AGM Statement

RNS Number : 7503S

Eagle Eye Solutions Group PLC

18 November 2021

 

18 November 2021

Eagle Eye Solutions Group plc

("Eagle Eye", the "Group", or the "Company")

AGM Statement

Expanding customer relationships deliver revenue and EBITDA growth

Eagle Eye, a leading SaaS technology company that creates digital connections enabling personalised, real-time marketing through coupons, loyalty, apps, subscriptions and gift services, is pleased to provide the following trading update, ahead of the Company's Annual General Meeting ("AGM") to be held at 1.00 p.m. today.

The Group has had a positive start to the financial year, delivering revenue growth of 35% in Q1 versus the prior year, an increase from the Q4 FY21 growth of 27%. As a result, the Board now expects adjusted EBITDA for the full year ending 30 June 2022 to be comfortably ahead of management expectations. This strong start to the financial year will allow the business to increase its investment in people to support future growth and capitalise on the global shift towards personalised digital marketing by retailers.

This strong performance has principally been driven by the significant customers won in prior periods moving into the transactional phase, including Woolworths, Staples US Retail and Virgin Red. The Group's broadening client base has delivered revenue growth across all of its major geographical regions of North America, UK & Europe and Australia & New Zealand.

In Q1, the Group has continued to deliver new customer wins and deepened its existing relationships, with highlights including the expansion of the Pret a Manger coffee subscription service into France and in the USA, the selection of Eagle Eye by Halfords Group plc as a partner to deliver a customer engagement solution with a targeted launch in early 2022, and a trial with existing customer, Asda, for a new loyalty programme, Asda Rewards.

Following the full lifting of lockdown in the UK in July 2021, the Group has seen a normalisation within its Food & Beverage and Non-Grocery revenue. The Group is now actively developing new brand customer discussions to capitalise on its significantly expanded hospitality network in which brands can offer promotions.

Balance sheet

We are delighted to announce a new three year £5m funding facility with Silicon Valley Bank, with up to an additional £2.5m available, subject to credit approval at the time, should there be an appropriate investment opportunity. This provides the business with security and flexibility over its financing options to deliver on its growth aspirations. Cash management continues to be strong with headroom ahead of management expectations.

Confident outlook

The Group is focused on delivering sustainable and profitable growth. This continues to be achieved through new customer wins and deepening the relationships with existing customers. The Group's sales pipeline continues to grow, both in the UK and internationally and, the Group has a proven ability to grow its existing customer relationships considerably over time through expanded use of the AIR platform.

To support these dual growth channels, the Group will continue to extend the capabilities of AIR to ensure it has the digital marketing solutions its customers require. The Group will carefully invest in increased sales and marketing activities, alongside its partner strategy, to capitalise on the strong starts made in the North American and Australian markets.

Having delivered a successful Q1 and with a record sales pipeline, the Board looks to the future with growing confidence.

Notes:

All financials based on unaudited figures.

Adjusted EBITDA excludes share-based payment charges along with depreciation, amortisation, interest and tax from the measure of profit.

For further information, please contact: Tim Mason, Chief Executive Officer Lucy Sharman-Munday, Chief Financial Officer	Tel: [phone]
Investec (Nominated Advisor and Joint Broker) Corporate Finance: David Anderson / Sebastian Lawrence Corporate Broking: Sara Hale / Will Brinkley / Charlotte Young	Tel: [phone]
Shore Capital (Joint Broker) Corporate Finance: Hugh Morgan / Daniel Bush Corporate Broking: Henry Willcocks	Tel: [phone]
Alma PR Caroline Forde / Robyn Fisher / Molly Gretton	Tel: [phone]

About Eagle Eye

Eagle Eye is a leading SaaS technology company transforming marketing by creating digital connections that enable personalised performance marketing in real time through coupons, loyalty, apps, subscriptions and gift services.

Eagle Eye AIR enables the secure issuance and redemption of digital offers and rewards at scale, across multiple channels, enabling a single customer view. We create a network between merchants, brands and audiences to enable customer acquisition, interaction and retention at lower cost whilst driving marketing innovation.

The Company's current customer base comprises leading names in UK Grocery, Retail, Leisure and Food & Beverage sectors, including Asda, Sainsbury's, Tesco, Waitrose and John Lewis & Partners, Virgin Red, JD Sports, Pret A Manger, Greggs, Mitchells & Butlers, Pizza Express; in North America, Loblaws, Shoppers Drug Mart, Southeastern Grocers and Staples US Retail and in Australia & New Zealand, Woolworths Group and The Warehouse Group.

 

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