SysGroup looks on bright side as market warned on full year numbers
SysGroup has warned the stock market this morning that full year results will be below market expectations.
Announcing unaudited half year results for the six months ended 30 September 2024 the Liverpool-based tech business said it made a pre-tax loss of £1.09m on revenues of £10.1m.
The company blamed a dependence on a few high-value projects that it said “meaningfully impact the overall results given the Group’s current size”.
“As a result of the longer-than-expected sales cycles and the focus on core competencies and account consolidation process, the Board anticipates revenue and adjusted EBITDA for H2 FY25 will be in line with H1 FY25 and therefore performance for the year ending 31 March 2025 will be below current market expectations,” a statement said.
Last month TheBusinessDesk.com reported that had acquired the trade and assets of Crossword Consulting Limited (CCL), the consulting arm of Crossword Cybersecurity plc for initial £311,000.
In the announcement today it revealed that London-based Crossword, and its parent company, is in administration.
Heejae Chae, Executive Chairman hinted then that the business is in the market for further deals, following an £11m equity raise in June 2024.
In a further optimistic message Chae said this morning: “We have made significant progress in our transformation journey, addressing legacy challenges and establishing a strong foundation for sustainable growth. By re-earning customer trust, we have secured major transformation projects, with Managed IT Services now accounting for 86% of our revenues, up from 84% last year, further strengthening our financial stability.”
