouflage for ransomware attacks, there is plenty of demand for Corero to capitalise on, though they facing increasing competition from the major security platforms as customers seek to consolidate the number of security products they use.
Posted by: Simon Baxter at 09:26
Israel-headquartered, AIM-listed maritime AI company Windward has announced its results for the year ended 31 December 2023.
As per the trading update published in January (see Windward’s strong finish sets up expectation of FY23 results “ahead of forecasts”) the company finished the year with revenue up 31% to $28.3m. In the end, EBITDA loss came out slightly better than predicted ($5m – as opposed to the $5.1m figure in the trading update, and compared with a figure of $12.1m for FY22).
The company’s gross margin improved by 700 base points to 79% (up 100bpts from the hallway point – see Double-digit growth at Windward shows continued appetite for maritime AI).
Windward reports that it grew its customer base by over 50% to 200+ during FY23. It also signed a partnership with London Stock Exchange Group in February 2024, extending its reach with compliance and risk management solutions beyond the maritime domain.Its fuel consumption (and hence carbon emission) reduction angle should prove to be an increasingly attractive one throughout the year, with the renewed focus around energy efficiency in all markets (COP28’s landmark agreement in December 2023 having included pledges to double energy efficiency measures by 2030, see COP28’s Call to Arms for the Tech Industry).
The company cites growing its commercial presence (particularly in the US Government market), expanding partnerships, and further investment in its AI product roadmap amongst its priorities for 2024 - with the Board "confident in achieving results for FY24 in line with market expectations".
Posted by: Craig Wentworth at 09:03
Tags: results maritime carbon reduction
Suffolk HQ’d integrated space management platform provider, SmartSpace Software plc is to be acquired by Florida-based workplace software specialist, Sign In Solutions (SIS). The cash offer of £28.4m will see the UK business, which started life 24 years ago as an AIM company called Coms offering telecoms and IT infrastructure services, go into private American ownership.
SmartSpace, which counts Allianz, Boss, DHL and Mobil amongst its clients, has in more recent times been progressively reinventing itself as a pure SaaS business. This process was completed last summer with the disposal of its hardware distribution arm, Anders + Kern. The business has been through several changes of ownership and focus during over the years. In 2018 and trading as RedstoneConnect, the company made what we described at the time as “a brave move” to sell off its profitable systems integration and managed services divisions to focus on growing its much smaller software business. In FY22 the firm saw revenue increase by 11% yoy of £5.14m and generate an EBITDA loss of £2.49m.
PSG Equity-backed SIS provides cloud-based visitor, identity and risk management software. The company employs some 250 personnel in four countries including the UK where it has offices in Northampton and Bournemouth. Smartspace’s SwipedOn visitor & employee management and Space Connect desk & meeting room booking platforms are logical additions to the SIS product portfolio.
Commenting on the purchase, Guy van Zwanenberg, chairman of SmartSpace, stated that he feels that the time is opportune for our shareholders and employees to take advantage of the opportunities being offered with SIS. While the decision to sell no doubt makes good sense to the acquiree, it is always sad to see a further depletion of the pool of UK-based tech businesses.
Posted by: Duncan Aitchison at 09:02
Tags: acquisition saas software propertymanagement
Artificial Intelligence (AI) may be the hot topic grabbing all the headlines, but it is not the only technology that has the potential to accelerate digital transformation, disrupt how we leverage data, and deliver significant productivity gains.
One such technology is Quantum computing, a rapidly developing field that many organisations are currently underestimating and unprepared to fully leverage. The development of more sophisticated quantum solutions will enable compute speeds to eclipse even the most powerful supercomputers, and while practical quantum applications at scale are still a few years off, a select few organisations are already piloting the technology. Use cases for quantum extend across multiple industries including; Financial Services (e.g. risk scoring and investment modelling), Pharmaceuticals (e.g. drug discovery), Manufacturing (e.g. Battery design & aerodynamics) and Transportation (e.g. route optimisation)
The UK in particular has been a hotbed for quantum computing development, with notable UK HQ’ed suppliers including; Oxford Quantum circuits, Oxford Ionics and Orca computing, whilst many of the larger SITS managed services providers such as Fujitsu, Eviden and IBM have also invested significantly into developing quantum solutions.
