CV Check Ltd (ASX:CV1) has released strong results for the 2022 financial year with revenue of $26.4 million being 51% higher than the previous FY, SaaS revenue of $2.4 million was up 315% and cash receipts of $29.1 million were 71% higher.
The company’s fourth-quarter revenue was $6.7 million, up 6% on the previous corresponding period, and CV1 was cash flow positive from operations for the eighth consecutive quarter.
CV1 retains a strong balance sheet, with cash at bank of $12.2 million and no debt at June 30, 2022.
Cash-flow positive
During the year, monitored compliance and the OnCite credential passport with digital ID hit the market and the company’s flagship CVCheck continued to be cash flow positive from operations.
Payments made through the year included $1 million relating to the finalisation of the acquisition of Bright People Technologies Pty Ltd and product development of $2.6 million, up 194% on the prior corresponding period.
FY22 showing "equally impressive"
CV1 CEO Michael Ivanchenko said: “Our June 2022 quarter was a strong one, both from a financial and operational perspective. It ensured that CV Check’s showing over FY22 as a whole was equally impressive.
"Reflective of excellent sales momentum across the business, full year 2022 revenues were up more than 50% on the total for the preceding year.
"Within this figure, SaaS-related revenues were substantially higher, a clear sign that our efforts to diversify CV1’s revenue base is starting to bear fruit.
"Our cash flow performance remained solid, with the company recording its eighth successive quarter of positive operating level cash flows. And in another positive, materially higher margins were also a feature of our FY22 financials, aided by improved operational efficiencies."
Product suite improvements
Ivanchecko said the company's operational achievements over FY22 were not just restricted to finding cost efficiencies. "We also delivered substantial improvements to our existing product suite. And more recently, we introduced our digital credentials passport, OnCite.
"This new product is tangible proof we are progressing a key plank of our stated strategy, to become a leader in global RegTech.
"I am immensely proud of what the whole CV Check team has achieved over the past year. With their help, the CGI strategy created by the company’s senior leadership team has progressively been implemented and is already bearing fruit. It is laying the groundwork for CV1 to achieve further significant growth at scale, with accretive revenue.
"The year ahead promises to be an exceptional and exciting time for the CV1 team as we work towards both realising the growth potential of the monitored compliance product and realising the benefits of further efficiencies within the whole organisation."
Shares today are 10% higher at $0.11.