Darktrace PLC (LSE:DARK) raised its forecasts for the current financial year as its customer base and recurring revenues continue to grow.
The cybersecurity group saw solid sales trends exiting the previous financial period, including a particularly strong June performance, with sales performance towards the upper end of its expectations in the recent weeks.
READ: Darktrace investors offload shares after netting tidy profit from IPO
Revenue growth is expected to be 35-37% this year, up from 29-32% previously, driven by annualised recurring revenue rising 34-36%. Adjusted underlying earnings (EBITDA) margin is estimated to come in at 2-5%.
In the year to 30 June, revenue surged 41% to US$281mln with EBITDA dropping 65% to US$2mln due to one-off costs related to the IPO.
"Darktrace’s IPO and subsequent share price and financial performance have been a real tonic for the UK technology market," commented Dan Ridsdale, managing director of TMT at Edison Group.
"The UK has been underweight in structural growth technology companies for some time which has been a major factor in the UK markets underperformance. The entry of Darktrace, along with the likes of Alphawave IP, Big Technologies etc has shown that there is appetite. The key now is that we hold on to these companies and find ways to support them through the investment cycle."
Shares jumped 9% to 695.5p on Wednesday at the opening bell.
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