Daily Internet PLC Contract Wins, Trading Update & Notice of Results (0790J)

TIDMDAIP

RNS Number : 0790J

Daily Internet PLC

01 April 2015

1 April 2015

Daily Internet plc

("Daily Internet" or "the Company" or "the Group")

Contract Wins, Trading Update and Notice of Results

Daily Internet (AIM: DAIP), the hosting and cloud infrastructure provider, announces trading for the 12 month period ended 31 March 2015 is ahead of market expectations and that Netplan Internet Solutions Limited ("Netplan"), its wholly owned subsidiary, has signed contracts worth approximately GBP565,000 with one of the world's largest insurance companies.

Contract Wins

The contract is to provide a secure Payment Card Industry Data Security Standard ("PCI DSS") private cloud solution for the processing of payment card data for travel insurance policies and renewals. Netplan's solution consists of a primary datacentre with redundant capacity at a second datacentre for complete and immediate disaster recovery. Data consistency between the two datacentres is delivered over Netplan's private core network. The client has also extended its own network infrastructure to connect with the Company's network at both locations.

The contracts commence immediately and run for a three-year minimum term. During the first year, revenues are expected to be approximately GBP280,000 and GBP143,000 each subsequent year on Netplan's Platform as a Service ("PaaS") delivery model.

Adam Binks, COO of the Group commented on the contract win: "We are delighted to enter into these new contracts, which build on an existing relationship with our customer. We are pleased they value working with our team of PCI specialists and have chosen to partner with us again for this latest project."

Trading Update

Financial results for the year ended 31 March 2015 are expected to show significant improvement on the comparative period last year with revenue ahead of market expectations and EBITDA materially ahead of market expectations. The Company ended its financial year with net cash of approximately GBP130,000 and cash at bank of approximately GBP400,000.

Outlook

The services that the Company offers across managed hosting, SaaS, IaaS and PaaS are all experiencing increasing demand as clients look to outsource the management and operation of their increasingly complex software and systems.

Furthermore, the Company will continue its integration programme across all of its business units during 2015 with the implementation of unified communication systems, instant messaging and videoconferencing, customer relationship management and ticketing and project management software to enable staff from any office to collaborate on projects and communicate more efficiently.

The Board is therefore confident further operational and financial progress can be made during 2015.

Notice of Results

The Group expects to announce its annual results for the year ended 31 March 2015 on Monday 22 June 2015.

Presentations for analysts will be held by the management team at 09.30am on the day, at the offices of Walbrook PR, 4 Lombard Street, London EC3V 9HD. Analysts wishing to attend should register with Helen Cresswell by calling 020 7993 8780 or by emailing [e-mail].

Chris Evans, Chief Executive commented:

"We are pleased with financial performance of the Company during 2014 in general and this contract win in particular. Furthermore, the future investment plans our customers are currently showing us, should enable us to continue our improving financial performance.

"From a delivery perspective, we now have the staff, skills, infrastructure and management team in place to provide an excellent platform for growth as we enter the new financial year and we look forward to updating the market with our progress in due course."

For further information please contact:

 
 Daily Internet plc 
  Chris Evans, Chief Executive         [phone] 
  Julie Joyce, Finance Director         1777 
 Sanlam Securities UK Limited 
  (Nominated Adviser and Joint 
  Broker)                              [phone] 
  Simon Clements / Max Bascombe         2200 
 Loeb Aron & Company Limited (Joint 
  Broker)                              [phone] 
  Dr Frank Lucas / Peter Freeman        1128 
 Walbrook PR Limited 
  Paul Cornelius / Sam Allen /         [phone] 
  Helen Cresswell                       8780 
 

About Daily Internet

Daily Internet is a leading UK provider of cloud, managed and PCI Level 1 certified hosting.

The Group helps organisations to streamline their IT requirements, reduce costs and increase performance and redundancy. The Group is a trusted partner to its clients and provides specialist skills to help reduce both complexity and risk for customers in managing their IT infrastructure.

Daily Internet operates in two distinct divisions, Mass Market via its brands: Daily, Namehog and Evohosting. Managed/Complex Cloud Hosting via: Netplan (incorporating Q4Ex).

From its beginnings as a provider of mass market domain names and shared hosting, the Group has evolved and has a shifting focus to managed complex cloud hosting for larger clients.

The Group has offices in Liverpool, Nottingham, Coventry and Maidenhead.

http://investor.daily.co.uk

-ENDS-

This information is provided by RNS

The company news service from the London Stock Exchange

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