Efforts to rebuild big data business not yet reflected in results
Big data firm Cirata plc, formerly known as WANdisco, says despite promising signs of improved customer and partner engagement, the company cannot yet reap the rewards of work to restore its fortunes.
The Sheffield-headquartered business, which was rocked last year by the discovery of millions of pounds worth of false purchase orders made by one of its senior sales employees, has today published its interim unaudited results for the six months ended 30 June 2024.
Revenue for the period was $3.4m/£2.6m (H1 FY23: $3m/£2.3m) and the firm reported a pre-tax loss of $8.9m/£6.8m (H1 FY23: $22.5m/£17.2m pre-tax loss).
Stephen Kelly, chief executive officer, said: “Whilst we are making progress rebuilding the company, we knew the rebuild would take time and we are yet to see the fruits of our labour in terms of the headline numbers.
“However, there are plenty of positives that give us confidence as we navigate the second half of the year.
“On our scorecard, both customer and partner re-engagement is progressing well, our product positioning has improved clarity, our product roadmap is aligned and driving our pipeline build and we have positioned the company for maximum operational leverage when we hit our growth targets.
“Building a growth company from the wreckage of a broken business places special demands on the colleagues tasked to accelerate the growth journey. I am particularly proud of the response from our colleagues to the challenges we have faced.”
Cirata notes deal slippage continues to mask other improvement taking hold across the business.
It says some of the business’s significant potential deals in Q2 FY24 slipped. The company adds it continues to expect these will conclude in the latter part of H2 FY24, matching customer critical timelines.
In total, 31 contracts were signed in H1 FY24 (H1 FY23: 33 contracts) of which 16 were new and growth contracts (H1 FY23: 13 contracts).
Cirata says its key performance indicators point to an ongoing recovery taking place in the business.
It points out that returning customers are an important metric for the firm, not only from a booking’s perspective but also an indication of trust in both the product and the Cirata brand.
In total, since the rescue of the business in March 23, Cirata says it has had 47 renewals.
In its outlook statement, the business says it believes it will continue to see improving levels of sales activity, both direct and through partners as it trades through H2 FY24.
