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Remember NWT's ambitious revenues growth vision:-
"Introducing Newmark"
An extract:-
"Our vision is to build a business generating two - three times its current revenues in the next three - five years."
https://newmarksecurity.com/
And from NWT's Investor Meet Company presentation video, 8th. February 2023:-
23:56: " ... Our vision is to build a business that generates 2 - 3 times its current revenues in the next 3 - 5 years. ... now is a very exciting time for us. With considerable recent efforts and investments, we are very well-positioned to achieve this vision. ..."
https://www.investormeetcompany.com/
Note that annual revenue growth of c. 24.5% p.a. for five years, compounded, results in a trebling of annual revenue.
Which, from NWT's annual revenue of £22M.+ for its year ended 30.4.24, could c. equate to the following full year annual revenue levels:-
FY ending 30.4.25: £27.4M.
FY ending 30.4.26: £34.1M.
FY ending 30.4.27: £42.5M.
FY ending 30.4.28: £52.9M.
FY ending 30.4.29: £65.8M.
So how is NWT measuring up against this?
1. Well, the decline of Safetell's traditional banking business, with mass high street bank closures, resulted in a dramatic multi-year decline in Safetell's revenues, and led the business to diversify into new areas.
This revenue decline only really bottomed in its year ending 30.4.23.
But since then, the turnaround has been impressive, with the company achieving H1 revenue growth of 24% in its year just ended (i.e. ending 30.4.24):-
25th Jan 2024 7:00 am RNS Half-year Report
" ... Safetell's revenue increased by 24% to £2.7 million compared to the corresponding prior period. ..."
https://www.lse.co.uk/rns/NWT/half-year-report-hnfljf8lc52soxg.html
2. Grosvenor Technology's North American HCM revenue growth from 2017 - 2022 (£0.9M. to £8.7M.) was even better: a stunning compounded annual revenue growth rate of c. 57.4% p.a.
The loss of its UKG business, which stopped contributing to revenues in Q3 FY23, and which Dab estimates was contributing c. £3.5M. of annual revenue, subsequently caused an exceptional blip in this growth. But new HCM contract wins have resulted in a strong resumption of this growth in the company's H2 just ended.
Such that NWT's half-on-half revenue increase in its year ended 30.4.24, on an annualised compounded level, equates to annual revenue growth of over 25% p.a.
3. NWT's recent HCM ARR year-on-year increase of 28%, to £2.9M. for April 2024, is particularly exciting.
28% p.a. growth compounded equates to a more than doubling in three years.
And at VERY high profit margins.
So in conclusion, NWT has recently been achieving the sort of revenue growth that is associated with its vision.
And with its current year apparently having started strongly, a healthy sales pipeline, and multiple regulatory and technological growth drivers creating strong tailwinds, there's every reason to be optimistic that this should continue.
30th Apr 2024 3:33 pm EQS Thalassa Holdings Ltd: Annual Financial Report
https://www.lse.co.uk/rns/THAL/thalassa-holdings-ltd-annual-financial-report-remcxj11jwvdhvp.html
Thanks Dab.
It's interesting that NWT is the only one of THAL's listed holdings that THAL mentions; and that it talks about it before its wholly-owned unlisted subsidiary ARL (Autonomous Robotics), which in its previous annual report was its only holding (listed or unlisted) that it talked about.
So it looks like NWT is now THAL's 'blue-eyed boy' - or rather girl ... what you might call its 'Thalassa Lassie':-
"Maybe looks a little sassy, whoa
But to me she's real classy, whoa"
"Tallahassee Lassie" - Freddy Cannon
https://www.youtube.com/watch?v=_BMPdbzDgus
Though as you have noted, THAL's update predated NWT's bullish full year trading update (by a couple of weeks).
And especially in light of this new NWT update, THAL's projections are looking far too conservative.
So I wonder if THAL fully appreciate quite what a gem they are sitting on here in NWT?
I missed this but worth sharing...
Newmark Security plc (NWT LN)
In 2023, NWT’s shares performed well, rising 127.2% from 33p/share to close 2023 at 75p/share.
THAL own’s 9.98% of NWT, which we believe has significant growth potential, particularly in the USA. NWT’s fiscal year- end is 30 April, such that 2024 results should be announced towards the end of September 2024. The Company had a soft first half, revenues declined 2%, but has indicated that several new Human Capital Management (HCM) ‘access control’ contracts should drive revenue growth in the second half of the year. At the prevailing market price of 83.5p/share, the Company’s market capitalisation is ~£7.8m, plus debt of
~£5.6m, giving an EV of ~£13.4m.