In this new report we will explore the latest developments in the field of quantum computing, the growing supplier landscape, practical examples of getting value from quantum solutions, and the potential impact of the convergence of quantum computing with AI, a prospect that may be closer than you think.
TechMarketView has also partnered with the Surrey Institute for People-Centred Artificial Intelligence to bring a unique perspective from academia, with Dr Andrew Rogoyski sharing his views on the skills we will need in the future and how to cultivate the right talent.
If you are a subscriber to TechSectorViews you can access the Quantum acceleration is on the horizon report today. If you don’t have a subscription and would like to gain access the report and our other research and services please contact Deb Seth.
Posted by: Simon Baxter at 07:40
Tags: quantum
Posted by: HotViews Editor at 07:30
Atos’ financial position is precarious. You’d have to have been living under a rock not to have picked up on that already. Today’s financial results (for the year ending 31st December 2023) serve to put a bit more meat on the bone (see here in the UKHotViews archive and work back).
In TechMarketView’s latest research note, Chief Analyst, Georgina O’Toole, gives her view on the current situation, given recent developments, and what the future might hold for the French IT services company.
TechMarketView subscribers can access the UKHotViewsExtra article – Atos FY23: uncertainty on multiple fronts – now. If you are not yet a subscriber – or are unsure if your organisation has a corporate subscription – please contact Deb Seth to find out how to access the research and other valuable resources.
Posted by: Georgina O'Toole at 10:15
Tags: results itservices corporateactivity debt financing
Global professional services firm Aon has launched Climate Risk Monitor to help clients visualise and better understand their exposures to physical climate risk so they can make more informed business decisions.
Aon has developed the tool in response to the increase in climate-related claims in the property insurance market (with reportedly $112bn of insured losses caused by weather-related incidents last year). Climate Risk Monitor assesses an organisation’s current and future exposures to drought, extreme rainfall, extreme heat, freeze, and wildfire under different climate change scenarios – reporting on the impact to individual assets, across an overall portfolio, and from a regional perspective. The idea is that risk managers can then use this data to better understand climate risk, and then work with Aon’s brokers to optimise their insurance cover.
The tool was developed in Aon’s Climate Hub in Singapore (supported by the Singapore Economic Development Board), and builds on the company’s academic collaborations, risk management expertise, and its Impact Forecasting Suite of global catastrophe models.
The need to better understand, mitigate, and insure against climate risk (as extreme climate and weather-related events continue to wreak havoc) has prompted innovations in PropTech and InsureTech that straddle Nature monitoring & management and Green finance use cases (amongst others) – all of which feature in TechMarketView’s Sustainability Technology Activity Index (our unique take in the sustainability technology landscape).
Posted by: Craig Wentworth at 09:56
Tags: PropTech InsureTech climate risk
In line with January’s trading update, AIM-listed digital mental health business, Kooth plc, achieved year-on-year growth of 66% in FY23 (year ended 31 December 2023) taking revenue to £33.3m (FY22: £20.1m).
This impressive performance, albeit lower than the ‘no less than £34m’ guidance at H1 (see US contracts drive H1 growth for Kooth), was driven by significant growth in the US market. Revenue in this region was up grew from £1.5m in FY22 to £14.2m in FY23 due to its $188m, four-year contract with the California Department of Health Care Services (see Kooth digital mental health platform launches in California) and its pilot project in the State of Pennsylvania. The UK still represents the largest proportion (57%) of Kooth’s income, but growth here was slower—up 3% to £19.1m (FY22: £18.6m).
