Activeops Share Discussion Threads

[masurenguy] 24/4/2024 07:32

Full Year Trading Update

ActiveOps plc is pleased to provide an update on trading for the year ended 31 March 2024. Highlights include good growth in adjusted EBITDA*, profit before tax and cash, with an 11% increase in SaaS revenue on a constant currency ("CC") basis and exit Annual Recurring Revenue ("ARR") up by 14% CC versus the prior year.

FY24 Financial highlights

* Group revenue is expected to be approximately £26.8m, an increase of 5% on the prior year (FY 2023: £25.5m) or approximately 9% on a CC basis, reflecting a healthy SaaS performance alongside an ongoing challenging backdrop for training and implementation services, as seen in H1.

* The Group has seen strong growth in adjusted EBITDA which is expected to be at least £2.2m (FY 2023: £0.7m), including an increase in capitalised R&D spend of approximately £0.5m to £1.35m (FY 2023 £0.85m, capitalised), as the Group continues to focus on the development of advanced AI-based product features. In addition, prudent cost management has offset the impact of some adverse FX movement. Building on the positive profit before tax performance seen in H1, the Group expects to report continued strong growth in profit before tax for the full year.

* Cash generation has been strong, resulting in an increased year-end cash position of £17.6m (FY 2023: £15.4m).

* SaaS revenues increased by approximately 8% on the prior year (11% on a CC basis). This, coupled with strong Net Revenue Retention of 110% on a CC basis has seen Annual Recurring Revenue increase to approximately £25.1m, an increase of approximately 11% on the prior year (FY 2023: £22.6m) or around 14% on a CC basis, providing a solid exit run rate for the year ahead.

FY24 Operational Highlights and Outlook

Operationally the Group has made good progress, securing new customer wins, strong customer retention and encouraging expansion within the existing customer base. The Group is successfully migrating customers onto ControliQ Series 3 and momentum in CaseworkiQ continues to build, with total CaseworkiQ ARR growth in the year of 95%. Following additional investment in marketing, the Company is seeing an increase in good-quality leads.

Of note in the year has been the winning of three significant ControliQ enterprise contracts following thorough and competitive RfP processes. The proven enterprise-scale capabilities of ControliQ and ability to deliver material cost savings with rapid ROI, as well as ActiveOps' wider product set, exciting AI and ML supported product roadmap, were instrumental to ActiveOps being selected.

The Group remains well capitalised, and the strength of the balance sheet, the strong market response to the Group's product roadmap and growing number of well qualified sales leads, give the Board confidence to invest in the global sales operation in the coming year, with a view to driving the Group's organic growth rate.

As part of this focus on growth, the Company has recently expanded its Senior Leadership Team through the appointment of a Group Managing Director, APAC Regional Managing Director, and Regional Chair, Africa business, as announced on 25 March 2024. Each individual brings valuable experience and will provide increased focus on the execution of ActiveOps' growth strategy, as the Company looks to build on the strong foundations established since IPO across its key global markets.

ActiveOps CEO, Richard Jeffery commented: "FY 2024 has seen another solid year for ActiveOps, expanding our customer base while launching exciting innovations within our offerings. Having achieved continued progress in profitability and with a strong balance sheet, we are well placed to invest in the management structure and sales teams to drive further organic growth across all our key markets. We are excited by the uptake of ControliQ Series 3 and the forthcoming release of Series 4, which with AI and ML technologies at their core are primed to make a real difference for our customers and create more value from their service operations. With a strong leadership team in place and market leading offering, we look forward to the year ahead with confidence."

The Company intends to announce its results for the year ended 31 March 2024 on 25 June 2024.

[masurenguy] 04/4/2024 09:16

There should be a year end trading update issued before the end of this month. Also, I wonder if the new Group MD James Bawa is related to the EMEIA Regional Manager Kuljit Bawa, whose wife invested just under £650,000 some two years ago when she purchased just over 680,000 shares at 95p !

[masurenguy] 24/3/2024 09:42

“IT spending is expected to increase in 2024, as economic conditions improve and digital transformation in its various guises continues to be high on organisational agendas.”
Martin O’Sullivan, an analyst at broker Shore Capital.

