ADVFN Logo

We could not find any results for:
Make sure your spelling is correct or try broadening your search.

Trending Now

Toplists

It looks like you aren't logged in.
Click the button below to log in and view your recent history.

Hot Features

Registration Strip Icon for alerts Register for real-time alerts, custom portfolio, and market movers

TIDE Crimson Tide Plc

160.00
0.00 (0.00%)
28 Mar 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Crimson Tide Plc LSE:TIDE London Ordinary Share GB00BRJRV969 ORD 10P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 160.00 155.00 165.00 160.00 160.00 160.00 2,107 07:46:11
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
Cmp Processing,data Prep Svc 5.35M -1.24M -0.1891 -8.46 10.52M

Crimson Tide PLC Preliminary Results (3310U)

01/04/2021 12:00pm

UK Regulatory


Crimson Tide (LSE:TIDE)
Historical Stock Chart


From Mar 2021 to Mar 2024

Click Here for more Crimson Tide Charts.

TIDMTIDE

RNS Number : 3310U

Crimson Tide PLC

01 April 2021

Crimson Tide plc

Preliminary Announcement of Results to 31 December 2020

Crimson Tide plc ("Crimson Tide" or "the Company"), the provider of the mpro5 solution, is pleased to announce its unaudited preliminary results for the year ended 31 December 2020.

Financial Highlights

   --      Revenue increased by 21% to GBP3,542k (2019: GBP2,921k) 
   --      EBITDA increased by 22% to GBP946k (2019: GBP775k) 
   --      Profit before tax increased by 51% to GBP532k (2019: GBP352k) 
   --      Cash at year-end increased to GBP1.175m  (2019: GBP320k) 

Operational Highlights

-- Secured additional long term, contracted subscriber agreements with new and existing clients

   --      Contribution from Partner programme underpinning confidence in strategic direction 

-- IoT and machine automation capability gaining traction and increasing pipeline of opportunities

   --      Continued investment in people and functionality to maximise opportunity 
   --      Completed migration to new ERP system to enable scale 

Barrie Whipp, Executive Chairman of Crimson Tide, commented:

"Crimson Tide has once again delivered a very good year of progress across all of our key metrics and invested in more staff and innovation to continue to drive the business forward. We have clear opportunities in terms of the mpro5 product, upsell to our existing clients and expansion of the partner channel. Add to this international opportunities and enhancement of our healthcare and IoT capabilities and we can clearly see that the Company has significant momentum to take us to the next level"

About the Company

Crimson Tide plc is the provider of the full service mobility platform mpro5 - #notjustanapp. mpro5 is delivered on smartphones, tablets and PDAs, and enables organisations to transform their business and strengthen their workforce by smart mobile working. mpro5 is hosted in the cloud on Microsoft Azure. The Company's contracts are provided on a long term, contracted subscription basis and clients immediately experience a return on their investment.

mpro5 is used in over 260,000 sites in logistics, transportation, healthcare & retail.

Enquiries:

 
 Crimson Tide plc 
  Barrie Whipp / Luke Jeffrey                                  +441892 542444 
 
   finnCap Ltd (Nominated Adviser and                                                  +4420 7220 0500 
   Broker) 
   Julian Blunt / James Thompson - 
   Corporate Finance 
   Andrew Burdis - Corporate Broking 
 
   Alma PR (Financial PR)                                          +44 7780 901979 
   Josh Royston 
 

Chairman's Statement

The investments that we have made over many years from our own resources resulted in a very pleasing year for our Company in 2020 in circumstances that none of us could have foreseen. The long term contracted subscription revenues that we added, extended and enhanced gives us a very solid platform to become more expansive in our ambitions, given the significant market opportunity we can clearly see.

The onset of the pandemic displayed our ability to seamlessly extend our already flexible working structure and our cloud-based services were uninterrupted and more relevant than ever before. We expect our staff to be agile and they displayed superbly their ability to react to circumstances that affected our clients. We experienced very limited take up of an offer of payment holidays to our clients and also gained new ones because of our positive response to challenges that all organisations faced and continue to face.

