5th Sep 2019 11:53
(Alliance News) - Beeks Financial Cloud Group PLC on Thursday said profit rose in its most recent financial year, aided by institutional sales growth.
Shares in Beeks were up 2.0% at 81.10 pence in London shortly before midday.
The cloud computing company, which focuses on financial markets, reported a GBP1.0 million pretax profit for its year ended June 30, up 34% from GBP747,000 the year before.
Revenue was up 32% at GBP7.4 million, having been GBP5.6 million the year before.
"Revenue increased by 32% year on year with growth in institutional sales, on which management is focussed, particularly encouraging. Beeks has strong recurring revenue and customer retention remained high with losses mainly as a result of customers exiting the market," the company said.
During the year, the number of institutional customers rose to 220 from 192 and the average entry level new institutional customer contract grew to GBP2,200 per month from GBP800 per month.
The firm has proposed a final 0.15 pence per share dividend, taking the full dividend payment per share up 17% to 0.35p from 0.30p.
Beeks Chief Executive Gordon McArthur said: "Following an excellent close to the year, during which Beeks signed three tier 1 clients, we have entered the new financial year in a strong position and enjoyed a good level of trading in the first two months of the year. Our core business with mid-tier organisations continues to grow and we are now layering on more strategic engagements with larger organisations.
"Overall, the business is delivering on its early promise, using the enhanced profile and strengthened balance sheet resulting from the [initial public offering] in 2017 to capitalise on the growth in demand for infrastructure as a service offerings within financial markets. We are confident the quality of our service will see our client list continue to grow in the year ahead, and we look to the future with confidence."
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