29th Jul 2024 14:29
(Alliance News) - Ondo InsurTech PLC on Monday said losses had narrowed in the last financial year as the company reports double-digit revenue and customer growth.
The London-based claim prevention technology firm for home insurers said in the year that ended March 31, pretax loss narrowed to GBP3.0 million from GBP6.2 million the previous year.
Revenue rose 13% to GBP2.7 million from GBP2.4 million as total registered customers on the platform grew 37% to 95,468 from 69,793. This has since increased to 111,00 at July 26.
Recurring revenue from Software and Services rose 41% to GBP1.4 million from GBP1.0 million in line with the company's strategic intent to drive such revenue.
Cost of sales increased by 27% to GBP2.0 million from GBP1.5 million, while administrative expenses fell 31% to GBP4.0 million from GBP5.8 million
In the previous year, the company generated a GBP956,000 reverse acquisition expense relating to the merger with the water leak detection company LeakBot Ltd. No such expenses were incurred in financial 2024.
Chief Executive Officer Craig Foster said: "Our focus in FY25 remains topline growth, driving towards cashflow breakeven by the end of the financial year and a particular focus on the growth of our US operations.
"The big story for Ondo this year is our progress in the US. While this might have only had a limited impact on the financials...this year has set the foundations for the US being the main engine growth for the business in the coming years."
After entering four US states in the year and winning contracts with four insurers in the country, US devices accounted for 8% of registered users and 12% of recurring revenue in financial 2024.
Foster added that several helpful industry-wide trends will aid the company going forward. These include rising claims inflation that has increased the attractiveness of the business's proposition to insurers, and the wider uptake of peer solutions in the insurance industry.
Ondo InsurTech shares were down 5.4% to 12.53 pence each in London on Monday afternoon.
By Elijah Dale, Alliance News reporter
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