5 April 2022
INTERCEDE GROUP plc
('Intercede', the 'Company' or the 'Group')
Trading Update & Contract Win
Intercede, the leading specialist in digital identity, credential management and secure mobility, announces that, subject to the completion of the year end audit, revenues for the year ended 31 March 2022 are expected to be in the region of £9.9-10.0m, which is approximately 9% lower than the previous financial year (4% lower at constant exchange rates).
Whilst the number of new deployments is the highest in recent years, delays have been experienced with a number of large new opportunities that had been expected to close this year and consequently there has not been a substantial license order received during the year ended 31 March 2022. Furthermore, COVID-19 has continued to impact trading outside the US market.
Although revenues are lower than market expectations, strong progress has been made during the past year with all other aspects of the business. MyID v12 has been launched which includes FIDO functionality thereby enabling the Group to substantially increase its addressable market following the long-awaited issue of FIPS 201-3 which finally took place in February 2022. New partnerships have also been formed during the year in Europe, the US, ASEAN, Latin America and Africa which is critical for the Group's future growth prospects.
Having increased the value of annual recurring revenues from Support & Maintenance plus repeatable Professional Services revenues to reach the point where they now largely cover annual fixed costs, the Group is expected to remain profitable. As at 31 March 2022, gross cash balances totalled £7.8m (2021: £8.0m).
Further detail will be provided within Intercede's final results which are expected to be published in June 2022.
Further to the announcement of 2 February 2022, Intercede announces that it received an initial order totalling $0.3m immediately prior to the year end from another large and prestigious US Federal Agency, a portion of which will be recognised in the year ended 31 March 2022.
The contract relates to the supply of Intercede's MyID credential management software to deploy digital identities to mobile devices in the form of derived PIV credentials, compliant with US government security standards FIPS 201 and SP 800-157. Intercede will work closely with its new partner to commence the migration from a competitor.
Intercede Group plc
Tel. +44 (0)1455 558 111
Klaas van der Leest, Chief Executive
Andrew Walker, Finance Director
Tel. +44 (0)20 7220 0500
Simon Hicks / Fergus Sullivan, Corporate Finance
Tim Redfern / Charlotte Sutcliffe, ECM
Intercede is a cybersecurity company specialising in digital identities, derived credentials and access control, enabling digital trust in a mobile world.
Headquartered in the UK, with offices in the US, we believe in a connected world in which people and technology are free to exchange information securely, and complex insecure passwords become a thing of the past.
Our vision is to make the highest levels of cybersecurity available to organizations and consumers alike, solving complexity and scalability issues by managing high volumes of digital credentials.
We have been delivering trusted solutions to high profile customers for over 20 years. Our team of experts has deployed millions of identities to governments, most of the largest aerospace and defence corporations, and major financial services and healthcare organizations, as well as leading telecommunications, cloud services and information technology firms, providing industry-leading employee and customer credential management systems.
For more information visit: www.intercede.com
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the company's obligations under Article 17 of MAR.