Based on trailing twelve-month numbers the stock does not look undervalued. However, looking out over the next few years, we see the potential for sustainable annual revenue growth of ~10%, and EBITDA margins rising from 6%/8% back towards 10% to 15%, or £3m to £4.5m, on £30m of revenue by 2028. Based on our estimates, the Company should be able to pay down debt at a rate of £0.5m per annum, or roughly £2m over the next 4 years. Whilst the EV/EBITDA multiple on 2023 EBITDA of £1.1m is 12.2x, we believe that this reflects investor anticipation for improved results, and that a more conservative EV/EBITDA multiple of 8x our £3m to £4.5m 2028 EBITDA estimate is more appropriate, which in turn would result in an EV of £24m to £36m, or an Equity value of £20.4m to £32.4m, or a share price target of £2.125/ share to £3.75/share (9.6m shares outstanding). Based on our estimates, we anticipate a potential 154.5% to 349.1% increase in the upside value of NWT’s shares over the next 4 years, or a potential compound annual return of between 26.3% and 45.6%, from the prevailing market price of 83.5p/ share.
"The GT8: Beyond Time & Attendance Tracking
... Evolving with Your Needs
Giving the GT8 an Android-based operating system was a considered decision – while Grosvenor Technology also offers HCM solutions using Linux, like the GT10, our flagship device seals its longevity by using the familiar framework that Android provides.
It helps create a secure and useful ecosystem with your existing apps and systems, allowing you to design a workflow that reduces admin, speeds up processes and utilises data to make strategic decisions. The GT8 takes things a step further, however, by enabling you to customise the device to suit the needs of your organisation. Whether you operate in manufacturing, healthcare, or another industry, the GT8 provides a flexible platform for your workforce management.
How HCM Delivers Profits
Here’s what really matters – the tangible benefits that the GT8 can provide:
• Accurate Payroll: Staff are paid for the hours they work and buddy punching is a thing of the past.
• Reduced Security Risks: Data privacy is ensured, derisking your business in one of the most essential ways.
• Improved Hygiene: The touchless interface helps maintain a healthy workforce, which is especially critical in healthcare or food-related industries.
• Optimised Workforce Management: You can use collected data to make informed scheduling and staffing needs decisions.
The GT8: More Than a Time Clock
The GT8 is more than just a time clock. It’s a powerful tool that helps you streamline operations, enhance security, and make data-driven decisions that benefit your business.
You can find out more about the GT8 and its powerful features here."
https://www.grosvenortechnology.com/insights/the-gt8-beyond-time-attendance-tracking/
GreaT8 stuff!
The GT8 is revolutionising the industry ... which should also shortly be revolutionising NWT's profits & s.p.
And still another excellent new article just added to Grosvenor Technology's website:-
"Insights
The GT8: Beyond Time & Attendance Tracking
As Grosvenor Technology’s flagship HCM device, the features of the GT8 go far beyond simple time and attendance management to embody something far more exciting – a new way to propel your business with rich data and streamlined processes.
Ben Lagden
Commercial Director
Time clocks have come a long way from the mechanical punch clock of the past. Over the past 50 years, digital time clocks have taken over the space, offering a modern solution to an age-old problem – how to effectively and accurately manage your people.
But a time clock from 1990, or even 2012 is a long way from what they can do today. And the GT8 is leading the charge with innovation and user simplicity. As Grosvenor Technology’s flagship HCM device, the features of the GT8 go far beyond simple time and attendance management to embody something far more exciting – a new way to propel your business with rich data and streamlined processes.
Accuracy and Security for the Modern Workforce
Security and reliability are at the heart of the GT8, with the option of advanced biometric identification. You can choose from facial recognition, fingerprint scanning, or a combination of both (as well as more traditional means, such as proximity fobs and cards) to ensure accurate tracking of your employees’ time. And let’s not forget just how powerful the GT8 is – the device can clock someone in or out in under a second, making it a useful companion at start and end of shifts.
For many of the GT8’s users, it’s the effortless efficiency of employee time tracking that sets it apart. Staff feel assured by the reliable clocking – they’ll always receive accurate remuneration for their worked hours, and for management, there’s the elimination of time theft via buddy punching. It’s a win win.
But above all else, the GT8 provides absolute data privacy assurance. The GT8 has been designed with compliance in mind. The inbuilt robust encryption protocols protect sensitive employee information and ensure you remain compliant with data regulations – whether that’s in the UK, Europe, the US or Asia. ..."
https://www.grosvenortechnology.com/insights/the-gt8-beyond-time-attendance-tracking/
And yet another excellent new article just added to Grosvenor Technology's website: again from Paul Smith, Head of Quality & Compliance.
