Proactis secures 27 deals with new names

'‹'‹S'‹oftware firm Proactis '‹reported strong first half results and said it has signed 27 new name deals'‹ and '‹increased volumes from existing customers with'‹ 59 deals '‹over the half year.
Proactis has increased volumes from existing customersProactis has increased volumes from existing customers
Proactis has increased volumes from existing customers

The ​Wetherby-based firm said new clients include the Government of Gibraltar.

Tim Sykes, CEO designate, said: “It’s an opportunity to single source the whole of our offer across Gibraltar.

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“Next we’d like to do somewhere like Wales. We are in 20 of the 22 Welsh councils.”

Other new clients include US-based legal firms and a high proportion of British county councils.

“We have got an American team selling our services,” said Mr Sykes.

“We are looking for more deals in America.”

The group is pleased that it managed to sign a further 59 deals with existing customers.

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“The key point is we have 800 biggish customers and we are working on getting better penetration. We are getting customers to buy more modules,” said Mr Sykes.

The group said it has seen no fall out since the vote to leave the EU.

“Our offer is a financial one,” said Mr Sykes.

“We bring spend under control and that tends to give customers better value. We create efficiencies.”

Proactis sai​d revenues rose 36 per cent to £11.8m​ in the six months ​to​ January ​31. Adjusted earnings rose 25 per cent to £3.0m.

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Over the year the group bought Millstream Associates for £15.5m and Mr Sykes said it is performing in line with expectations.

“The group has once again illustrated its ability to drive growth, both organically and by acquisition,” he said.

“The core business has delivered significant growth and this has been bolstered by the contributions from recent acquisitions. We have continued to execute on our M&A strategy with the acquisition of Millstream, a business that complements the four acquisitions made since 2014.”

He said the group is committed to further M&A activity and has established a robust platform for further acquisitions.

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The group’s order book stands at £27.1m, up from £26.1m last July.

“We are delighted with the results,” said Mr Sykes.

“We have got excellent organic growth and our acquisitions are delivering ahead of expectations.”

Analyst Adam Lawson at N+1 Singer said: “Proactis has released interim results in line with the February trading update, with revenue up 36 per cent to £11.8m on the back of 13 per cent organic revenue growth and an in-line contribution from acquisitions.

“Highlights included 27 new name deals, 59 deals with existing customers, an encouraging level of renewals and good progress with the supply-side early adopter programme.”