2020 saw our executive board really excel in their duties. We are busy across all areas of the business and our internal systems and management information show that our client satisfaction is high, that we are innovating to help our clients take their businesses to new levels of compliance, reporting and key performance metrics.

Our partner channel has grown not only in number, but in attributable revenues and it is this strategy that will enable us to grow domestically and internationally. We expanded our footprint in the Middle East, Europe and North America and whilst these markets contribute only a modicum of income, they are demonstrating real demand for mpro5 and the benefits it can bring.

We continue to innovate in IoT (the internet of things) and have been working hard on pilots to demonstrate the benefits of machine information to our clients. There is pent up demand for IoT and we feel that we are at a key point, where the only delays are a result of clients needing to review their own strategies before committing to this exciting technology. mpro5 is very well placed to take advantage of this technology.

Looking ahead, I see clear opportunities for Crimson Tide, particularly in IoT, healthcare and international markets. Our partner first marketing strategy showed its first significant benefits in 2020 and we are going to be working hard to expand the channel.

With a committed team, clear market opportunity and with mpro5 being in the most advanced state ever, I am extremely confident in our future. In a difficult year for many, our staff have been absolutely excellent and are fundamental to our success. I thank every one of them for their sterling efforts. I would particularly like to thank Robert Todd, who resigned as a Non-Executive Director to focus on his own business. Following the year end we welcomed Jacqueline Daniell to the Board as a Non-Executive Director and look forward to benefitting from Jacqui's excellent counsel in the future.

Barrie RJ Whipp

Founder & Chairman

Chief Executive Officer's Statement

Introduction

I am delighted with the progress that the business has made during the course of the year. The unforeseeable circumstances of the global pandemic have proven the resilience of Crimson Tide's business model and highlighted the strength of our focus on building long term, contracted subscriber revenue. Furthermore, the shift away from office based working has increased the need for the kind of agile automation and analytics tools on which mpro5 has built its reputation and we have seen engagement levels increase and sales cycles shorten.

Results

Revenues increased by 21% to GBP3.54 million (FY19: GBP2.92 million), which is a reflection of new client wins as well as expanding our reach within existing clients. The majority of our client base is enterprise grade and delivery continued unabated through the pandemic. Some of our smaller clients were affected and we were proud to support them with payment holidays where appropriate. In total, customer churn of less than 5% was an excellent performance and in line with the high standards that we set ourselves. Our client contracts are typically long term in nature and we have renewed a number over the course of the year which gives us further strength in future visibility. EBITDA improved by 22% to GBP946k (FY19: GBP775k) despite the ongoing investments being made, a reflection of our strong financial discipline. Cash at the year end was particularly strong at GBP1.17 million (FY19: GBP320k).

There is no doubt that recognition of mpro5 is growing within the marketplace and leading to ever greater adoption. To date, marketing efforts have been centred around those business areas in which we have strong reference clients, we aim to strengthen our marketing capabilities in the coming year. With our new partner first model, we have had considerable success over the course of the year in the rail and retail sectors. In rail we are increasingly being seen as a disruptor to outdated ways of working and we have been able to create and adapt solutions which have transformed the way in which organisations operate. Similarly, in the retail sector we have been able to expand our offering within one of the UK's leading supermarket chains whilst also securing a five year contract with one of Britain's leading neigbourhood retailers.

Our reach continues to broaden as mpro5's reputation continues to grow along with the recognition that our platform is truly industry agnostic. During the financial year we were pleased to welcome Cadent, who handle Britich Gas infrastructure management, Student Roost, a student accommodation firm and Capita, a multi service group, as new clients.