And this is his third such article in a fortnight ... when you're hot, you're hot!
"Insights
Building Trust Through Compliance: Our Commitment to Secure Products
Grosvenor Technology is proud to announce that we've achieved PSTI 2022 compliance certification.
Paul Smith
Head of Quality & Compliance
Nowadays, cyber threats have become increasingly more sophisticated and the need to safeguard a business and its data has never been more important. In the UK, this need has been met with April’s implementation of the Product Security and Telecommunications Infrastructure (PSTI) Act 2022.
This new legislation aims to increase the standards for cybersecurity across internet-connected products, from smart TVs to HCM devices to access control systems. At Grosvenor Technology, we’re committed to the safety and security of our customers, and our recent achievement of PSTI 2022 compliance certification demonstrates our dedication to the protection of our customers and their data.
What is the PSTI Act?
The Product Security and Telecommunications Infrastructure (PSTI) Act is a UK law that establishes mandatory security requirements for ‘smart’ products – those products that connect to the internet. It aims to protect consumers and businesses from cyberattacks by ensuring products are designed with security in mind from the outset.
The PSTI outlines specific requirements, including:
• Stronger Passwords: Default passwords are banned.
• Vulnerability Reporting: Manufacturers must have a clear vulnerability disclosure policy.
• Transparent Support: Customers must be aware of the defined support period of a device where security updates are available.
Grosvenor Technology’s Commitment to Security
Achieving PSTI 2022 compliance was an important step for Grosvenor Technology. We have been able to ensure our products not only meet but exceed the expected requirements, offering our customers peace of mind.
At Grosvenor, security is not an afterthought – it’s at the core of our business. And by embedding security into every stage of development, our solutions are resilient to cyber threats and provide our customers and end users with peace of mind.
Our commitment to security extends beyond just achieving compliance. We actively monitor emerging threats, continuously update our products, and provide ongoing support to ensure our customers’ systems remain secure.
A Secure Future Together
We believe that trust is a vital aspect of every successful business relationship. By achieving PSTI 2022 compliance, we are reaffirming our commitment to providing our customers with the most secure and reliable products possible."
https://www.grosvenortechnology.com/insights/building-trust-through-compliance-our-commitment-to-secure-products/
"Arena victim's mum ends 200-mile walk over new law
Paul Burnell & PA News
BBC News
2 hours ago
The mother of a Manchester Arena bombing victim is set to conclude her 200-mile (321km) trek to Downing Street to insist a law tightening security at public venues is introduced.
Figen Murray, whose son Martyn Hett was killed in the 2017 attack, set off from the arena at 11:00 BST on 7 May.
She said she had waited 18 months since Prime Minister Rishi Sunak told her in a phone call that he was supportive of Martyn's Law, which has yet to get beyond draft stage.
The Home Office said it was in the final stages of drafting the legislation.
Bombing anniversary
Mr Hett was one of 22 people killed after suicide bomber Salman Abedi detonated a homemade device at the Ariana Grande concert on 22 May 2017.
Ms Murray is expected to meet with Mr Sunak and Labour leader Sir Keir Starmer later, with the end of her 16-day journey to number ten, marking the seventh anniversary of her son's death.
She said she wanted to look Mr Sunak "in the eye" and call for the law's implementation.
Plans for a law aimed at improving counter-terrorism measures at venues and in public spaces were included in the Conservative manifesto in 2019, and the 2022 Queen's Speech.
A consultation on a bill for Martyn's Law closed in March, with the results being considered by the government. ..."
https://www.bbc.co.uk/news/articles/cyjjnv4wpddo
Today is International Human Resources Day 2024: and with a theme that emphasises HCM (Human Capital Management) technology like NWT's:-
"The CIPD celebrates International HR Day 2024
Join the global celebrations of the people profession and explore engaging discussions on ethical tech and AI integrations, future workplaces and more
Join us in celebrating this year’s IHRD International HR Day on 20 May.
This year’s theme is HR Shaping the new future with four sub themes of:
• Ethical use of technology and AI
• Future workplaces
• People leadership
• Continued innovation in skills and education ..."
https://www.cipd.org/uk/about/news/cipd-celebrates-international-hr-day-2024/
And indeed Grosvenor Technology is exhibiting at the CIPD exhibition in London in barely three weeks:-
"An Eventful Season For Grosvenor Technology
As part of Newmark Security, Grosvenor Technology is gearing up for a busy exhibition season showcasing its industry-leading security and workforce management solutions worldwide. From Birmingham to Amsterdam to Chicago, the Grosvenor team is demonstrating the power of its technology designed to transform workplace operations.
