Endava Announces Third Quarter Fiscal Year 2019 Results
Q3 FY2019
24.7% Year on Year Revenue Growth to £73.1 million
23.2% Revenue Growth at Constant Currency
IFRS diluted EPS £0.11 compared to £0.08 in the prior year
comparative period
Adjusted diluted EPS £0.19 compared to £0.13 in the prior year
comparative period
LONDON–(BUSINESS WIRE)–Endava plc (NYSE: DAVA) (“Endava” or the “Company”) a global
provider of digital transformation, agile development and intelligent
automation services, today announced results for the three months ended
March 31, 2019, the third quarter of its 2019 fiscal year (“Q3 FY2019”).
“Endava continues to deliver strong results and I am pleased with our
performance. Our revenue for Q3 FY2019 was £73.1 million, an impressive
increase of 24.7% Year on Year on a reported basis from £58.6 million in
the same quarter in the prior year. We continue to expand in all of our
geographies and industry verticals.” said John Cotterell, Endava’s CEO.
FINANCIAL HIGHLIGHTS:
-
Revenue for Q3 FY2019 was £73.1 million, an increase of 24.7% compared
to £58.6 million in the same period in the prior year. -
Revenue growth rate at constant currency (a non-IFRS
measure) was 23.2% for Q3 FY2019 compared to 39.6% in the same period
in the prior year. -
Profit before tax for Q3 FY2019 was £7.6 million compared to £5.5
million in the same period in the prior year, or 10.4% of revenue
compared to 9.4% in the same period in the prior year. -
Adjusted profit before tax (a non-IFRS measure) for Q3 FY2019 was
£13.2 million compared to £8.5 million in the same period in the prior
year, or 18.1% of revenue compared to 14.5% in the same period in the
prior year. -
Profit for the period was £6.3 million in Q3 FY2019, resulting in a
diluted EPS of £0.11, compared to profit for the period of £4.2
million and diluted EPS of £0.08 in the same period in the prior year. -
Adjusted profit for the period (a non-IFRS measure) was £10.6 million
in Q3 FY2019, resulting in adjusted diluted EPS (a non-IFRS measure)
of £0.19 compared to adjusted profit for the period of £6.9 million
and adjusted diluted EPS of £0.13 in the same period in the prior year. -
Net cash from operating activities was £12.6 million in Q3 FY2019
compared to £7.9 million in the same period in the prior year. -
Free cash flow (a non-IFRS measure) was £11.4 million in Q3 FY2019
compared to £7.2 million in the same period in the prior year. -
At March 31, 2019, Endava had cash and cash equivalents of £59.3
million, compared to £15.0 million at June 30, 2018. Net cash at March
31, 2019 was £59.3 million compared to net borrowing of £4.7 million
at June 30, 2018.
OTHER METRICS:
-
Headcount reached 5,573 at March 31, 2019, with 5,012 average
operational employees in Q3 FY2019, compared to a headcount of 4,700
at March 31, 2018 and 4,246 average operational employees in the third
quarter of the prior year. -
Number of clients with over £1 million in spend grew to 67 on a
rolling twelve months basis at March 31, 2019 compared to 42 at March
31, 2018. -
Top 10 clients accounted for 40% of revenue in Q3 FY2019, unchanged
from the same period in the prior year. -
By geographic region, 27% of revenue was generated in North America,
27% was generated in Europe and 46% was generated in the United
Kingdom in Q3 FY2019. This compares to 25% in North America, 31% in
Europe and 44% in the United Kingdom in the same period in the prior
year. -
By industry vertical, 53% of revenue was generated from Payments and
Financial Services, 28% from TMT and 19% from Other. This compares to
54% Payments and Financial Services, 29% TMT and 17% Other in the same
period in the prior year.
OUTLOOK:
For Q4 FY2019:
We expect revenues will be in the range £75m to £76m, representing
constant currency growth of between 21% and 22%. We expect adjusted
diluted EPS to be in the range of £0.17 to £0.18 per share.
Full Fiscal Year 2019:
We expect revenues will be in the range £286m to £287m, representing
constant currency growth of 31%. We expect adjusted diluted EPS to be in
the range of £0.73 to £0.74 per share.
