Newmark Security PLC CEO Marie-Claire Dwek talked with Proactive about the company's strong start to its 2025 financial year and its growth prospects.
Proactive: Hello, you're watching Proactive. Joining me is Newmark Security CEO, Marie-Claire Dwek. Marie-Claire, very good to speak with you. You reported a positive start to your 2025 financial year and have also guided for a strong year overall. Take us through some of the drivers of the growth that you're seeing.
Marie-Claire Dwek: Good morning, Stephen. Thank you. As Newmark, we are very happy with our success so far. As usual, we are second-half weighted, so we are looking forward to presenting our full-year results in September, which will show positive growth.
At Grosvenor, there are a few key drivers in line with our five-year strategy. First, we are continuing our revenue growth by onboarding new customers and displacing low-cost Chinese manufacturers. We are also securing complete market share with many of our customers.
The second key driver is attaching services to all our hardware, which is driving recurring revenue. The third is our new DTE platform. We recently signed an Oracle partnership and are working to progress with Workday and SAP. This will allow us to sell directly to end users, which is a new avenue for us.
For access control at Grosvenor, some projects have shifted, but we still expect to show growth. The same applies to Safetell, where some projects moved from the first half of the year to the second half, but we anticipate momentum in our full-year results.
Proactive: You mentioned Grosvenor. It performed particularly well, with recurring revenue from workforce management services rising 30%. Has that continued into the second half?
Marie-Claire Dwek: Absolutely. We expect an even higher percentage in the second half, and that growth continues. As we've onboarded new customers, our existing customers are all taking services now. That number is compounded and will grow as our business grows, which is very exciting for us.
Proactive: North American sales drove revenue growth in your services business. How are you positioned to continue that growth?
Marie-Claire Dwek: We are very happy with our position, and that growth will continue. We forecast that over 50% of our business at Grosvenor will come from North America for the full year. That will sustain as we onboard more clients. Given the state of the UK economy, it's advantageous that we operate across the UK, US, and Europe.
Proactive: Safetell is performing well, securing extended contracts with major banking and retail clients. Has your investment in the service team and new hires paid off?
Marie-Claire Dwek: Yes. Operationally, as we have grown, we have expanded our team and made strategic investments in people. We are seeing margin improvements as a result, which is very positive.
Proactive: What does your current pipeline look like?
Marie-Claire Dwek: On both sides of the business, the pipeline is larger than ever before. As we move into 2025/26, we are well-prepared for the year ahead, and both Grosvenor and Safetell have strong pipelines.
Proactive: What can investors look forward to for the remainder of the year?
Marie-Claire Dwek: More growth—both in overall revenue and recurring revenue. We are expanding distribution across different platforms and growing the DTE platform. We are also trialing and building a pipeline for direct-to-end-user sales, which is a completely new market for us.