Acquisitions and new deals help to boost revenues at software group Proactis

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SPEND control software provider Proactis has reported an increase in revenues, after a string of acquisitions and new deals.

The Wetherby-based company’s trading statement for the year to July 31 shows revenues are expected to be £10.2m, up from £8m, after what its chief executive described as a “transformational period” for the company.

Trading is in line with market expectations with adjusted EBITDA expected to rise from £1.2m to £1.8m.

Operational highlights from the year include completion of three strategic acquisitions, £2.9m raised on equity markets and £2.5m raised through non-dilutive bank debt to support the group’s strategy.

And there was a significant increase in client base, up from 300 a year ago to more than 500.

The core software business performed strongly with 33 new deals delivering £4.8m of initial contract value. Reported revenues have grown by more than six per cent to about £8.5m, and the order book has grown by 48 per cent, to £9.2m.

Proactis creates, sells and maintains specialist software which enables organisations to streamline, control and monitor all internal and external expenditure other than payroll.

Over the trading period, there have been three acquisitions. The group acquired the EGS Group in February, aiming to consolidate its position as the largest independent public sector eProcurement solution provider. EGS has added five new names to the group’s client base, and delivered £1m of order intake.

Intesource was acquired at the start of June, to strengthen the group’s presence in the key US market, and has traded in line with expectations.

And Intelligent Capture Ltd was acquired at the start of August. One of the UK’s leading providers of document scanning and optical character recognition services, the group hopes it will support the roll-out of its new offering, Activate, to its custom- ers.