Endava is not able, at this time, to provide an outlook for IFRS diluted
EPS for Q4 FY2019 or FY2019 because of the unreasonable effort of
estimating certain items that are excluded from adjusted diluted EPS,
including, for example, share-based compensation expense, amortisation
of acquired intangible assets and foreign currency exchange (gains)
losses, the effect of which may be significant.
CONFERENCE CALL DETAILS:
The Company will host a conference call at 8:00 am EST today, May 21,
2019, to review its Q3 FY2019 results. To participate in Endava’s Q3
FY19 earnings conference call, please dial in at least five minutes
prior to the scheduled start time (877) 683-6368 or (647) 689-5450 for
international participants, Conference ID 4226669.
Investors may listen to the call on Endava’s Investor Relations website
at http://investors.Endava.com.
The webcast will be recorded and available for replay until Friday, June
7, 2019.
ABOUT ENDAVA PLC:
Endava is a leading next-generation technology services provider and
helps accelerate disruption by delivering rapid evolution to
enterprises. Using distributed enterprise agile at scale, Endava
collaborates with its clients, seamlessly integrating with their teams,
catalysing ideation and delivering robust solutions. Endava helps its
clients become digital, experience-driven businesses by assisting them
in their journey from idea generation to development and deployment of
products, platforms and solutions. It services clients in the following
industries: Payments and Financial Services, TMT, Consumer Products,
Retail, Logistics and Healthcare. Endava had 5,573 employees as of March
31, 2019 located in offices in North America and Western Europe and
delivery centres in Romania, Moldova, Bulgaria, Serbia, Macedonia,
Argentina, Uruguay, Venezuela, and Colombia.
NON-IFRS FINANCIAL INFORMATION:
To supplement Endava’s Consolidated Statements of Comprehensive Income,
Consolidated Balance Sheets and Consolidated Statements of Cash Flow
presented in accordance with IFRS, the Company uses non-IFRS measures of
certain components of financial performance. These measures include:
revenue growth rate at constant currency, adjusted profit before tax,
adjusted profit for the period, adjusted diluted EPS and free cash flow.
Revenue growth rate at constant currency is calculated by translating
revenue from entities reporting in foreign currencies into British
Pounds using the comparable foreign currency exchange rates from the
prior period. For example, the average rates in effect for the fiscal
quarter ended March 31, 2018 were used to convert revenue for the fiscal
quarter ended March 31, 2019 and the revenue for the comparable prior
period.
Adjusted profit before tax is defined as the Company’s profit before tax
adjusted to exclude
the impact of share-based compensation expense, amortisation of acquired
intangible assets, realized and unrealized foreign currency exchange
gains and losses, initial public offering expenses incurred,
Sarbanes-Oxley compliance readiness expenses, fair value movement of
contingent consideration, secondary offering expenses incurred and stamp
duty on transfer of shares (all of which are non-cash other than
realized foreign currency exchange gains and losses, initial public
offering expenses, Sarbanes-Oxley compliance readiness expenses,
secondary offering expenses incurred and stamp duty on transfer of
shares). Adjusted PBT margin is adjusted profit before tax as a
percentage of total revenue.
Adjusted profit for the period is defined as the Company’s profit for
the period adjusted to exclude the impact of share-based compensation
expense, amortisation of acquired intangible assets, realized and
unrealized foreign currency exchange gains and losses, initial public
offering expenses incurred, Sarbanes-Oxley compliance readiness
expenses, fair value movement of contingent consideration, secondary
offering expenses incurred and stamp duty on transfer of shares (all of
which are non-cash other than realized foreign currency exchange gains
and losses, initial public offering expenses, Sarbanes-Oxley compliance
readiness expenses, secondary offering expenses incurred and stamp duty
on transfer of shares) together with the tax impact of these adjustments.
Adjusted diluted EPS is defined as the Company’s profit for the period
adjusted to exclude the impact of share-based compensation expense,
amortisation of acquired intangible assets, realized and unrealized
foreign currency exchange gains and losses, initial public offering
expenses incurred, Sarbanes-Oxley compliance readiness expenses, fair
value movement of contingent consideration, secondary offering expenses
incurred and stamp duty on transfer of shares (all of which are non-cash
other than realized foreign currency exchange gains and losses, initial
public offering expenses, Sarbanes-Oxley compliance readiness expenses,
secondary offering expenses incurred and stamp duty on transfer of
shares), divided by weighted average number of shares outstanding –
diluted.