Despite this revenue growth, operating losses increased from £0.9m to £2.3m and losses before tax increased from £0.8m to £2.0m—this was largely due to increased employee costs. Adjusted EBITDA was £2.3m (FY22: £1.6m). Cash and cash equivalents were £11.0m (FY22: £8.5m) after the company raised £10m of equity in July to help fund accelerated growth in the US.
Kooth saw the proportion of UK contracts that expand upon renewal rise to 41% (FY22: 38%), but this was offset by £2.3m of churn (FY22: £2.0m). Management said this was the result of NHS budgetary pressures, contract consolidation and a small number of competitive losses.
The company is significantly ahead of schedule on its US expansion strategy and should be able to use its work in California as a springboard for further growth in the country. The UK is more challenging, but a combination of high demand for mental health services, a lack of skilled staff and the drive for productivity improvements in the NHS, should lead to further opportunities for the business.
2023 was a transformational year for Kooth and it is positive about its platform for growth in 2024. It has good forward revenue visibility, ending the year with £64.6m Annual Recurring Revenue (up from £21.1m a year ago), and has opportunities for further expansion, particularly in the US.
Posted by: Dale Peters at 09:54
Tags: results nhs USA healthcare mental+health
Accenture and long-standing partner, Adobe are to build industry-specific, Generative AI solutions. The expansion the 20-year relationship between the two companies will see the integration of Adobe Firefly Custom Models into the marketing services offered by Accenture Song, to provide clients with the insights required to train bespoke models on their proprietary data and brand guidelines. The initial focus of the co-development programme will be on the retail and consumer goods, automotive, financial services and health verticals.
The enhanced alliance with Adobe is the latest Gen AI collaboration that Accenture has established with its major partners. In December, the company unveiled the creation a global, joint Generative AI Center of Excellence (CoE) with Google (see here). The second half of last year also saw Accenture announce cooperative Gen AI initiatives with AWS, Microsoft and Nvidia.
The targeting of the marketing Gen AI segment is timely. As we noted in our recent UK Customer Experience Market report, the potential opportunities in to capitalise on these new technologies in this arena are myriad. They range from generating dynamic marketing campaigns and personalised user guides to streamlining customer service and gaining deeper insights into customers and loyalty by analysing behavioural data.
Posted by: Duncan Aitchison at 09:51
Tags: partnership marketingautomation genAI
First half results (six months to end January) from infrastructure product and services firm, Softcat, show operating profit climbed 5.8% over the comparable period in 2023. Gross Invoiced Income (GII) was up 4.0% while revenue was down 8.8% to (£467.2m) on lower hardware volumes as customers continued to digest large purchases and sweat their end user estates. The company anticipates that this will ultimately “come back strongly”.
I caught up with Softcat CEO, Graham Charlton, shortly after the figures were released early doors. He said he was “very pleased with the results on a tough compare with last year”. Charlton also said the firm’s operating profit was “slightly ahead of where we expected to be” and that it continues to “build and invest for the longer term”.
See last year's FY analysis here.
Word of warning when you flick through VAR financials. Gross Invoiced Income is the more useful way to understand underlying performance. For Softcat, hardware, software, and services are reported under IFRS15 on a mix of gross and net basis. In Services, some are reported gross and some net, depending on the nature of the services delivery. A shift in the first half towards those reported net impacted the services revenue growth line. Apologies if you haven’t had enough coffee yet.
Shares were up c.5.0% at time of writing.
Posted by: Kate Hanaghan at 09:50
Tags: results channel VAR
Aim listed Crossword Cybersecurity has launched a new CyberAI Practice. The practice, which sits within Crossword Cybersecurity's Consulting business, consolidates artificial intelligence (AI) expertise into a centre of excellence that will deliver AI-focused cybersecurity consulting services and products to help clients harness the power of AI.
Crossword has already led a significant initiative in investigating the application of Generative AI to cyber security. This has been conducted with industry partners and universities, including Oxford University and MIT in the USA and AI researchers from the Alan Turing Institute.
