The first new customer is a quantitative investment firm which will use the company’s market surveillance application, Irisium, to monitor market activity to increase transparency, integrity and confidence in their offering. KRM will also provide production services to assist the customer with daily alerts monitoring.
The firm has also signed up its first Asia Pacific client, a futures brokerage in Singapore, for its risk monitor application, while the third customer will be the first in Australia to use the group’s Enterprise Risk Cockpit service.
Meanwhile, KRM said it had decided to reduce the scope of certain activities in 2020 which will result in a cost reduction of around £1mln which was not expected to impact revenues.
The company added that it had received £600,000 in research and development tax credits to supplement its funding in the near-term.
Looking ahead, KRM said it expected the market to be “more stable” following the “anticipated resolution of political uncertainties surrounding Brexit”, however until then discussions with strategic investors and decisions around acquisitions will be delayed until 2020.
KRM’s house broker finnCap reiterated their 100p target price for the group, saying that the new client wins will result in “consequently positive” effects on the firm’s 2020 earnings (EBITDA) and an improvement in its cash expectations.