Free cash flow is the Company’s net cash from/(used in) operating
activities, plus grants received, less net purchases of non-current
assets (tangible and intangible).
In order for Endava’s investors to be better able to compare its current
period results with those of previous periods, the Company has shown a
reconciliation of IFRS to non-IFRS financial measures. Management
believes these measures help illustrate underlying trends in the
Company’s business and uses the measures to establish budgets and
operational goals, communicated internally and externally, for managing
the Company’s business and evaluating its performance. Management also
believes the presentation of its non-IFRS financial measures enhances an
investor’s overall understanding of the Company’s historical financial
performance. The presentation of the Company’s non-IFRS financial
measures is not meant to be considered in isolation or as a substitute
for the Company’s financial results prepared in accordance with IFRS,
and its non-IFRS measures may be different from non-IFRS measures used
by other companies.
This press release includes forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements may be identified by the use of terms and
phrases such as “believe,” “expect,” “outlook,” and other similar terms
and phrases. Such forward-looking statements include, but are not
limited to, the statements regarding our projected financial performance
for our fourth fiscal quarter and full-fiscal year 2019. Forward-looking
statements involve known and unknown risks, uncertainties and other
factors that could cause actual results to differ materially from the
results anticipated by these forward-looking statements, including, but
not limited to: our ability to sustain our revenue growth rate in the
future; our ability to retain existing clients and attract new
clients, including our ability to increase revenue from existing clients
and diversify our revenue concentration; our ability to attract and
retain highly-skilled IT professionals at cost-effective rates; our
ability to penetrate new industry verticals and geographies and grow our
revenue in current industry verticals and geographies; our ability to
maintain favorable pricing and utilization rates; our ability to
successfully identify acquisition targets, consummate acquisitions and
successfully integrate acquired businesses and personnel; the effects of
increased competition as well as innovations by new and existing
competitors in our market; the size of our addressable market and market
trends; our ability to adapt to technological change and innovate
solutions for our clients; our plans for growth and future operations,
including our ability to manage our growth; our expectations of future
operating results or financial performance; our ability to effectively
manage our international operations, including our exposure to foreign
currency exchange rate fluctuations; and our future financial
performance, including trends in revenue, cost of sales, gross profit,
selling, general and administrative expenses, finance income and expense
and taxes, as well as other risks and uncertainties discussed in the
“Risk Factors” section of our Annual Report on Form 20-F filed with the
Securities and Exchange Commission on October 11, 2018 and the final
prospectus relating to our recent public offering filed with the
Securities and Exchange Commission pursuant to Rule 424(b)(4) on April
18, 2019.
In addition, the forward-looking statements included in this press
release represent our views and expectations as of the date hereof and
are based on information currently available to us. We anticipate
that subsequent events and developments may cause our views to change.
However, while we may elect to update these forward-looking statements
at some point in the future, we specifically disclaim any obligation to
do so except as required by law. These forward-looking statements should
not be relied upon as representing our views as of any date subsequent
to the date hereof.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME |
||||||||||||