This spring, you can meet key team members at:
• The Security Event 2024 (Birmingham NEC, April 30 – May 2)
• HR Technology Europe (RAI, Amsterdam, May 2-3)
• CIPD Festival of Work 2024 (ExCel, London, 12-13 June)
• SHRM Annual Conference and Expo (Chicago, June 23-26) ..."
https://newmarksecurity.com/insights/an-eventful-season-for-grosvenor-technology/
Like the term 'mobile phone', the term 'timeclock' can be a bit of a misnomer, as GT themselves point out; but it's a term that people seem happy to run with:-
"Experience Meets Innovation
For nearly 50 years, GT Clocks has been providing Human Capital Management (HCM) solutions. Our success has relied on our continuous innovation, which is driven by our extensive industry experience. GT Clocks is committed to delivering quality solutions and services to our clients.
While our products and services have evolved over time, our core philosophy remains unchanged: to provide our HCM partners with dependable and technologically advanced devices, data-entry terminals, or what many of our valued partners still affectionately refer to as ‘timeclocks.’ We don’t mind; we’re proud to be known as the ‘clock guys.’
At GT Clocks, we take immense pride in our exceptional team. Whether it’s in Operations, Sales, or Development, we foster a collaborative approach to deliver more than just secure, intelligent solutions."
https://gtclocks.com/about/
The term 'technologically advanced edge computing data-entry terminal devices' would probably be more accurate for GT's solutions ... but it doesn't have quite the same ring to it!
So timeclocks it is then ... and the market opportunity is huge.
NWT 'STOCK-&-ROLL' ANAYLSIS: PART THREE
So a rockingly good full-year trading update this week from NWT, which was music to my ears: and in effect a 'siren call' to buy NWT shares.
And so, as an alternative to reading tea leaves, some more 'stock-& roll' analysis here seems absolutely appropriate, following on from parts one & two (The Human League & The Doors).
Well, my 'divining rod' is now pointing me in one particular direction, reflecting NWT's combination of 'style & substance':-
https://www.newsweek.com/2022/09/02/roxy-music-celebrate-50-years-style-substance-1735830.html
And Roxy Music's fifth studio album "Siren" can very aptly help to illustrate NWT's investment credentials:-
https://en.wikipedia.org/wiki/Siren_(Roxy_Music_album)
Track listing, Side one:-
1. "Love is the Drug" - Loving the buzz from NWT.
2. "End of the Line" - A NWT buy-out.
3. "Sentimental Fool" - Missing NWT after being bought out.
4. "Whirlwind" - Grosvenor Technology's expansion in America.
Track listing, Side two:-
1. "She Sells" - Marie-Claire's marketing background.
2. "Could It Happen to Me?" - Hoping for a 100-bagger.
3. "Both Ends Burning" - NWT's TWO 'on fire' subsidiaries: Grosvenor Technology & Safetell.
4. "Nightingale" - NWT's sweetly poetic success.
5. "Just Another High" - NWT's remorseless rise.
Even the album's cover art, which features model Jerry Hall in a mermaid-like look, seems fitting.
As NWT has an increasingly MER-made aspect to it: i.e. greatly increased maintenance business, like former fifty-bagger Mears Group (MER) - a move that is going swimmingly well!
Roxy Music - "Both Ends Burning"
https://www.youtube.com/watch?v=VGXF2uXs0ak
Good write up Hedgehog. We've not been wrong to date and I totally agree that the next 18 months will be a multi-bagging opportunity. Unfortunately we've had such a small cap that we've been considered niche, to mulibag to the higher end valuation, we needer some momentum in the underlying numbers and the shareprice. We're on the cusp, we need hard numbers to push higher, but it will come. I have every confidence we can tell our story to new investors and the numbers will do the talking. Good luck.
NWT's FY revenue growth looks healthy, albeit not huge. But the half-on-half increase is far more impressive, and on an annualised compounded level equates to annual revenue growth of over 25% p.a. Which combined with improving margins, creates the basis for quite exceptional profit growth.
While NWT's HCM ARR year-on-year increase of 28%, to £2.9M. for April 2024, is particularly exciting.
28% p.a. growth compounded equates to a more than doubling in three years.