Operational Developments

We have continued to invest across all aspects of our business as we strive to remain the most innovative, configurable and agile digital transformation platform available. Investments made in prior years in IoT capabilities are continuing and this year we have deployed more sensors than in any prior period, providing an ever greater number of data points which can be used to benefit our clients in a variety of ways. A multitude of sensors supply temperature, humidity, motion and other data directly into mpro5. We have also introduced new capabilities into our rules engine to allow for powerful job scheduling, and leveraged machine learning for automated anomaly detection in real-time. We are already seeing a considerable uptake of our IoT offering, as evidenced by the agreement signed with Incentive QAS f or the purposes of IoT-driven cleaning compliance at London's CityPoint skyscraper.

Further technological improvements include enhancements made to the mpro5 web client, including the launch of the customer portal which enables our clients' customers to use mpro5. As well as providing another layer of functionality for our clients and embedding us deeper within their organisation, it also helps to introduce our technology to a wider audience. Similarly, we have continued development of a solution specifically designed for use in healthcare applications. mpro5 is already used for various healthcare scenarios and our reach has broadened with a pilot project with the World Federation of Haemophilia which is currently in the process of being rolled out. This award gives us further confidence that, with ongoing investment, we can make a real difference in delivering greater patient outcomes. Internally, we completed our transition to a new ERP system which will prove highly beneficial as we scale.

The Company has also invested in people, strengthening the technical teams to help deliver the ongoing improvements already described, as well as strengthening marketing as we look to continue to grow our partner programmes and take full advantage of the opportunity they represent. One of the most pleasing aspects of the year has been the progress of our partnerships. We have a much greater understanding of how we can work together with partners and the benefits that each party can bring, with their ability to introduce our market leading solutions to enterprise level organisations significantly shortening the sales cycle. The revenue contribution this year was pleasing and endorses our strategy, with the potential to add significant scale in domestic and international markets.

Outlook

The current financial year has started in line with our expectations. We continue to see a healthy pipeline of opportunities and we have a number of pilot projects underway which we hope to convert into ongoing agreements. As more and more industries continue along the path of digital transformation and as mpro5 continues its focus on adding exceptional functionality we expect to add incremental long term, contracted, subscriber revenues through both existing and new engagements, directly and increasingly through our growing partner programme. We maintain great confidence in the future.

Luke Jeffrey

CEO

Financial Review

The financial results for 2020 reflect another year of strong growth for Crimson Tide with solid performances across all of the Company's financial KPI's.

 
 Financial indicator       Year        Year      Increase 
                           ended       ended 
                          December    December 
                            2020        2019 
                          GBP'000     GBP'000       % 
                        ----------  ----------  --------- 
 Revenue                     3,542       2,921        21% 
                        ----------  ----------  --------- 
 Gross profit                2,865       2,546        13% 
                        ----------  ----------  --------- 
 EBITDA                        946         775        22% 
                        ----------  ----------  --------- 
 Profit before tax             532         352        51% 
                        ----------  ----------  --------- 
 Cash from Operations        1,387         358       287% 
                        ----------  ----------  --------- 
 

Revenue

The Company's focus on growing its partner channel contributed to revenue growth of 21%. Annual recurring revenue (ARR) as at 31 December 2020 was GBP3.06 million (2019: GBP2.36 million). The Total Contract Value (TCV) at this date was GBP7.17 million (2019: GBP6.1 million). Revenue churn remained low at 4.9% (2019: 7.5%). While the gross profit margin has reduced slightly, the Board is confident that it will remain above its 80% target rate.

The interim results for 2020 included one-off hardware revenue of approximately GBP170k that was recognised due to the requirements of IFRS15. As part of growing its partner channel strategy, the Board has decided that the Company will no longer offer hardware on long-term subscriptions. IoT sensors and other hardware that interface with the mpro5 platform will be supplied by specialist partners.

Cashflow and liquidity

Cash at year-end increased by GBP855k to GBP1.17m (2019: GBP320k). An R&D tax credit contributed GBP202k (2019: GBPnil) to this increase. The Company made use of HMRC's VAT deferral option during the first half of 2020. VAT of GBP138k was deferred and will be repaid in instalments in terms of HMRC's VAT deferral payment scheme.