This should benefit AOM this year too !

[paulisi] 22/2/2024 16:05

More likely there is a buyer in the market.

[masurenguy] 22/2/2024 14:12

Sudden upswing in the shareprice this morning on a modest trading volume. Could that be an indicator that some contract news might be imminent !

[rambutan2] 20/2/2024 16:12

Must be very confident, still adding to such a large illiquid position ie now at 18.6%.

[masurenguy] 20/2/2024 07:43

Canaccord Genuity increasing their position by nearly 10% on behalf of clients.

[masurenguy] 07/2/2024 00:49

Ken Wotton of Gresham House talks about ActiveOps

[masurenguy] 31/1/2024 07:21

James Thorne of Columbia Threadneedle talks about ActiveOps on Vox Markets @17.50.

[masurenguy] 04/1/2024 18:05

Getting some real traction here - shareprice now up 40% over the past 2 months ! 😊

[yump] 04/1/2024 17:06

I have yet to drill into the financials bit it looks as if profits could be very heavily geared to increases in revenue.

Haven’t looked at the historic relationship of cost base to revenue but on first glance cost base looks relatively static.

[paulisi] 04/1/2024 11:19

Nice move upward this morning

[yump] 03/1/2024 09:38

Interesting to see which small companies pickup from whats been a dire period.

[masurenguy] 03/1/2024 08:28

Looks like some momentum building here with the shareprice rise continuing on minimal volumes.

[masurenguy] 02/1/2024 14:35

Looks promising for the new year with the shareprice increasing by 20% over the past 2 months.

[masurenguy] 07/12/2023 07:54

Canaccord Genuity Group increased their holding by 5% on behalf of discretionary clients. They remain the largest shareholder in the company.

Major Shareholders as at 7 December 2023
Canaccord Genuity Group Inc: 12,158,162. 17.04%
Richard Jeffery: 9,825,750. 13.77%
Schroder Investment Management: 6,193,697. 8.68%
Neil Bentley: 5,060,400. 7.09%
Tellworth Investments: 4,498,587. 6.30%
Calculus Capital Ltd: 4,257,495. 5.97%
Gresham House: 3,575,000. 5.01%
River & Mercantile Asset Mgt (London): 3,500,000. 4.90%
SVM Asset Management: 2,596,500. 3.64%
Soros Fund Management: 2,164,312. 3.03%

Top Ten Shareholders currently hold 75.43%.

[tomps2] 17/11/2023 16:09

ActiveOps (AOM) Interim 2024 results presentation - November 23

ActiveOps CEO, Richard Jeffery, CFO Ken Smith and incoming CFO, Emma Salthouse present Interim Results for the six months ended 30 September 2023.

SaaS B2B solutions to improve productivity
SaaS +8%
aEBITDA £0.5m
Maiden PTP £0.1m
Cash £10m
A H2 weighting to growth due to seasonality (budgets signed off in H2)
Founder CEO owns 14%

A quality business. Historically, they've been counter-cyclical (2008 massive growth for them in spite of being a supplier to the banks). They increase productivity hence are in demand when efficiencies need to be made.

Watch the video here:

Or listen to the podcast here:

[wjccghcc] 14/11/2023 12:59

Results a bit better than I was expecting. Happy to hold.

[masurenguy] 14/11/2023 07:20

Interim Results for the six months ended 30 September 2023

-- ARR(1) growth of 7%, or 15% at constant currency
-- Growth of constant currency NRR to 111% thanks to healthy expansions
performance
-- Adjusted EBITDA(3) up 167% to GBP0.8m (H1 FY23: GBP0.3m), driven by consistently strong gross margins and good cost control
-- Achievement of Profit before Tax
-- Cash conversion(4) negative in the period due to seasonality of renewals cycle. Expected to move to a positive position before year end with significant renewals in H2
-- Balance sheet remains debt free with GBP9.9m cash in the bank. (H1 FY23: GBP11.0m), with a balance of GBP12.0m by 31 October 23