And at VERY high profit margins, as outlined in my following 23.7.23 post:-
Hedgehog100 Posts: 3,536 Price: 52.50 Strong Buy
Potential Gross HCM ARR Profit of £7.14M. p.a. in year ending 30.4.26 23 Jul 2023 13:00
" ... i would take that to mean a gross margin of c. 80% - 90%, as nwt is best-in-class ..."
https://www.lse.co.uk/ShareChat.html?ShareTicker=NWT&share=Newmark-Security&thread=08512472-6769-4E3F-B620-64F8F62CDA34
So I fully agree with you Dab that for NWT's current FY, ending 30.4.25, earnings of £3M.+ looks very plausible.
Which would represent a quite phenomenal escalation of earnings, and with plenty more likely to come.
So a P/E of 3? More likely a P/E of 30, which could see NWT moving to the c. £100M. market cap. & c. £10/share level.
And this could be happening just sixteen months from now, when NWT's current FY results are reported.
Though you would obviously anticipate dramatic moves up earlier too.
14th May 2024 7:00 am RNS Full year trading update
" ... Improved profitability and cash flow generation in FY24 ..."
https://www.lse.co.uk/rns/NWT/full-year-trading-update-4e9ai7eo5n4a8ts.html
So an increase in full-year profit for NWT's year ending 30.4.24, compared to its previous year.
This would equate to latest H2 earnings of over £404K.:-
Half-year ending 31.10.22: post-tax profit (earnings) £458K.
Half-year ending 30.4.23: post-tax loss (earnings) £105K. = post-tax profit (earnings) £353K. for full-year
Half-year ending 31.10.23: post-tax loss (earnings) £51K.
Full-year ending 30.4.23: post-tax profit (earnings) over £353K.
= For half-year ending 30.4.24: post-tax profit (earnings) over £404K.
But the probability is that the FY increase in earnings will be significant-substantial, for NWT to confidently report it just two weeks after its year end, and considering the cash-generation etc.
Indeed Dab is predicting a H2 profit of over £1M.
So NWT's earnings blip due to the loss of the UKG business is well and truly over.
And remember that this loss was due to a benign reason (UKG taking the business in-house), and is unlikely to be repeated, because:-
• It stemmed from a $22 billion merger of Kronos and Ultimate Software in 2020.
• For a historical reason, Kronos was a software company that unusually made its own hardware device.
Both of those things (i.e. a $22 Billion merger, and a software company making its own hardware device) are pretty unusual.
And although this still resulted in lost NWT business, not any that reflected upon the quality and value of its offering.
One interesting snippet from yesterday's Marie-Claire interview is that NWT now have twelve staff working for GT Clocks in America, up from eight not that long ago, and from nine at the time of the last AGM (31.10.23):-
"View all 8 employees"
https://www.linkedin.com/company/gt-clocks
dab808 Posts: 255 Price: 48.50 Strong Buy AGM (part 1)
"... We discussed the US business in more detail than ever before. We have 9 FTE based in the US. They are doing an amazing job and across HCM we are now working with 40 software vendors. These US staff is supported from the UK, this provides a very cost efficient way of working. As reported in the RNS today subscriptions are up significantly. As the software vendors are doing much of the business development, and we support from the UK in the background, we do not need to add significantly to the head count as we grow. We have a very scalable and low overhead operating model with reoccurring revenues. Not only is this growing rapidly in the US but we now have the rest of the world (reported as up 35% from a low base to scale on) again without adding much overhead. Given our growing presence in the US, Marie-Claire is out in the US in a few weeks time and will present to some US investors our business and model - exciting stuff. ..."
https://www.lse.co.uk/ShareChat.html?ShareTicker=NWT&share=Newmark-Security&thread=FACF7D8B-CB31-41F2-AF44-D12D4265B1BA
And America is enjoying boom conditions:-
"The U.S. economy is on a hot streak it hasn't seen in 20 years
Provided by Dow Jones
Apr 17, 2024 1:58pm
By Jeffry Bartash"
https://www.morningstar.com/news/marketwatch/20240417287/the-us-economy-is-on-a-hot-streak-it-hasnt-seen-in-20-years
And America is becoming increasingly attractive to investors:-
"Why are investors increasing allocations to US equities?
Expensive for a reason
• US equities have continued to outperform global markets leading to significantly higher valuations than their global peers.
• While a lot of this is driven by some mega-cap names, or the ‘Magnificent 7’, even without these, there would be a valuation gap.
• One simple explanation is that investors are willing to pay for more profitable companies – US company earnings continue to impress.