Trade receivables

Trade receivables at year-end amounted to GBP452k (2019: GBP649k). The Company did not experience a noticeable increase in trade receivables or bad debt related to the pandemic. The recognition requirements of IFRS15 referred to above caused an increase of GBP102k to accrued income at year-end.

Debt and finance costs

Loans and leases decreased to GBP288k (2019: GBP433k). This amount includes lease liabilities amounting to GBP96k (2019: GBP152k) related to right-of-use assets in respect of office rental capitalised in terms of IFRS16.

Capitalisation of intangible asset

Software development costs of GBP539k (2019: GBP385k) were capitalised during the year, while amortisation during 2020 amounted to GBP216k (2019: GBP171k). The value of the capitalised software intangible asset at year-end was GBP1.64m (2019: GBP1.32m).

Tax

An R&D tax credit of GBP202k (2019: GBPnil) has been recognised in the Consolidated Statement of Profit or Loss. No other corporation tax charge has been included (2019: GBPnil) due to the availability of historic tax losses.

Earnings per share

The average number of ordinary shares in issue during the year was 457.5m (2019 457.5m). Basic and diluted earnings per share was 0.16p (2019: 0.08p).

Crimson Tide plc

Unaudited Consolidated Statement of Profit or Loss

 
                             Year ended   Year ended 
                               December     December 
                                   2020         2019 
                                 GBP000       GBP000 
-------------------------   -----------  ----------- 
 Revenue                          3,542        2,921 
 Cost of Sales                    (677)        (375) 
--------------------------  -----------  ----------- 
                                      , 
 Gross Profit                     2,865        2,546 
 Administrative expenses        (2,309)      (2,285) 
--------------------------  -----------  ----------- 
 
 Profit from operations             556          261 
 Other income                         5          135 
 Finance costs                     (29)         (44) 
--------------------------  -----------  ----------- 
 
 Profit before taxation             532          352 
 Taxation                           202            - 
 
 Profit for the year                734          352 
==========================  ===========  =========== 
 
 Earnings per share 
 Basic (pence)                     0.16         0.08 
 Diluted (pence)                   0.16         0.08 
 

Unaudited Consolidated Statement of Comprehensive Income

 
                                                Year ended   Year ended 
                                                  December     December 
                                                      2020         2019 
                                                    GBP000       GBP000 
---------------------------------------------  -----------  ----------- 
 Profit for the year                                   734          352 
 Other comprehensive income/(loss) for the 
  year: 
 Exchange differences on translating foreign 
  operations                                             4          (3) 
---------------------------------------------  -----------  ----------- 
 
 Total comprehensive profit for the year               738      349 
=============================================  ===========  =========== 
 

Unaudited Consolidated Statement of Financial Position

 
                                      As at 31    As at 31 
                                      December    December 
                                          2020        2019 
                                        GBP000      GBP000 
--------------------------------    ----------  ---------- 
 Non-current assets 
 Capitalised development costs           1,642       1,319 
 Other intangible assets                   799         799 
 Equipment, fixtures & fittings            235         325 
 Right-of-use asset                         92         149 
 Deferred tax asset                         32          32 
----------------------------------  ----------  ---------- 
                                         2,800       2,624 
  --------------------------------  ----------  ---------- 
 Current assets 
 Inventories                                 6          12 
 Trade and other receivables             1,221       1,220 
 Cash and cash equivalents               1,175         320 
----------------------------------  ----------  ---------- 
                                         2,402       1,552 
  --------------------------------  ----------  ---------- 
 Total assets                            5,202       4,176 
----------------------------------  ----------  ---------- 
 Current liabilities 
 Trade and other payables                  907         474 
 Borrowings                                  8          31 
 Lease liabilities                         181         228 
----------------------------------  ----------  ---------- 
                                         1,096         733 
  --------------------------------  ----------  ---------- 
 Non-current liabilities 
 Borrowings                                  5           9 
 Lease liabilities                          94         165 
----------------------------------  ----------  ---------- 
                                            99         174 
  --------------------------------  ----------  ---------- 
 Total liabilities                       1,195         907 
----------------------------------  ----------  ---------- 
 Net assets                              4,007       3,269 
==================================  ==========  ========== 
 Equity 
 Share capital                             457         457 
 Share premium                             148         148 
 Other reserves                            479         475 
 Reverse acquisition reserve           (5,244)     (5,244) 
 Retained earnings                       8,167       7,433 
----------------------------------  ----------  ---------- 
 Total equity                            4,007       3,269 
----------------------------------  ----------  ---------- 
 
