PCI PAL : Trading Update & Notice of Results

PCI-PAL PLC
('PCI Pal', 'the Company' or 'the Group')
Trading Update & Notice of Results
Strong New Business Sales and Revenue Growth Continue

PCI-PAL PLC (AIM: PCIP), the global cloud provider of secure payment solutions for business communications, announces a trading update for the six months to 31 December 2020.

The Board is pleased to report a further period of significant progress against the Group's key growth metrics. Revenue for the first half increased 56% year on year to £3.19 million (2019: £2.04 million), further illustrating the benefits of our subscription based revenue model as we recognise revenue from the accumulating Total Annual Contract Value (TACV1) of contracts signed to date. Our key metric of TACV has increased by 59% year on year to £8.28 million (2019: £5.20 million) at the period end.

In the period, the Group signed 93 customer contracts (2019: 51) with a recurring Annual Contact Value (ACV2) of £1.68 million, 40% greater than the prior year (2019: £1.20 million). 75% of these new contracts were won through reseller partners. Sales highlights included a number of new UK government contracts, including one of the largest local authorities in England; as well as contracts with two major North American headquartered retailers.

The Group finished the period with gross cash of £4.22 million (30 June 2020: £4.30 million) and net cash of £2.1 million (30 June 2020: £3.03 million).

Commenting on progress in the period, James Barham, Chief Executive Officer of PCI Pal, said:

'Despite the uncertainties caused by the pandemic, we have taken another strong step forward in the first half of the year as we continue to see the benefits of our high retention SaaS-revenue model. Our market leading, global-cloud technology, alongside our partner-first sales model, is allowing us to access the breadth of the contact centre market across all our focus territories, resulting in the significant increase in new customer numbers signed.

'Furthermore, we have been able to maintain the pace of customer implementations in the period. This is testament, not only to our easy-to-use technology, but also our continual focus on excellence of delivery processes and capabilities that enable us to deploy customers entirely remotely.

'With a strong pipeline and growing ecosystem of partners, we are now growing this business at pace and we can look forward with confidence to the second half of the year, with strong revenue visibility against market forecasts for the full year.'

Notice of Results:

PCI Pal expects to announce its Interim Results in the week commencing 8 March 2021.

This announcement contains inside information for the purposes of Article 7 of Regulation 596/2014.

1 TACV is the total expected annual recurring revenue from all contracted customers, whether invoiced and included in deferred revenue or still to be deployed and/or invoiced.

2 ACV is the contracted annual recurring licence revenue component of the contract.

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