Trading Update

RNS Number : 9492G

i-nexus Global PLC

29 July 2019

 

29 July 2019

i-nexus Global plc

("i-nexus", the "Company" or the "Group")

Trading Update

i-nexus Global plc (AIM: INX), a leading provider of cloud-based Strategy Execution software solutions designed for the Global 5000, provides an update on trading for the year ending 30 September 2019.

At the time of the Interim Results, released in May, the Board anticipated an acceleration in sales in the second half of the year. While the Group has secured a number of new sales in Q3 and the pipeline of opportunities is large and growing, these have not converted at the rate required to meet the Board's revenue expectations for the financial year as a whole.  

Due to careful planning around investment, the EBITDA for the year is expected to be in line with current expectations; however both Total Recognised Revenue and closing Cash balances will be below expectations. As at 30^th June 2019, the Company had cash of £3.1m and the Board is comfortable that, with a continued focus on costs, the business retains sufficient funding to execute on its growth strategy.  

Whilst the slower than anticipated rate of conversion is disappointing, the Board remains confident that the strategy being pursued by the Group is right to support the acceleration of growth anticipated in future periods. The increased size and experience of the sales team is driving a growing pipeline of opportunities and improving the proportion of upsell opportunities to existing customers. In addition, churn rates in Q3 have remained at the lower levels seen in Q2, as anticipated, as the investments in the Group's customer success team continue to bear fruit.

The Company will issue a Pre-close Statement for the year ended 30 September 2019 in the second half of October 2019.

For further information please contact:

i-nexus Global plc Simon Crowther, CEO Alyson Levett, CFO	Via: Alma PR
N+1 Singer (Nominated Adviser and Broker) Shaun Dobson / Lauren Kettle (Corporate Finance) Tom Salvesen (Corporate Broking)	Tel: [phone]
Alma PR Caroline Forde / Josh Royston / Jessica Joynson	Tel: [phone]

About i-nexus Group plc

i-nexus supports some of the largest global companies in running, improving and changing their businesses through the provision of a scalable, enterprise-grade, cloud-based Continuous Improvement ("CI") and Strategy Execution ("SE") software platform. The platform is in use at global blue-chip businesses, predominantly based across the US and Europe, helping customers execute key strategic goals throughout all levels and divisions of their organisations.

The Group's software supports Hoshin Kanri, a strategy development methodology first introduced in the 1960s in Japan and born out of lean, six sigma and operational improvement theory. Hoshin Kanri (directly translated as "direction execution") is a systematic planning, implementation and review methodology which, when implemented, aims to ensure that the strategic goals of a company are properly communicated to all employees and that they drive progress and action at every level of the business.

i-nexus is headquartered in Coventry, UK with a sales office in New York, and employs over 90 staff. 

 

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