 

Crimson Tide plc

Unaudited Consolidated Statement Of Changes In Equity

 
 Group                      Share      Share       Other        Reverse    Retained     Total 
                          capital    premium    reserves    acquisition    earnings 
                                                                reserve 
                           GBP000     GBP000      GBP000         GBP000      GBP000    GBP000 
 Balance as at 
  1 January 2019              457        148         478        (5,244)       7,081     2,920 
 Profit for the 
  year                                                                          352       352 
 Translation movement                                (3)                                  (3) 
 Balance as at 
  31 December 2019            457        148         475        (5,244)       7,433     3,269 
 Profit for the 
  year                                                                          734       734 
 Translation movement                                  4                                    4 
 Balance as at 
  31 December 2020            457        148         479        (5,244)       8,167     4,007 
                        =========  =========  ==========  =============  ==========  ======== 
 

Crimson Tide plc

Unaudited Consolidated Statement of Cash Flows

 
                                                         Group 
                                               -------------------------- 
                                                 Year ended    Year ended 
                                                31 December   31 December 
                                                       2020          2019 
                                                     GBP000        GBP000 
Cash flows from operating activities 
Profit before taxation                                  532           352 
Adjustments for: 
Amortisation of intangible assets                       216           171 
Depreciation of property, plant and 
 equipment                                              111           148 
Depreciation of right-of-use assets                      57            58 
Unrealised currency translation gains                     4           (3) 
Finance costs                                            29            44 
Operating cash flows before movements 
 in working capital                                     949           770 
Decrease in inventories                                   6             3 
Increase in trade and other receivables                 (1)         (317) 
Increase/(decrease) in trade and other 
 payables                                               433          (98) 
Cash generated from operating activities              1,387           358 
Taxes received                                          202             - 
Net cash generated from operating 
 activities                                           1,589           358 
                                               ------------  ------------ 
 
Cash flows used in investing activities 
Purchases of fixed assets                              (21)          (72) 
Development expenditure capitalised                   (539)         (385) 
Interest paid in cash                                  (21)          (34) 
Net cash used in investing activities                 (581)         (491) 
                                               ------------  ------------ 
 
Cash flows from financing activities 
Repayments of borrowings                               (27)          (34) 
Repayments of lease liability                          (60)          (61) 
Repayment of lease liability (IFRS16)                  (66)          (65) 
Net cash from financing activities                    (153)         (160) 
                                               ------------  ------------ 
 
Net increase/(decrease) in cash and 
 cash equivalents                                       855         (293) 
Net cash and cash equivalents at beginning 
 of period                                              320           613 
Net cash and cash equivalents at end 
 of period                                            1,175           320 
 
 

Crimson Tide plc

 
                                                 Group 
                                       -------------------------- 
                                         Year ended    Year ended 
                                        31 December   31 December 
                                               2020          2019 
                                             GBP000        GBP000 
Analysis of net funds: 
Cash and cash equivalents                     1,175           320 
Borrowings and leases due within one 
 year                                         (189)         (259) 
Borrowings and leases due after one 
 year                                          (99)         (174) 
 
Net funds                                       887         (113) 
 
 

In addition to net funds, the Group has an overdraft facility of GBP250,000 in place.

