30th Jan 2025 11:02
(Alliance News) - Alfa Financial Software Holdings PLC on Thursday reported an increase in revenue amid contract wins as it remained confident in its outlook.
The London-based firm provider of software to automotive finance providers said operating profit was GBP34 million in 2024, up 13% from GBP30.1 million a year ago, and 5% higher than market expectations.
Revenue rose 7.8% to GBP110 million from GBP102.0 million. The company said this was boosted by an "exceptional year" for pipeline conversion, with eight contract wins which drove "very strong growth" in total contract value, surging 34% to GBP221 million in 2024 from GBP165.3 million in 2023.
Alfa Financial said: "Over the last few years, the company has transitioned away from selling perpetual licences to a software as a service licence model, in line with wider market trends and shifting customer demand. We have therefore decided to align the terminology of our revenue streams more accurately with the underlying revenues."
The firm added: "We remain very confident in the overall strength of the pipeline from early stage through to late stage. The diversity of end-markets represented in the pipeline and in 2024's wins demonstrate the breadth of Alfa's continued opportunity."
Alfa Financial will report 2024 results on March 13.
Alfa Financial shares rose 3.9% to 214.00 pence each on Thursday morning in London.
By Tom Budszus, Alliance News slot editor
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