Proactive Investors - Run By Investors For Investors

StatPro Group PLC looks to improve profitability

Investment analytics firm StatPro Group PLC unveiled solid results for 2015 and said it expects margins and cash generation to improve as it moves ever closer to being mainly a cloud-business.
StatPro Group PLC looks to improve profitability
StatPro provides software, which analyses stock markets and investment portfolios


Investment analytics firm StatPro Group PLC (LON:SOG) unveiled solid results for 2015 and said it expects margins and cash generation to improve as it moves ever closer to being mainly a cloud-business.

Annualised recurring revenue (ARR) for StatPro Revolution - it's cloud product- met its target of an increase of 46% at £7.8mln from £5.35mln in 2014.

The firm is migrating customers from StatPro Seven to its cloud version and the forward order book now stands at £36.6 million, of which £14.7 million is from StatPro Revolution.

Average annualised revenue from StatPro Revolution clients increased 67% to £28,300 (2014: £17,000), the company said.

Revenues for the year to end December came in at £30.19mln compared to £32.02mln in 2014, and pre-tax profit  was not much changed at £2.41mln (2014:£2.37mln).

The full  year dividend was maintained at 2.9p a share.

The firm added that the next iteration - StatPro Revolution Performance - remains on track to be released to clients in the second half of this year.

StatPro chief executive Justin Wheatley told investors: "In 2015, we achieved our core objective of growing StatPro Revolution's ARR by 46%.

"We are now close to the end of our major investment cycle in new technology with the launch of our last performance product module this summer.

"Our early investment in cloud technology, over eight years ago, has positioned us as a leading innovator in the rapidly digitising asset management industry. Indeed, StatPro Revolution is the first entirely new full analytics platform developed in our market over the last 10 years.

"With the acquisition of Investor Analytics, we are now able to offer a complete suite of risk models for any asset manager.  The acquisition has also increased our cloud-based ARR to 34% of the total ARR.

"Our forward order book is now at £36.6 million and the current financial year has started well.  We look forward to improving the group's profitability by a combination of both organic and acquisitive growth."

Broker Panmure Gordon repeated a 'buy' and lifted the target price to 124p from 119p.

"StatPro finals are ‘bang tidy’; all in line with forecasts," colourfully notes analyst George O'Connor.

He note the "very pleasing" comment that the StatPro Revolution Performance module is on track for release in summer 2016 and is currently in ‘beta’.

"For us, this is the last piece of the technical jigsaw and from here StatPro can accelerate sales as it begins to unlock that c200 Seven customer base.

StatPro shares gained 3.38% on the day to stand at 76.50p.

Why Invest In StatPro Group PLC? Read More Here

Register here to be notified of future SOG Company articles
View full SOG profile

StatPro Group PLC Timeline

Big Picture
September 19 2016

Related Articles

Portfolio analytics
September 19 2016
"Our strategy to convert our portfolio analytics and risk services to the cloud has secured us a significant technological lead in our market," said CEO Justin Wheatley
August 03 2016
The creator of electronic platforms used in binary options trading said revenues increased 30% to US$9.6mln, while underlying earnings (EBITDA) advanced over 80% to in excess of US$1mln.
representation of top level web domains on a giant keyboard
September 07 2016
Interim results show a 468% jump in bookings for the six months ended June 30, which in turn highlights the scaling up that's underway for CentralNic and the web domains that it supports.

© Proactive Investors 2016

Proactive Investor UK Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.