28 August 2019
- Proactis, the global spend management and B2B eCommerce company, today announced an update on trading for the financial year ended 31 July 2019.
The Group’s performance was at the Board's expected levels following the completion of the operational review announced earlier in the year, and it is now focused on delivering the strategy set out at that time. Significant progress has been made and the delivery of the associated benefits are on target. The Board will provide further detail of this progress as part of its final results, which are expected to be published on 31 October 2019.
- Expected increase in revenue to £54.1m (2018: £52.2m) with Adjusted EBITDA at £15.0m (2018: £17.3m).
- Net bank debt as at 31 July 2019 has reduced following the generation of £5.1m of adjusted net free cash flow in the second half of the year and is expected to be £36.5m (31 January 2019: £39.3m).
- Deal intake for the year was solid and the Group secured a total contract value of £11.3m (2018: £12.1m) from 60 new names (2018: 64) and 127 upsell deals (2018:120).
- Following the acquisition of Esize Holdings BV on 6 August 2018, the Board is pleased that the post-acquisition contribution of Esize is in line with expectations with revenue of £5.3m and Adjusted EBITDA of £1.9m.
Tim Sykes, CEO commented: "We are encouraged by the Group’s performance and especially the level of cash generation in the second half of the year. This has reduced net debt substantially and we expect this level of cash flow performance to continue as the Group delivers on the benefits identified during the operational review.
“We have also made significant changes to our management team and processes - the combination of this, along with our current financial performance, offers a stable platform on which the Group can build in order to exploit the considerable opportunities open to it."
“We approach 2020 with confidence and energy and I am confident that we will be able to demonstrate substantial progress in our business."
View trading update