Last checked at 29 Nov 2021 07:00
The information contained within this announcement is deemed by the Company to constitute inside information pursuant to Article 7 of EU Regulation 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 as amended.
29 November 2021
Osirium Technologies plc
("Osirium" or "the Group")
Trading Update
Osirium Technologies plc (AIM: OSI), a leading vendor of cloud-based cybersecurity software, today provides an update on the trading for the current financial year ending 31 December 2021.
The Group has continued to make good operational and strategic progress with an impressive c.70% increase in new customers in the second half of the year to date, compared to the same period in 2020, demonstrating success in the Group's growth opportunities. New customer acquisitions has been driven by the Group's increased reach into new markets and a more general acceleration of interest in Privileged Security products across a number of sectors.
Average initial contract values have been lower and decision times longer, however, due to ongoing caution and disruption around customers' strategic IT plans, due to the COVID-19 pandemic. As a result, the Board anticipates that bookings and revenue for the year to 31 December 2021 will be broadly at the same levels achieved in the prior year and slightly behind current market expectations. The Board anticipate a normalisation of customers' decision making in the New Year. Customer retention rates remain high at 97% by value, demonstrating the value customers attribute to the Group's solutions and providing further foundations for 'land-and-expand' strategy.
As announced on 8 November 2021, Osirium's channel partner network is delivering opportunities overseas and domestically alongside the direct sales arm of the business, resulting in a growing number of leads. The Board will continue to assess and develop the Company's go-to-market strategies.
The Group has built an established 'best-in-class' Privileged Security suite, comprising three complementary product offerings to engage an exciting and substantial market opportunity which the Directors believe will be valued at approximately $25 billion by 2025.
As a result of these operational developments, the Group continues to add to its pipeline of opportunities for 2022. In addition to an expanded customer base and high level of customer retention, the Group has c.£1.5m of anticipated bookings from existing customer renewals due in 2022, as well as provide additional upside opportunities in 2022, as it further expands and deepens customer engagement.
David Guyatt, CEO of Osirium, commented:
"As a reflection of the demand for our services, we have continued to see growing customer numbers as we progress through the second half, along with sustained customer retention of >95% by value. While lower contract values have impacted our bookings and revenue, we believe our expanded market reach and penetration provides a good opportunity from which to execute our 'land-and-expand' strategy as the market continues to gain momentum and evolve. We will continue to review the Group's strategy for delivering long term shareholder value."
Simon Lee, Chairman of Osirium, added:
"While we remain confident in the long-term outlook for the Group and the demand for its services, we continue to consider the best options to ensure continued growth and to take advantage of the significant opportunities in the Privileged Security space."
Contacts |
|
|
|
Osirium Technologies plc | Tel: +44 (0)1183 242 444 |
David Guyatt, CEO |
|
Rupert Hutton, CFO |
|
|
|
Stifel Nicolaus Europe Limited | Tel: +44 (0)20 7710 7600 |
Fred Walsh Richard Short |
|
|
|
Alma PR (financial PR adviser) | Tel: +44 (0)20 3405 0205 |
Hilary Buchanan | osirium@almapr.co.uk |
Kieran Breheny |
|
Faye Calow |
|
About Osirium Technologies Plc
Osirium Technologies plc (AIM: OSI) is a leading UK-based cybersecurity software vendor delivering Privileged Access Management (PAM), Privileged Endpoint Management (PEM) and Osirium Automation solutions that are uniquely simple to deploy and maintain.
With privileged credentials involved in over 80% of security breaches, customers rely on Osirium PAM's innovative technology to secure their critical infrastructure by controlling 3rd party access, protecting against insider threats, and demonstrating rigorous compliance. Osirium Automation delivers time and cost savings by automating complex, multi-system processes securely, allowing them to be delegated to Help Desk engineers or end-users and to free up specialist IT resources. The Osirium PEM solution balances security and productivity by removing risky local administrator rights from users, while at the same time allowing escalated privileges for specific applications.
Founded in 2008 and with its headquarters in Reading, UK, the Group was admitted to AIM in April 2016. For further information please visit www.osirium.com.