Cyber security firm warns of slowed growth after scale-up

The chief executive of listed business ECSC has warned that revenue growth will be slower

The Bradford security business has been investing heavily since a successful fundraising at its IPO.

However the conversion of sales pipeline into reported revenue is taking longer than anticipated, it said. The delays it sees in sales conversion will lead to a lower level of revenue in FY17 than originally expected.

Despite this, it was optimistic that growth would follow quickly, with recent high profile incidents helping cyber security remain a priority for corporate boards.

Ian Mann, chief executive officer, commented: “The scale-up of the operations has progressed well so far. Whilst the new sales team is bedding-in, we are experiencing a delay in revenue growth that will directly impact FY17 results. However, we are seeing encouraging sales pipeline growth and the management team remains focussed on harnessing the market backdrop for the longer-term benefit of the Company.”