15 Dec 2016 07:00
Falanx Group Limited
("Falanx" or "the Company")
ANNUAL GENERAL MEETING STATEMENT AND TRADING UPDATE
Falanx Group (AIM:FLX), the global intelligence, security and cyber defence provider, is pleased to provide an update on its current trading, ahead of the Company's Annual General Meeting, which will be held today at 10:00am at the offices of DWF LLP at 31st Floor, 20 Fenchurch Street, London EC3M 3AGr.
Trading Update
The Company is pleased to announce further progress in its third quarter, in line with the guidance given in its interim results released on 1 November 2016, with highlights as follows:
· Falanx Cyber Defence has secured its first FTSE100 Banking and Retail Financial Services client. Initial revenue of £0.4m is expected to be generated in the current financial year.
· Falanx Intelligence has additional contracts to provide embedded expertise and increased services to a FTSE100 Telecoms Major and a FTSE100 Audit and Consultancy organisation, generating £0.24m and £0.23m respectively in this financial year.
· Focus on the Financial Services sector is proving successful, with a total of £1.25m of revenue being generated in this financial year by the provision of Intelligence and Cyber Defence services to a wide range of Banking, Fund Management, Trading and Financial Support services.
· On track for planned organic growth in H2, with significant staff hiring programme.
· Sufficient cash to fund H2 organic needs on a debt free basis.
The above described contracts, together with an ongoing focus on the Financial Services sector, have contributed to a good financial performance by the Company in the third quarter. It is clear that cyber-security and hacking is only increasing as an issue, not just for larger firms, but also for mid-sized firms who are handling sensitive transactions and significant sums of capital, but often unable to fund enlarged security teams within their smaller operational budgets. These firms are now looking to buy in their cyber defense and intelligence as a managed service and this mid-market is maturing quickly as a result.
Outlook
Falanx continues to make considerable progress in 2016, both in terms of its financial performance, contract wins and the strengthening of our senior executive team. We are engaged in a significant recruitment push across the business, which will, in turn, underpin our continued drive to positive cash flow from operations next year. As a consequence of the quality of our people and our offering, and the continued growth of the markets in which Falanx operates, we look forward to reporting full-year revenue in line with our expectations and, with considerable confidence, to 2017.
A downloadable copy of the CEO's presentation for the 2016 AGM can be found at;
http://www.falanxgroup.com/aim-rule-26/announcements/
Enquiries:
Falanx Group Limited Stuart Bladen, Chief Executive
| via Walbrook PR www.falanxgroup.com www.falanxassuria.com www.falanxcyberdefence.com |
Panmure Gordon (UK) Limited Nominated Adviser & Joint Broker Andrew Godber / Peter Steel
| +44 (0) 20 7886 2500 |
Whitman Howard Limited Joint Broker Nick Lovering / Francis North
| +44 (0) 207 659 1234 |
Walbrook PR (Media and Investor Relations) Paul Cornelius / Nick Rome | +44 (0) 207 933 8780 falanx@walbrookpr.com |
About Falanx
Falanx Group Limited, is a global intelligence and cyber defence provider working with blue chip and government clients. The Group listed on AIM in June 2013 under ticker FLX For more information: http://www.falanxgroup.com/
MAR
This announcement contains inside information for purposes of Article 7 of Regulation (EU) No 596/2014