7th Oct 2024 12:12
(Alliance News) - Beeks Financial Cloud Group PLC on Monday reported it has made a profit in its recent financial year, as revenue grew following a string of contract wins.
Beeks is a Glasgow-based cloud computing and connectivity provider for financial markets.
It swung to a pretax profit of GBP1.5 million for the year that ended June 30 from a pretax loss of GBP650,000 the year before. Revenue rose 27% to GBP28.5 million from GBP22.4 million.
This growth was primarily driven by contract wins, including a GBP5.0 million proximity cloud contract with one of the world's largest banking groups, as well as a GBP2.7 million five-year contract with a tier 1 investment manager. It also signed private cloud contracts to the value of GBP3.0 million in July with one of the UK's largest banks. Beeks didn't name any of the customers.
Beeks also said that since June 30, a multi-year Exchange Cloud contract with an unnamed exchange group has now received regulatory approval, though further details remain under a non-disclosure agreement until the product's launch.
Beeks said it is confident it will achieve results in line with expectations for financial 2025, following on from "high levels of recurring revenue, a strong pipeline, an established international reputation and a significant market opportunity", as the financial services sector continues to shift to cloud computing.
Chief Executive Officer Gordon McArthur said: "This has been another year of strong trading with double-digit growth across the board. Demand for our product is stronger than ever, fuelling a regular flow of new contract wins and extensions that offer long-term, recurring revenues. The expansion of our customer base is a testament to the value of our offering becoming increasingly recognised by the market and has resulted in a record sales pipeline. Exchange cloud continues to offer the most exciting opportunity with a pipeline comprising of some of the world's largest exchanges."
Shares in Beeks were up 7.8% at 273.92 pence each in London on Monday morning.
By Emily Parsons, Alliance News reporter
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