Too big to ignore, they own the future
• A number of US companies are shaping the world of tomorrow, to some extent owning the future – whether in tech or sustainability.
• The US makes up more than half of global stock markets by capitalisation and offers a high concentration of well-established companies, with global operations and diverse revenue streams.
Diversity of choice ..."
https://www.franklintempleton.co.uk/our-funds/investment-topics-in-focus/the-case-for-us-equity-investment
So NWT is a timely opportunity to obtain top American growth exposure at a bargain basement price.
Without the foreign dealing costs and potential research etc. difficulty of buying American stocks directly.
14th May 2024 7:00 am RNS Full year trading update
" ... Financial Position
The Group's cash at 30 April 2024 was £1.1 million (30 April 2023 cash: £0.6 million). This increase was due to an improvement in operating cashflows driven by higher revenues and increased margin percentage, particularly in the second half of the year.
FY24 cashflows were also helped by an easing of inventory levels following the building up of positions over the last couple of years to mitigate against the supply chain challenges which have now eased.
The Group currently has capacity within its UK and US invoice financing facilities to provide further working capital headroom as the Group continues to grow. Banking net debt at 30 April 2024 was £2.0 million (30 April 2023: £3.0 million). ..."
https://www.lse.co.uk/rns/NWT/full-year-trading-update-4e9ai7eo5n4a8ts.html
fft100 Posts: 33 Price: 102.50 No Opinion
RE: Strong update 14 May 2024 11:22
"Dab808, thanks for the update.
However, the reductions in inventory, and thus conversion to both cash and profits will probably be a one off, unless they still have excess inventory in which case it will be a 2 year one off (if you get me !). The underlying cash and profits increases will be a lot lower. ..."
Fft,
An easing of inventory levels should be largely profits-neutral, other things being equal: i.e. simply a change from one type of current asset (inventory), to another type or types (i.e. cash etc.)
It's an understandable misperception, as cash generation is associated with profits, but no, this shouldn't have any great impact on the profitability, I wouldn't have thought.
Though there could potentially be some lesser impact on profitability, depending upon the speed of inventory turnover, & prices paid.
Cash is different, and inventory reduction has helped the cash position, as the company has stated: but it makes it plain that this was quite a subsidiary factor in the cash increase, so not the major factor that you are suggesting.
And to the extent that it's a 'one-off' it's still a useful contribution; and as cash-generation tends to lag profits in a growth business, and profits are increasing, cash-generation should continue to increase.
Proactive coverage:
https://youtu.be/izjfN4FX8TA?feature=shared
Released this morning , then followed by a purchase shortly afterwards (coincidence?).
Story telling on the strategy delivery, embedding profits and rosy outlook is now critical to lifting us higher. Let's hope some wider coverage can flow in the coming months.
Also the lack of selling into the new high is quite telling, good for FFT to book some profit but so much more value to come through we hope. GLA
"Security Trends: Six Ways to Improve Safety in 2024
... Trend 6: AI in analytics
While AI has quietly been revolutionising industries for decades, the launch of ChatGPT in November 2022 thrust AI into the mainstream. In security, AI has emerged as a trend for the first time this year. Its ability to enable richer and faster insights is a key tool to drive better decision-making, and this is reflected in 44% of respondents already using AI analytics tools through third-party as-a-service offerings.
AI-powered analytics tools can identify threats automatically, reducing the amount of manual work required and improving the accuracy of threat detection by analysing patterns from vast amounts of data. It isn’t only analytics where AI is being used, though: 11% of respondents said they are using AI-enabled RFID devices, 15% are using AI-enabled biometrics, and 18% use AI to support their physical security solutions.
Securing the future
It is clear that innovation in security must not only keep pace with emerging threats, but stay ahead of them. Bad actors do not sit still, and security professionals must embrace sustainable solutions that deliver outstanding physical and digital security.
Grosvenor Technology is committed to innovation that aligns with industry trends, mitigating evolving security threats by using forward-thinking technology to keep workplaces safe worldwide."
https://www.grosvenortechnology.com/insights/security-trends-six-ways-to-improve-safety-in-2024/
"Security Trends: Six Ways to Improve Safety in 2024
... Trend 3: Sustainability
The critical path towards net zero set out by the Paris Agreement means strategies that drive more sustainable practices are increasingly important across all industries. Security is no different, with 56% of survey respondents rating sustainability as a top priority for 2024, while 74% of end users say they’ve seen the importance of sustainability increasing over the past year, and 80% of partners report the trend growing in importance among their customers.
