Trading Update

RNS Number : 7507S

Accesso Technology Group PLC

12 November 2013

 



12 November 2013

accesso® Technology Group plc

("accesso" or the "Group")

Trading Update

- Strong year-on-year financial performance -

-  Adjusted profit before tax and net cash generation anticipated to be ahead of market expectations -

accesso Technology Group plc (AIM: ACSO), formerly Lo-Q plc, the premier technology solutions provider to the global attractions and leisure industry, is pleased to provide an update on trading for the 52 week period ended 3 November 2013.  The performance achieved in this period shows significant growth across key metrics, serving to highlight the enhanced scale of the enlarged Group and the increased growth potential now open to it. 

As previously announced, the Group has changed its accounting reference date to 31 December.  This better aligns the Group's year end with those of its major customers and with the sector in general. As such the Group will announce actual audited results for the 14 months ending 31 December 2013; audited results for the 12 months ended 4 November 2012; and pro-forma results for the 12 months ended 3 November 2013 by 31 March 2014.

Financial update

During the period,accesso has delivered a strong financial performance, with good organic growth supplemented by the performance from the acquisition of accesso LLC in December 2012.

Group revenue has increased by 29 per cent. year-on-year to deliver revenue that the Group anticipates will be broadly in line with market expectations for the period.  Adjusted profit before tax for the period (excluding the amortisation of acquired intangibles, acquisition costs and share-based payments) is expected to be comfortably ahead of current market expectations and at least 48 per cent. ahead of the performance achieved in 2012.  Cash generation, excluding acquisitions and share issuances is expected to be 91 per cent. higher than 2012, resulting in a closing net cash position of £3.32m, significantly ahead of current market expectations.

The substantial growth has been driven both by the acquisition of accesso LLC and by excellent sales momentum across each of our Group's business areas. During the period we have continued to win new mandates for all of our solutions and expanded our offering to existing customers.

Good summer weather drove attendance and revenue growth across our geographies, with strong growth in North America complemented by a strong performance in Europe.  Overall attendance increased by 3.4 per cent. year-on-year, with certain parks across our estate experiencing several record-breaking days in respect of both queuing and ticketing solution sales.

Operational update

The Group has secured a number of significant operational achievements during the period.  Our teams are working closely together under our new Group name and have already secured several new business wins that demonstrate the strengths of our enlarged offering.  We have continued to invest further in our extensive patent portfolio and are committed to the protection and extension of this portfolio as we move forward.  We also continue to actively explore further opportunities for growth via acquisition, in line with our stated strategy. 

The most significant operational highlights from across the Group can be broken down as follows:

accesso LoQueue^SM

The Group's patented virtual queuing solutions are now marketed under the umbrella accesso LoQueue. During the period good sales momentum has been seen across the accesso LoQueue portfolio at both new and existing customers, registering an overall 8% increase in revenues, excluding growth related to the acquisition.

During the period we successfully launched Qsmart^SM: our smartphone-based queuing solution, which is now operational in three parks around the world with a further park ready to deploy the system in the coming months. Walibi Holland, one of the Netherlands' leading theme parks was the first European park to adopt Qsmart^SM back in October 2012.  The solution was installed in time for the important Halloween 2012 weekend and, during the same weekend this year, the park has seen a significant and encouraging improvement in sales.

During the period we also established an exciting, new relationship with Village Roadshow Theme Parks, agreeing to install Qband^SM, our water park queuing solution, at both Wet'n'Wild Las Vegas and Wet'n'Wild Phoenix water parks. Qband was also installed at Raging Waters, San Dimas, extending our relationship with Palace Entertainment; Dollywood Splash Country (Herschend Family Entertainment); Camelbeach Mountain Waterpark; and the water park of a major North American operator which is the third park we now serve within this group.

accesso Passport^SM

The Group's ticketing, mobile and eCommerce solutions continue to be marketed under the umbrella accesso Passport and each has performed strongly.  During the period the Group saw a total like-for-like increase in ticketing volumes of 11 per cent., with particularly strong growth in the sale of membership and season pass programs offered by several of our operator customers. 

Growth in newer ticketing solutions was particularly encouraging, with like-for-like eCommerce volumes increasing by 9 per cent. year-on-year and like-for-like mobile ticketing volumes increasing by 324 per cent. year-on-year.  At the period end more than 40 venues were using an accesso Passport mobile solution and mobile ticket sales accounted for 2.7 per cent. of total tickets sold: up from just 0.5 per cent. the year before.

The accesso Passport mobile app platform also achieved an important milestone in 2013, having broken through the 2.75 million download mark.

Earlier this year the Group signed an important new business agreement with AAA - The Auto Club Group.  This agreement saw the second largest AAA club in North America select accesso Passport to become the club's exclusive eCommerce ticketing solutions provider to approximately 8.8 million members across eleven states and two U.S. territories.

Tom Burnet, Chief Executive Officer of accesso Technology Group said:

"I am delighted to report that the excellent momentum I highlighted earlier in the year has continued.  We have driven sales across our entire product suite; won mandates with new and existing customers; and seen our solutions set new records for the number of tickets sold and park guests taken out of queue lines.  This has been a great twelve months for our firm and the opportunity open to us now as an enlarged Group is significant.

Our mobile solutions continue to excite me. As global smartphone adoption continues to accelerate we are well placed to ride this trend, using it to bring our solutions more quickly and powerfully to life in the hands of park guests and deliver a greater return for operators that deploy them.

With the theme park operating season now drawing to a close, operators will once again be evaluating ways to maintain and improve their guest experience for next year.  As in previous years, we expect this decision-making period to result in further positive news for the Group in the months ahead."        

For further information, please contact:

accesso Technology Group plc	[phone]
Tom Burnet, Chief Executive Officer
John Alder, Chief Financial Officer
FTI Consulting, LLP	[phone]
Matt Dixon, Lucy Delaney, Jessica Liebmann
Canaccord Genuity Limited	[phone]
Simon Bridges, Cameron Duncan, Kit Stephenson

accesso® Technology Group: about us

accesso (AIM: ACSO) is the premier technology solutions provider to the global attractions and leisure industry. Our patented and award-winning solutions drive increased revenue for attraction operators by significantly improving the most important part of an attraction visit: the guest experience.  Our solutions add value to operators at every point in the guest journey:

·      We drive attendance

The accesso Passport^SM ticketing suite is a comprehensive, easy-to-use cloud solution that processes many millions of ticket and season passes every year, enabling operators to maximise up-sell and cross-sell with ease to drive greater revenue.

·      We handle payments

Our payment gateway carries level 1 PCI security certification and 24/7 support.  It provides the tools, security and support operators need to drive sales and has so far processed more than $5 billion in transactions.

·      We take guests out of line

Since 2001 over nine million guests have used a patented accesso LoQueue^SM solution to queue less, ride more, enjoy a better experience and increase their in-attraction spend.

·      We increase engagement

accesso enables operators to engage more deeply and profitably with guests: pre-sale, in-attraction or post-visit.  Our mobile apps have provided more than 2.75 million people with rich iOS and Android content to better plan their visit, buy their ticket on-the-go and unlock new experiences within an attraction. 

Over 140 attractions worldwide currently employ accesso technology - from theme parks, to water parks, cultural attractions and sporting events.  We are proud that our solutions are trusted by the majority of the leading names in the leisure industry, including Six Flags Entertainment, Cedar Fair Entertainment Merlin Entertainments, International Speedway Corporation, Palace Entertainment, Compagnie des Alpes, and Herschend Family Entertainment.

accesso is a public company, listed on AIM: a market operated by the London Stock Exchange.

For more information visit www.accesso.com 

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