Kape Technologies PLC Trading Update (5425T)
July 21 2020 - 1:00AM
UK Regulatory
TIDMKAPE
RNS Number : 5425T
Kape Technologies PLC
21 July 2020
21 July 2020
Kape Technologies plc
("Kape" or the "Group")
Trading Update
Kape (AIM: KAPE), the digital security and privacy software
business, is pleased to provide a trading update for the half year
to 30 June 2020.
The Group continued to trade strongly through the first half, in
line with management's expectations. Kape benefitted from higher
demand for its privacy-based software solutions due to increased
remote working and a full six months of contribution from PIA.
H1 2020 revenue is expected to be c. $59.0 million (H1 2019:
$29.9 million), up 97%, and 12% on a proforma basis. Recurring
revenue represented c. 90% of Group revenue. Adjusted EBITDA (1) is
expected to be c. $16.1 million (H1 2019: $5.8 million), up 180%.
Adjusted EBITDA margin increased to 27.3% (H1 2019: 19.4%).
R&D remains a central focus for Kape, with our mission to
support consumers' broadening digital privacy requirements. Kape's
end-market continues to experience strong growth, with CyberGhost's
new privacy suite introduced during the period to address
individuals' increasingly complex privacy demands.
The integration of PIA has advanced ahead of management's
projections with significant progress already made in integrating
marketing and customer service functions, infrastructure and
R&D capabilities. The Group is on track to achieve the
synergies as outlined within the presentation provided at the
Capital Markets Day in June 2020.
Outlook
The continued expansion of our services to existing customers as
well as an increase in the number of new customer wins further
supports the Board's high degree of confidence that the Group will
deliver revenues of between $120-$123 million and Adjusted EBITDA
of between $35-$38 million.
Ido Erlichman, Chief Executive Officer of Kape, commented:
"We have made a strong start to 2020, as evidenced by the 97%
growth in revenues and 180% increase in Adjusted EBITDA delivered
in the first half of the year. This performance is underpinned by
the rapid and successful integration of PIA, our continued
dedication to product development, and the increased awareness and
relevancy of our products worldwide.
"We believe Kape has never been better positioned to grow as we
seek to further broaden our global reach. Our continued investment
in our talent and products is placing Kape at the forefront of the
expanding digital privacy and security ecosystem. "
(1) Adjusted EBITDA is a non-GAAP measure and a company specific
measure which excludes other operating income and expenses which
are considered to be one off and non-recurring in nature.
Enquiries:
Kape Technologies plc via Vigo Communications
Ido Erlichman, Chief Executive Officer
Moran Laufer, Chief Financial Officer
Shore Capital (Nominated Adviser & Broker)
Mark Percy / Toby Gibbs / James Thomas +44 (0)20 7408 4090
N+1 Singer (Joint Broker)
Harry Gooden / George Tzimas +44 (0)20 7496 3000
Vigo Communications (Financial Public Relations)
Jeremy Garcia / Antonia Pollock
kape@vigocomms.com +44 (0)20 7390 0237
This announcement contains inside information for the purposes
of Article 7 of Regulation (EU) No 596/2014
About Kape
Kape is a leading 'privacy-first' digital security software
provider to consumers. Through its range of privacy and security
products, Kape focusses on protecting consumers and their personal
data as they go about their daily digital lives.
To date, Kape has over 2 million paying subscribers, supported
by a team of over 350 people across eight locations worldwide. Kape
has a proven track record of revenue and EBITDA growth, underpinned
by a strong business model that leverages our digital marketing
expertise.
Through our subscription-based platform, Kape has fast
established a highly scalable SaaS-based operating model, geared
towards capitalising on the vast global consumer digital privacy
market.
www.kape.com
Twitter LinkedIn
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.
END
TSTURUNRRVUBUAR
(END) Dow Jones Newswires
July 21, 2020 02:00 ET (06:00 GMT)
Kape Technologies (LSE:KAPE)
Historical Stock Chart
From Jun 2024 to Jul 2024
Kape Technologies (LSE:KAPE)
Historical Stock Chart
From Jul 2023 to Jul 2024