(Alliance News) - Darktrace PLC on Wednesday upgraded its guidance for the 2022 financial year, after reporting strong sales growth in its first results since going public in April.
The Cambridge-based cybersecurity firm, which will join the FTSE 250 on Monday, made revenue of USD281.3 million in the year ended June 30. That's up 41% from USD199.1 million in financial 2020. Its pretax loss widened to USD147.6 million from USD26.9 million; however, adjusted earnings before interest, tax, depreciation and amortisation rose to USD29.7 million from USD8.9 million.
Growth was "robust" across all geographic markets and contract sizes, Darktrace said. Demand has been bolstered by businesses adapting to home-working, increasing the threat of cyberattacks and the need for defence systems. The customer base expanded 45% in the year, to 5,605 from 3,853, the company added.
Darktrace now expects revenue to grow by 35% to 37% in financial 2022, up from the previous forecast of 29% to 32%. That reflects "strong sales trends exiting the second half" of financial 2021, and sales in the new financial year at the upper end of expectations.
Shares were up 5.3% to 672.00 pence in London on Wednesday morning, valuing the company at GBP4.83 billion. It continues the stock's meteoric rise since the initial public offering, when shares were sold for 250p each at a GBP1.7 billion valuation.
"The concerns which dogged cyber security Darktrace ahead of its stock market listing...have well and truly been put in the shade after the company's maiden results," AJ Bell Investment Director Russ Mould said. The IPO caused concern over the role of founding shareholder Mike Lynch, who has been charged with fraud by the US government, which he denies.
"This is not the first time guidance has been lifted and it's a useful habit for a newly listed business trying to forge a reputation on the public markets to get into. IPO costs mean losses have actually increased but, for now at least, investors seems to be prepared to look past a lack of profitability to the prize Darktrace is chasing in a fast-moving and fast-growing industry," Mould added.
Chief Executive Poppy Gustafsson said: "At our first full-year earnings, we are very pleased to report robust financial and operational performance, and strong growth, during the period."
By Ivan Edwards; ivanedwards@alliancenews.com
Copyright 2021 Alliance News Limited. All Rights Reserved.
Darktrace (DARK)