It is tough not to be wowed by Blue Prism's (PRSM) growth. Since joining Aim in March 2016 the robotics group has seen its share price rise by more than 900 per cent. And unlike many novel tech companies that excitement is not merely based on a distant pipe dream: Blue Prism's sales growth also has strong momentum.
In the six months to April 2017, reported revenue more than doubled to £9.3m, even excluding the contracts that have been invoiced but the money not yet recognised. This deferred revenue increased by 58 per cent from the end of the prior financial year to £16.5m. Through its partner network, Blue Prism has acquired 118 new customers and sold new products to 83 existing ones. It has also managed a 100 per cent retention rate on the eight product licences that were due for renewal in the period.
"We are building capacity as fast as we can," said chief executive Alastair Bathgate, regarding the increased demands of scale on Blue Prism's operations. Higher investment sent adjusted cash losses up to £2.7m from £1.4m in the comparable period last year. That said, the group's business model means that free cash outflows remain manageable at £1.3m.
BLUE PRISM (PRSM) | ||||
|---|---|---|---|---|
| ORD PRICE: | 813p | MARKET VALUE: | £507m | |
| TOUCH: | 798-831p | 12-MONTH HIGH: | 950p | LOW: 108p |
| DIVIDEND YIELD: | nil | PE RATIO: | na | |
| NET ASSET VALUE: | 2.1p | NET CASH: | £10.6m | |
| Half-year to 30 Apr | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2016 | 4.02 | -1.9 | -5.0 | nil |
| 2017 | 9.35 | -3.1 | -5.0 | nil |
| % change | +133 | - | - | - |
Ex-div: na Payment: na | ||||
