22nd Oct 2024 15:43
(Alliance News) - PCI-PAL PLC on Tuesday said its annual loss narrowed during its 2024 financial year, as high customer retention drove revenue growth.
The Ipswich, England-based secure payment solutions provider narrowed its pretax loss for the financial year ended June 30 to GBP1.7 million from GBP4.9 million. Revenue grew 21% to GBP18.0 million from GBP14.9 million.
PCI-PAL's total annual recurring revenue for all signed contracts increased by 17% during the year to GBP19.2 million from GBP16.4 million. However, year-on-year new business sales fell 7.3% to GBP3.8 million from GBP4.1 million last year.
The company's annual customer retention improved to 97% from 95% the year before.
PCI-PAL declared no dividend, unchanged from last year.
Chief Executive Officer James Barham said: "The unfounded patent litigation brought against us was a management distraction and cash drain for most of the last three fiscal years, and we are therefore clearly pleased that this litigation is now fully resolved following our success in the UK courts. What has been very encouraging is that throughout this period, we have continued to grow revenues at market-leading rates, whilst also maintaining exceptional customer retention. This, together with the improving operational performance of the underlying business, has created a strong platform for future profitable growth.
"We have started financial 2025 well with new business sales both ahead of last year and in line with management expectations. We are therefore now executing against our near-term plans to make additional and considered investments in the business that will underpin the longer-term future growth prospects of the group. With adjusted [earnings before interest, tax, depreciation and amortisation] profit achieved in financial 2024, positive operating cashflow and a strengthened strong balance sheet, we are excited by the breadth of the opportunity ahead of the group as we continue deeper and wider channel partnerships, progress our product roadmap and further scale the business into new territories."
Shares in PCI-PAL were up 11% at 55.00 pence each in London on Tuesday afternoon.
By Emily Parsons, Alliance News reporter
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