Since the rise in adoption of AI large language models (LLMs), we have seen the emergence of many new tools which must be assessed and assured so that adoption is controlled and does not pose legal, reputational, or commercial threats. The CyberAI Practice from Crossword will provide modular services designed to support the assessment and development of LLM architectures, LLM security testing, design and security architecture reviews, and wider LLM-related engineering services. It will also provide CyberAI onsite workshops - education and maturity workshops to help organisations understand the market, assess their needs and existing AI use, and consult on whether to 'build or buy'.
In the first half of 2023, Crossword shifted its focus to establishing a clear path to profitability – See Profitability the focus for Crossword Cybersecurity. H2 has seen revenue growth not perform as expected, despite a strong pipeline, conversion to contracts has slowed down, pushing several potential deals into FY24. As a result, Crossword expects FY23 revenue to be in the range of £4.1m to £4.3m, as opposed to the previously guided £6m of revenue, this would represent yoy growth of around 15%, so still not bad by any means, but quite a fall from the 68% growth we saw in FY22.
Cambridge HQ’d productivity software provider, GetBusy plc maintained double-digit growth during FY23. Turnover for the twelve months ended 31st December increased by 10% yoy at constant currency to £21.1m of which 96% was recurring revenue (FY22: 95%). The H2 top line was, however, all but flat sequentially and the 6% pace of yoy expansion for the period dipped to less than half that achieved in the first half of the year (see here). Adjusted EBITDA, which turned positive for the first time FY22, remained in the black and improved over 50% yoy to exceed £1m. The underlying group loss for the most recent fiscal narrowed by 6% to £509k.
GetBusy focuses on document and task management software for the professional and financial services markets with c.70% of sales derived from the accountancy sector. The AIM-listed company saw the pace of growth pick up significantly in the UK last year. Sales here, which account for almost two fifths of world-wide revenue, rose by 14.1% yoy (FY22: 4.5%). Conversely, progress in the US, the software provider’s largest geographic region, slowed significantly compared with the c.50% top line improvement achieved in the prior year. Turnover of £10.9m from this territory was up 9.5% yoy in FY23.
Looking ahead, GetBusy believes that the investments that continues to make in both the expansion and enhancement of its go-to-market capabilities and product development will sustain double-digit ARR growth over the long-term. The current year is reported to have started well, with growth across the Group through a combination of new business, account development and price improvement. Investor confidence also appears to be returning. At the time of writing the company’s share price was up 23% from the 52-week low point hit last November.
Posted by: Duncan Aitchison at 09:40
Tags: results software documentmanagement
UK software vendor Pebble Beach Systems (Pebble) who specialise in playout, content management, and IP control solutions for the broadcast and media technology markets, has posted solid revenue growth for FY23 as it invests in a new software platform due to be released this year.
Results were ahead of expectations, with revenue for FY23 of £12.4m, up 11% yoy, this includes recurring revenue from support, maintenance and subscription arrangements up 13% to £5.2m. Recurring revenue represents 42% (2022: 41%) of total, and management expect an upward trend in recurring revenue to accelerate over 2024.
Pebble's primary product offering is playout automation software, the execution of television schedules for broadcast channels. This market primarily consists of television broadcast companies, and service providers that offer outsourced services for the broadcasters. Pebble customers include; Fox News, CNBC, IMG, TV Globo. The broader market also includes some major streaming services, particularly those carrying live content.
Pebble continues to invest in project 'Oceans', its new software platform, which will be launched publicly in April as PRIMA; Platform for Real-time Media Applications. The software platform provides customers with increased flexibility, scalability, and security for Pebble solutions.
We continue to see broadcast and streaming services evolve, with the media industry seeking more flexible and efficient use of IT infrastructure. This has driven significant adoption of cloud computing, often a combination of public services such as Amazon and Google, private cloud, and hybrid. AI is also playing an important role in transforming the media industry, both in driving productivity gains and supporting content creation. The BBC for example recently announced it is making plans to build its own artificial intelligence foundational models which could then power products, such as tools to help journalists produce stories, that can be used in-house.
Posted by: Simon Baxter at 09:29
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