LONDON (Alliance News) - Back office optimisation software company EG Solutions PLC Thursday said it expects to report a pretax loss of no more than GBP1.5 million for the full-year to January 31, in line with market expectations.
In a trading update ahead of its results on March 19, the company said it expects to report revenue of around GBP4.5 million as it secured a number of new contracts during the year, including a GBP750,000 contract to further manage cloud services from an existing major third party outsourcing client.
Overall, EG said recurring revenue has continued to grow, increasing by 36% on the prior year and resulting in a contracted order book of approximately GBP6 million to be recognised over the coming two financial years.
Approximately 60% of revenues anticipated for the year ended 31 January 2015 are under contract, it added.
EG said it has continued to invest in software development with around GBP1 million invested for the year enabling it to launch the latest version of the eg operational intelligence software suite will be launched in March.
The tool will allow businesses to analyse operations.
Financially, at the end of January the firm's net overdraft was GBP312,000 compared with GBP301,000 a year earlier. It has also entered into a new convertible loan facility with new and existing investors which the company may drawn down up to GBP500,000.
The loan facility will be deployed for general working capital purposes.
The stock was trading at 46.00 pence Thursday morning, down 2.00 pence or 4.2%.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
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