Operational Highlights
-- Growth in the period largely driven by expansion within existing customer base, but supported by the addition of two new logos which offer large land & expand opportunities in the future. Six of the Group's top 10 accounts expanded usage of ActiveOps products in the half
-- Launch of ControliQ Series 3, which enables customers to take advantage of the latest in AI tools for the back-office
-- Ongoing investment in innovation will see the launch of ControliQ Series 4 in 2024

Outlook
-- Successful re-brand and increased focus on marketing resulting in a better developed sales pipeline, however continuing to see extended timescales for completing the contracting phase of sales, due to the wider macro environment
-- Confident in an acceleration in ARR growth rate by year end and delivery of revenue and EBITDA for FY24 in line with Board expectations

Richard Jeffery, Chief Executive Officer of ActiveOps plc, commented:"Every day, operational leaders are being asked to do more with less. The investments we have made into our solutions are helping our enterprise customers do just that, with increasing ease. The first half of the year has seen the launch of the most sophisticated version of our ControliQ offering to date and we have been successful in expanding the scope of use of our products within our customer base. While contracting cycles continue to be elongated, our focused marketing efforts mean our sales pipeline continues to build. The growing breadth and increasing sophistication of our offering, our blue-chip customer base, geographic reach, and new pricing tiers, all provide us with the opportunity to accelerate ARR growth in H2 and beyond and we look to the future with continued confidence."

[masurenguy] 10/11/2023 09:09

A little movement north ahead of the interims next Tuesday.

[masurenguy] 26/9/2023 07:17

Launch of ControliQ Series 3

Commercialisation of ActiveOps' technology roadmap

ActiveOps plc, a leading provider of Management Process Automation (MPA) software for running hybrid and global back-office operations, is pleased to announce the successful launch and go live with customers of ControliQ Series 3, the most advanced iteration of its ControliQ platform to date. All existing ControliQ customers now have the ability to purchase Series 3, enabling them to take advantage of the latest in AI tools for the back-office. Moving to Series 3 requires zero technical or migration effort.

ControliQ is a workforce management solution that helps organisations drive optimal productivity and operational performance by providing single view of real-time operations data, actionable insights, and intelligent management automation tools to forecast, plan, manage capacity, and balance performance and wellbeing. ControliQ Series 3 has been enhanced with additional AI-based features that enable customers to do more with data and insights. These include Smart Planning which automates planning, reducing the effort consumed whilst increasing accuracy. Smart Planning has been proven to identify an additional 5% of capacity which can be better used, in addition to the 15%+ increase customers have already typcially achieved.

Following the official launch in August 2023, customers across multiple geographies and sectors are already using the new capabilities. Enhancements to the Series 3 offering continue with the availability in October 2023 of new features allowing customers to run engaging, data rich, operations review meetings with ControliQ automatically highlighting the key issues which require attention and discussion. In addition machine learning algorithms which automatically determine the effort required to perform processes will be available, removing the need for costly and inaccurate human observation. The speed of development and launch of these powerful AI features have been made possible by ActiveOps's long heritage in the world of back-office optimisation and the volume of data flowing through its existing platforms, on which to train and test the algorithms. ControliQ Series 4 will launch in 2024, with more new AI/ML based features including automatic skills cataloguing, a suite of new senior leader insights and the Company's first GenerativeAI based app, a virtual coach which predicts the interventions required by operations leaders and can prescribe the best action to take. With these new tiers of access to ControliQ, ActiveOps customers will be able to select the level of capabilities that suit their needs, moving through the series as goals and capabilities increase.

Richard Jeffery, CEO, commented: "It is fantastic to see the commercialisation of our recent product development work, particularly in the area of AI, taking shape. With AI and ML technologies at the core of our enhanced product offering, we are enabling our customers to drive further capacity release, boost productivity and have a greater business impact by surfacing actionable insights faster and easier. It is an exciting time for the Group, setting us up well for continued progress."

[masurenguy] 08/8/2023 13:03

Shareprice has dropped by 12% over the past two and a half trading sessions on an aggregate trading volume of just 57K shares. That is based upon no news and less than 0.01% of the shares in issue !

[babbler] 12/7/2023 13:37

Huge buys...

[hastings] 12/7/2023 09:45

Nice to see the continued upward momentum.