Information  X 
Enter a valid email address

Corero Network Sec. (CNS)


Tuesday 19 January, 2021

Corero Network Sec.

Trading Update

RNS Number : 0973M
Corero Network Security PLC
19 January 2021

19 January 2021


Corero Network Security plc

("Corero" or the "Company")


Trading Update


Revenue ahead of market expectations

driven by record order intake


Corero Network Security plc (AIM: CNS), a leading provider of real-time, high-performance, automatic Distributed Denial of Service (DDoS) cyber defense solutions , provides the following trading update for the year ended 31 December 2020.


The Company has continued to build on its record H1 2020 performance with increased momentum in order intake and revenue growth in H2 2020. As a result, management now expects the Company to report FY 2020 revenue ahead of market expectations, with order intake also reaching record levels. This strong performance has been driven by the continued success of Corero's differentiated, real-time, high-performance, automatic SmartWall DDoS defense solutions.


Order intake for the year ended 31 December 2020 is expected to be c.$20.91 million (2019: $13.0 million), an increase of c.61%. H2 2020 order intake was at record levels at c.$13.0 million (H2 2019: $8.0 million), up c.63%. Revenues associated with order intake are recognisable over the lifetime of each of the contracts.


Revenue for the year ended 31 December 2020 is expected to have increased by c.73% to c.$16.8 million (2019: $9.7 million). H2 2020 revenue was also a record high, at approximately $10.6 million (H2 2019: $5.5 million), up c.93%.


Annualised Recurring Revenues2 ("ARR") increased in the year with ARR of $9.8 million as at 1 January 2021, driven by growth in DDoS Protection-as-a-Service ("DDPaaS") and software subscription orders (ARR at 1 January 2020: $7.2 million).


Corero added 42 new customers in 2020 (2019: 18 new customers), of which, 17 were acquired through Corero's strategic partnership with Juniper Networks (2019: 6 new Juniper customers).


Gross cash at bank as at 31 December 2020 was $10.1 million (H1 2020: $6.2m; 2019: $8.3 million) and borrowings were $2.5 million, including $0.6 million of a US Paycheck Protection Program ("PPP") loan (H1 2020: $2.9 million including PPP loan; 2019: $2.9 million of borrowings). Net cash as at 31 December 2020 was c.$7.6 million (H1 2020: $3.3 million; 2019: $5.4 million).


It is anticipated that EBITDA for the year ended 31 December 2020 will be in line with existing market expectations3.


An announcement regarding the date of publication of the Company's audited full year results will be made in due course. 



Lionel Chmilewsky, Corero's CEO, said:


"I am extremely pleased with our 2020 trading performance, having broken a number of Company records and exceeded revenue market guidance, all of which has been achieved against the ongoing unprecedented and uncertain economic backdrop. We continued to make excellent strategic progress in 2020:  we have expanded in many new countries in 2020 and now have our solutions deployed in 40 countries, won contracts with many more tier one and major customers and continued to successfully leverage our strategic and business partnerships such as those with Juniper and GTT."


"I would like to thank every individual across the business for their hard work in 2020 and the team's dedication to serving our customers and partners. I look forward to executing on Corero's exciting growth opportunities in 2021 and beyond."


1   All numbers for the year ended 31 December 2020 disclosed within this announcement are unaudited.

2 ARR is defined as the normalised annualised recurring revenues and includes recurring revenues from contract values of annual support, software subscription and from DDoS Protection-as-a-Service (DDPaaS) contracts. 

3 Market FY20 EBITDA expectation of -$1.5m.





Corero Network Security plc

Lionel Chmilewsky, Chief Executive Officer

Neil Pritchard, Group Finance Director


Tel: +44(0)1895 876 382

Cenkos Securities plc

Tel: +44(0)20 7397 8900

Ben Jeynes - Corporate Finance

Alex Pollen - Sales

Vigo Communications

Tel: +44(0)20 7390 0230

Jeremy Garcia / Antonia Pollock

[email protected]


About Corero Network Security


Corero Network Security plc, is a global leader in real-time, high-performance, automatic DDoS cyber defense solutions. Both Service and Hosting providers, alongside digital enterprises across the globe rely on Corero's award winning cybersecurity technology to eliminate the threat of Distributed Denial of Service (DDoS) to their digital environment through automatic attack detection and mitigation, coupled with network visibility, analytics and reporting. Corero's industry leading SmartWall and SecureWatch technology provides scalable protection capabilities against external DDoS attackers and internal DDoS botnets in the most complex edge and subscriber environments, while enabling a more cost-effective economic model than previously available. Corero's key operational centers located in Marlborough, Massachusetts, USA and Edinburgh, UK, with the Company's headquarters in Amersham, UK. The Company is listed on the London Stock Exchange's AIM market under the ticker CNS.  For more information, visit

The information contained within this announcement was deemed to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 prior to release of this announcement. Upon the publication of this announcement, this inside information is now considered to be in the public domain.


This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

a d v e r t i s e m e n t