Notes to the Consolidated Financial Statements for the year ended 31 December 2020

   1)   Significant accounting policies 
   a.       Basis of preparation 

The preliminary results for the period to 31 December 2020 are unaudited. The consolidated financial statements of Crimson Tide plc will be prepared and approved by the Directors in accordance with applicable law and International Financial Reporting Standards, incorporating International Accounting Standards (IAS) and Interpretations (collectively IFRSs) as endorsed by the European Union.

   b.      Basis of consolidation 

The Group financial statements consolidate the financial statements of the Company and all of its subsidiaries.

On an acquisition, fair values are attributed to the Group's share of net assets. Where the cost of acquisition exceeds the values attributable to such net assets, the difference is treated as purchased goodwill, which is capitalised and subjected to annual impairment reviews. The results of acquired companies are brought in from the date of their acquisition.

   c.       Revenue recognition 

Revenue is recognised at an amount that reflects the consideration to which the consolidated entity is expected to be entitled in exchange for transferring goods or services to a customer. For each contract with a customer, the consolidated entity: identifies the contract with a customer; identifies the performance obligations in the contract; determines the transaction price which takes into account the time value of money; allocates the transaction price to the separate performance obligations on the basis of the relative stand-alone selling price of each distinct good or service to be delivered; and recognises revenue when or as each performance obligation is satisfied in a manner that depicts the transfer to the customer of the goods or services promised.

   2)   Taxation 

A research and development tax credit of GBP201,908 (2019: GBPnil) has been recognised in the Consolidated Statement of Profit or Loss. No other corporation tax charge has been included in the consolidated accounts for the period ended 31 December 2020 (2019: GBPnil) due to the availability of tax losses.

   3)   Earnings per share 

The basic earnings per share has been calculated by dividing the profit attributable to ordinary shareholders by the weighted average number of shares in issue during the period.

The diluted earnings per share has been calculated by dividing the profit attributable to ordinary shareholders by the weighted average number of shares that would be in issue, assuming conversion of all dilutive potential ordinary shares into ordinary shares.

Reconciliation of the weighted average number of shares used in the calculations are set out below.

 
                                                   Group 
                                             Year ended     Year ended 
                                       31 December 2020    31 December 
                                                                  2019 
 Earnings per share 
 Reported profit for the year 
  (GBP000)                                          734            352 
 Reported basic earnings per share 
  (pence)                                          0.16           0.08 
 Reported diluted earnings per 
  share (pence)                                    0.16           0.08 
 
 
 
                                               Year ended      Year ended 
                                              31 December     31 December 
                                                     2020            2019 
                                                      No.             No. 
 Weighted average number of ordinary 
  shares: 
 Opening balance                              457,486,234     457,486,234 
 Weighted average number of ordinary 
  shares for basic EPS                        457,486,234     457,486,234 
 Dilutive effect of options outstanding         2,938,478       7,427,083 
                                           --------------  -------------- 
 Weighted average number of ordinary 
  shares for diluted EPS                      460,424,712     464,913,317 
                                           ==============  ============== 
 
 

The financial information set out above does not constitute the Company's statutory accounts for the years ended 31 December 2020 or 31 December 2019. Statutory accounts for 2019, which were prepared under IFRS, have been delivered to the Registrar of Companies. The auditors have reported on the 2019 accounts; their report was unqualified and did not contain a statement under section 498(2) or (3) of the Companies Act 2006. The statutory accounts for 2020 which are prepared under accounting standards adopted by the EU will be finalised on the basis of the financial information presented by the directors in this preliminary announcement and will be delivered to the Registrar of Companies following the Company's annual general meeting. The audited statutory accounts will be published on the Company's website www.crimsontide.co.uk in May 2021.

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 rns@lseg.com or visit www.rns.com.

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.

END

FR BFLFBFZLZBBL

(END) Dow Jones Newswires

April 01, 2021 07:00 ET (11:00 GMT)

1 Year Crimson Tide Chart

1 Year Crimson Tide Chart

1 Month Crimson Tide Chart

1 Month Crimson Tide Chart

Your Recent History

Delayed Upgrade Clock