Advancements in technology enable organisations to embrace more energy-friendly security and identity practices. The rise of mobile device usage and the shift towards cloud-based solutions reduce waste and minimise energy use, helping to meet sustainability goals.
Trend 4: Biometrics
Facial recognition, fingerprint and palm print authentication, and voice authentication remain an area of top interest for 50% of respondents. While there are ongoing concerns over privacy that must be addressed through regulation, biometrics’ efficiency, security, and variety of use cases mean it is increasingly popular among organisations of all sizes.
The report states that the global market for biometrics is expected to grow from $47.8 billion in 2023 to $86.1 billion by 2028, and its survey backs that up: 8% of end users plan to test or implement some form of biometrics in the next year and 22% plan to do so in the next three to five years.
Trend 5: The Cloud
Over a third of respondents (36%) said the rise of cloud-based authentication or identity management delivered as a subscription service is an important trend. These services simplify the process of creating and managing identities through a secure cloud delivery model. Currently, 24% of end users use cloud-based identity management, while another 24% are in the process of implementing systems.
This rise of centralised platforms for identity data, user authentication, and resource-access authorisation delivered as a service is aligned with the rise of mobile access technologies and Zero Trust goals. ..."
https://www.grosvenortechnology.com/insights/security-trends-six-ways-to-improve-safety-in-2024/
Another new article just added to Grosvenor Technology's website: & it's another excellent one from Paul Smith, Head of Quality & Compliance:-
"Insights
Security Trends: Six Ways to Improve Safety in 2024
In an era of rapid technological advancement, the security landscape is in a perpetual state of flux, with new threats and bad actors constantly emerging.
Paul Smith
Head of Quality & Compliance
In an era of rapid technological advancement, the security landscape is in a perpetual state of flux, with new threats and bad actors constantly emerging. In response, the security industry is continuing to push into new frontiers, with digital solutions driven by the likes of artificial intelligence (AI), biometrics, and multi-factor authentication.
Enterprises are facing ever-evolving challenges in safeguarding their physical and digital infrastructure. Understanding the dynamics behind new threats is key to fortifying defences and requires staying on top of emerging trends to make better-informed decisions. Therefore, the 2024 State of Security and Identity report, commissioned by HID, is an essential read for the industry.
The report surveyed over 2,600 end users and industry partners worldwide and identified the six major trends currently shaping security and identity.
Let’s take a look.
Trend 1: Multi-factor authentication
A large majority (85%) of respondents rated multi-factor authentication (MFA) among the most important trends for the coming year, while 83% of end-user respondents said their organisation uses MFA.
This widespread adoption of MFA is a clear signal that we are on a journey towards Zero Trust, a worst-case scenario approach that verifies every request with the assumption that it came from an uncontrolled source or network. While Zero Trust can appear overwhelming to implement, MFA is a relatively simple stepping stone for organisations with medium- or long-term Zero Trust goals.
Unsurprisingly, the report found that larger organisations are further down the path towards Zero Trust: 16% of enterprises with over 100,000 employees and 14% of those with 5,001 to 9,999 employees have implemented Zero Trust, while only 5% of those with under 100 employees have done so.
Trend 2: Mobile identities
Nearly three-quarters of respondents (72%) said mobile identity was a top 3 trend, while 64% of organisations reported some level of mobile ID deployment, with that number expected to increase to 79% within the next five years. Industry partners are particularly optimistic, stating that 94% of their customers will have deployed mobile IDs.
... the convenience of authenticating themselves using a device they already carry is attractive for end users. Also appealing is that security safeguards mean identities can be protected even if the mobile device is lost or stolen. ..."
https://www.grosvenortechnology.com/insights/security-trends-six-ways-to-improve-safety-in-2024/
It's the most frustrating thing fft100. Other than pitching up at Proactive and a few other investors briefing session we are not great at self promotion. Who's out there today promoting our story to investors? This is not the results but today's announcement firmly underlines we've emerged like a phoenix and are ready to soar to new heights. I get that Marie-Claire has been burned by the past but a US business attitude would have us at 200p a share today! Marie-Claire said her plan is to be more forwards looking but wouldn't give me a timescale in January. I will press her harder when we next catch up. Have faith. The numbers are now starting to do the talking.
Dab808, thanks for the update.
However, the reductions in inventory, and thus conversion to both cash and profits will probably be a one off, unless they still have excess inventory in which case it will be a 2 year one off (if you get me !). The underlying cash and profits increases will be a lot lower.
Again, the TU gave no indication of 2025 activity and new sales/contracts going forward. Lots of nebulous puff comments. I have written to them before about this, but they seem intent on running it as a private business.
