1Spatial, in its results for 1H ended July 2018, reported an increase in revenue to £8.8m from £8.6m and adjusted EBITDA to £0.6m from £0.1m, compared to 1H 2017. The company is now debt-free, having raised £8m in a placing in August.
The strong results are supported by recurring revenues which represent about 40% of revenues, and revenues grew 23% from £4.8m to £5.9m in the core Spatial Solutions business. Gross profit margin remained strong at 52% vs 51% in 1H 2017 and the operating loss improved to £0.7m from £1.6m in 1H 2017. Total cash outflow of £1.7m is in line with management expectations.
The significant contracts won across Government, Utilities, Transport and Facilities Management in the US and the UK set the company up for higher revenues in 2H.
Claire Milverton, CEO, said: “Our laser focus on disciplined financial management, sales execution and our “land and expand” approach has seen us both win new customers and increase revenues from our existing clients. After the period end, we successfully raised £8m. The proceeds of the placing will be invested in customer acquisition and new technology.”