Last checked at 26 May 2020 07:00
26 May 2020
The Panoply Holdings PLC
("The Panoply", the "Group", and the "Company")
Contract win, trading update and private investor webinar
The Panoply (AIM: TPX), a digitally native technology-enabled services company, is pleased to announce that Group business FutureGov has signed a significant digital transformation contract with a large, global philanthropic organisation.
This contract, which is worth a total of US$5.2m over 14 months, will see FutureGov supporting the organisation's teams across EU capital cities to focus on and transform local government services in order to deliver better outcomes. Using its extensive experience and expertise in the digital transformation sector, FutureGov will produce bespoke, digitally-enabled community focused services that seek to address current major issues facing communities.
This contract is another success for the Group in the public sector, further demonstrating the strength of the Group's offering in this field, the importance of its purpose-driven work and also its ability to continue securing significant new business wins even during this time of heightened uncertainty.
Trading update
Coming into the current financial year, the Group had a confirmed backlog deliverable in the year, including annualised recurring revenue, of approximately £15m. The contract with the philanthropic organisation is one of a number of new business wins the Group has signed in the last eight weeks (since 1 April 2020), which comprises a total value of £9.5m, the majority of which will be delivered this financial year.
The Group expects to report a strong performance for the first quarter of FY21 with year-on-year organic growth on a like-for-like pro forma basis*. Margins are expected at pre-COVID-19 levels, driven by the volume of new work secured. Alongside this the Group expects continued profitability and strong cash generation.
Whilst the uncertainty created by the COVID-19 pandemic means it remains very difficult to predict performance going forward, the Group remains confident in its market offering that spans technology, design and strategy, with around 70% of pro forma revenues now coming from public services.
*Q1 FY20 revenue on a pro forma basis, including Ameo and FutureGov, would have been approximately £9.1m. Ameo and FutureGov have been included to show a true like-for-like comparison.
Investor webinar
Further to this update, The Panoply's CEO, Neal Gandhi and CFO Oliver Rigby will be hosting a private investor webinar on Tuesday, 2 June 2020 at 14.00. Registration for the webinar is available via the following link: https://bit.ly/TPX_Update
Issue of consideration shares
As announced on 28 April 2020, the acquisitions made by the Group to date have traded in line with expectations and so it is anticipated that further consideration in line with previous guidance of approximately £17m will become payable. This consideration will become payable following the release of the Group's FY20 results, expected to be in July 2020, and will result in the issue and allotment of c.21.5m new shares in The Panoply. This represents c.40% of the current issued share capital.
Neal Gandhi, CEO of The Panoply commented:
"We always believed that our aim of being purposeful in our approach would deliver great financial returns. This has been proven so far this year with the group winning £9.5m in new work since April 1st, an eight week period that for many has been the most challenging in living memory. I'm immensely grateful to our people who have gone above and beyond in order to deliver what looks set to be a record Q1 with organic growth on a like for like basis.
I would particularly like to mention our teams that have been involved in COVID-19 emergency response related projects. They have worked tirelessly to deliver projects in difficult circumstances that have contributed to ensuring those most in need of help have received it."
Enquiries:
The Panoply Holdings Neal Gandhi (CEO) Oliver Rigby (CFO) | Via Alma PR |
Stifel (Nomad and Broker) Fred Walsh Alex Price | +44 (0)207 710 7600 |
Alma PR (Financial PR) Josh Royston Susie Hudson | panoply@almapr.co.uk +44(0)203 405 0206 07780 901979 |
About The Panoply
The Panoply is a digitally native technology services company, built to service clients' digital transformation needs. Founded in 2016, with the aim of identifying and acquiring best-of-breed specialist information technology, design and innovation consulting businesses across Europe, the Group collaborates with its clients to deliver the technology outcomes they're looking for at the pace that they expect and demand.
More information is available at www.thepanoply.com