Early thoughts on today's trading update.
Revenue >£22m. This is an important statement.
Revenue for 2H 2023 was £9.7m. So 2H 24 at £11.6m is 20% higher. The issue with a 2H comparison is that we cannot see when in Q3 UKG stopped so this is more impressive than it appears. 1H 24 revenues stood at £10.4m, so 2H 24 revenues are up 12%. It appears we have steady growth embedding at around 5% a quarter. If we continue on this basis revenues for FY 25 will likely be in the region of £26.8m. The £22m is a minimum of, so we have to wait for the results to see how much higher this projection will go.
Subscriptions to £2.9m (28% growth). This is a fantastic result. We need more information on the length of these subscriptions and forward projections but this is now 15% of revenues and growing.
Financial position. Cash at £1.1m is up £1m in the 2H. Debt down by £1m. This is a £2m swing. Suggesting the balance sheet will be improving significantly each period.
Profit - So no doubt there will be a significant profit. Inventory levels dropping have added to the cash flow but should also add to the profit as less new inventories have been purchased. Last year there were references to under deployed resources, I don't see that as an issue at present, what is good about that is revenue growth using this capacity falling straight to the bottom line. I predict a profit in excess of £1.2m-£1.5m for the 2H. So £1.1m to £1.4m for the FY 24 (taking into account £0.1 loss in 1H 24. But FY 25 is looking like £3m+ and thus a PE of 3 on a business growing at 20%+ a year.
STRONG BUY
Except we've broken a pound!
Trading update due shortly (perhaps this week) and we've moved up nicely. Reported sells look like buys but certainly the trend is upward. My year end prediction of between 150p-200p moves closer although I'm hopefully at the prudent end. There is so much positivity. Great to see the releases you've been re-posting Hedgehog.
This is a £50m business, not a £9m one. 5X to go!
Safetell success at Stonehenge,
With all the latest trends.
A project so legendary,
It lingers in memo-ry,
And wins so many friends.
"Stonehenge
Protecting Britain’s Heritage"
http://www.safetell.co.uk/case-studies/protecting-britains-heritage/
"National Limerick Day
May 12, 2024
National Limerick Day, a whimsical celebration of wit and rhyme, tickles our funny bones annually on 12th May. Whether you’re a seasoned wordsmith or simply enjoy a good laugh, this day is dedicated to the playful art of crafting limericks and revelling in their delightful absurdity.
This special day commemorates the birthday of Edward Lear, the masterful poet known for popularizing the limerick form with his collection of “A Book of Nonsense.” With their distinctive rhythm and cheeky humour, limericks have charmed readers for centuries, offering a brief escape into the realm of nonsense and mirth.
To honour National Limerick Day, let’s unleash our creativity and conjure up some jovial content ideas for your social media and digital platforms. ..."
https://awareness-days.co.uk/awareness-day/national-limerick-day/2024-05-12/
So it's National Limerick Day 2024 today.
So just for fun, here's a humble contribution from myself:-
He Safely Tells with G&T,
Of unicorn-like NWT.
He says it's HeSaaS,
That's why it's going so fast,
And it made stock exchange his-story.
"Compliance as a Catalyst: How Regulations Shape Our HCM Solutions
... Strategies for Success
Companies can’t afford to take a passive stance when it comes to compliance.
Besides legal obligations, a duty of care to your employees needs to be a driving force behind your active approach to data security.
To ensure adherence to applicable compliance regulations, a business should consider:
Legal Expertise
Invest in guidance from specialists in data privacy laws to ensure you have all the right information. Compliance regulations are shifting sands, and professional support can keep you in the clear.
Invest in Technology
While duty of care will always remain with the data controller, technology like our HCM solutions, can provide a simple and secure way to manage your data while maintaining compliance with differing regulations.
Robust encryption, secure data handling, and auditable processes all present a compelling solution to the data compliance problem.
Compliance Super-Charges Change
There’s no doubt that compliance is a headache – a necessary but challenging obstacle to global business. But these obstacles present our industry with a catalyst for innovation – a space for us to demonstrate our expertise and excel where it matters. In delivering HCM solutions that address the data privacy issues of today, but with a keen eye on tomorrow.
At Grosvenor Technology, we understand the vital role compliance plays in the success of businesses worldwide. We designed our solutions to help simplify the complexities of data protection regulations.
To discover more about our HCM solutions, click here."
https://www.grosvenortechnology.com/insights/compliance-as-a-catalyst-how-regulations-shape-our-hcm-solutions/