ATQT.L Regulatory News (ATQT)

26 July 2021

Attraqt Group plc

("Attraqt", the "Group" or the "Company")

Trading Update

Attraqt Group plc (AIM: ATQT), a leading provider of online search, merchandising and personalization solutions for ecommerce, is pleased to provide the following trading update covering the six-month period to 30 June 2021 (H1 FY21). Financial performance for H1 was in line with management's expectations, with revenues of c.£11.1m delivered in the half.

The Company has continued to see good momentum in capacity and product upsells; total ARR bookings were up 40% year-on-year including seven up-sells of its AI Search capability. The addition of AI Search capabilities into the Group's offering was at the core of the rationale of the acquisition of Aleph in October 2020. As separately announced today, the Company is pleased that 95% of the transferral of intellectual property from Aleph has now been achieved (with the remaining 5% anticipated in the coming months) and AI has become the centrepiece of the Company's offering, providing greater competitive differentiation.

The Company signed eight new logos in the period, including a new contract with the international arm of a major British multinational retailer where the Group sees good scope for expansion over time. The ongoing pandemic related uncertainty has continued to result in the delay of some customer decisions, impacting new bookings and thus revenue outlook for the full year, which nevertheless remains broadly in line. The second half has begun well with two new logos, including a major FTSE 250 listed retailer, signed so far. This is further evidence of Attraqt's ability to capitalise on the structural shift of retailers and brands prioritising investment in online channels, customer experience and platform optimisation.

In addition, in line with its strategic focus on increasing the speed of innovation, the Company appointed Paul Tough into a more senior management role as its Chief Technology Officer in February 2021. Paul brings over 25 years of experience developing award-winning companies in the retail and digital ecommerce industry. He has experience working with major brands (across retail, telco, grocery and travel industries) developing their customer-focused digital platforms and ecommerce solutions.

As a result of the Company's work on customer success, operational excellence and product innovation, net revenue retention for the period increased to 103% (H120: 98%) - a record level for Attraqt. This continues to be an area of focus for the Group's Customer Success teams.

The Group expects to announce its Interim Results for the six months ended 30 June 2021 in late September.

Mark Adams, CEO of Attraqt commented:

"We are pleased to have been able to continue to make good operational and financial progress over the period. It is clear that our offering is critically important to our existing customers and relevant to prospective ones looking to improve the product discovery experience and optimise conversion through our technology. The continued investment in our product is enhancing our competitiveness as well as our improving our ability to retain and build revenues in our customer base as evidenced by our strong net revenue retention through the first half of the year. However, we remain cognisant of the ongoing impact the pandemic has in delaying some customer decisions. 

We are delighted to have seen a number of new logos take up our new AI Search product, a testament to the value it can provide and how well placed we are to capitalise on the opportunities available to us. We remain focused on servicing our customers' needs, achieving operational excellence and bringing further innovation to the market."

For further enquiries please contact:

About Attraqt Group plc

Attraqt powers exceptional shopping experiences for over 300 of the world's leading brands, manufacturers and retailers. Attraqt provides a set of API-enabled, algorithm-driven, intelligent SaaS services covering personalization, search, navigation, merchandising, recommendations and internationalization.The platform unifies and empowers all key customer journey stakeholders. Enabling business, data and technical teams to successfully leverage existing eCommerce technology investments. Ultimately ensuring individualized and connected micro-experiences that support commerce discovery through to inspiration and purchase, and beyond.The Attraqt platform orchestrates AI models in real-time while allowing clients to integrate their own algorithms. This helps build true personalization strategies and creates differentiated experiences at scale, so our customers can exceed the expectations of today's shopper, while reaching commercial goals.Attraqt is publicly listed on LSE: AIM and headquartered in London, with offices in Amsterdam, Paris, Sofia, Hamburg and Sydney.

www.attraqt.com