Nine Months Ended March 31 | Three Months Ended March 31 | |||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||
£’000 | £’000 | £’000 | £’000 | |||||||||
REVENUE | 211,312 | 156,140 | 73,064 | 58,598 | ||||||||
Cost of sales | ||||||||||||
Direct cost of sales | (127,356) | (96,104) | (44,330) | (35,783) | ||||||||
Allocated cost of sales | (11,050 | ) | (9,281 | ) | (3,745 | ) | (3,235 | ) | ||||
Total cost of sales | (138,406 | ) | (105,385 | ) | (48,075 | ) | (39,018 | ) | ||||
GROSS PROFIT | 72,906 | 50,755 | 24,989 | 19,580 | ||||||||
Selling, general and administrative expenses | (48,609 | ) | (31,755 | ) | (17,601 | ) | (13,705 | ) | ||||
OPERATING PROFIT | 24,297 | 19,000 | 7,388 | 5,875 | ||||||||
Net finance (expense) / income | (4,644 | ) | (1,030 | ) | 216 | (370 | ) | |||||
PROFIT BEFORE TAX | 19,653 | 17,970 | 7,604 | 5,505 | ||||||||
Tax on profit on ordinary activities | (3,874) | (3,893) | (1,290) | (1,286) | ||||||||
PROFIT FOR THE PERIOD AND PROFIT ATTRIBUTABLE TO OWNERS OF THE PARENT |
15,779 | 14,077 | 6,314 | 4,219 | ||||||||
Other comprehensive income | ||||||||||||
Items that may be reclassified subsequently to profit or loss: | ||||||||||||
Exchange differences on translating foreign operations | (2,365) | (1,108) | (3,027) | (1,363) | ||||||||
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD ATTRIBUTABLE TO OWNERS OF THE PARENT |
13,414 | 12,969 | 3,287 | 2,856 | ||||||||
EARNINGS PER SHARE: | ||||||||||||
Weighted average number of shares outstanding – Basic | 49,072,773 | 45,100,165 | 49,500,875 | 45,100,165 | ||||||||
Weighted average number of shares outstanding – Diluted | 54,648,204 | 50,050,447 | 54,912,822 | 51,142,347 | ||||||||
Basic EPS (£) | 0.32 | 0.31 | 0.13 | 0.09 | ||||||||
Diluted EPS (£) | 0.29 | 0.28 | 0.11 | 0.08 | ||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS |
|||||||||
March 31, 2019 | June 30, 2018 | March 31, 2018 | |||||||
£’000 | £’000 | £’000 | |||||||
ASSETS – NON-CURRENT | |||||||||
Goodwill | 41,197 | 41,062 | 39,267 | ||||||
Intangible assets | 28,800 | 30,787 | 30,051 | ||||||
Property, plant and equipment | 9,359 | 8,584 | 8,350 | ||||||
Deferred tax assets | 4,731 | 2,488 | 926 | ||||||
TOTAL | 84,087 | 82,921 | 78,594 | ||||||
ASSETS – CURRENT | |||||||||
Inventories |
– |
16 | 57 | ||||||
Trade and other receivables | 63,041 | 52,352 | 50,190 | ||||||
Corporation tax receivable | 649 | 677 |
– |
||||||
Cash and cash equivalents | 59,339 | 15,048 | 9,462 | ||||||
TOTAL | 123,029 | 68,093 | 59,709 | ||||||
TOTAL ASSETS | 207,116 | 151,014 | 138,303 | ||||||
LIABILITIES – CURRENT | |||||||||
Borrowings | 29 | 19,744 | 23,612 | ||||||
Trade and other payables | 43,983 | 40,243 | 32,843 | ||||||
Corporation tax payable | 2,045 | 1,488 | 644 | ||||||
Contingent consideration | 1,211 | 5,259 | 4,947 | ||||||
Deferred consideration | 1,516 | 4,401 | 2,851 | ||||||
Other liabilities | 248 |
– |
– |
||||||
TOTAL | 49,032 | 71,135 | 64,897 | ||||||
LIABILITIES – NON CURRENT | |||||||||
Borrowings | 1 | 20 | 34 | ||||||
Contingent consideration |
– |
7,251 | 6,751 | ||||||
Deferred consideration |
– |
– |
1,238 | ||||||
Deferred tax liabilities | 2,380 | 2,832 | 2,621 | ||||||
Other liabilities | 67 | 277 | 267 | ||||||
TOTAL | 2,448 | 10,380 | 10,911 | ||||||
EQUITY | |||||||||
Share capital | 1,085 | 996 | 996 | ||||||
Share premium | 16,451 | 2,678 | 2,678 | ||||||
Merger relief reserve | 4,430 | 4,430 | 4,430 | ||||||
Retained earnings | 133,219 | 59,260 | 52,959 | ||||||
Other reserves | 2,692 | 4,410 | 3,707 | ||||||
Investment in own shares | (2,241 | ) | (2,275 | ) | (2,275 | ) | |||
TOTAL | 155,636 | 69,499 | 62,495 | ||||||
TOTAL LIABILITIES AND EQUITY | 207,116 | 151,014 | 138,303 | ||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS |
||||||||||||
Nine Months Ended | Three Months Ended | |||||||||||
March 31 | March 31 | |||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||
£’000 | £’000 | £’000 | £’000 | |||||||||
OPERATING ACTIVITIES | ||||||||||||
Profit for the period | 15,779 | 14,077 | 6,314 | 4,219 | ||||||||
Income tax charge | 3,874 | 3,893 | 1,290 | 1,286 | ||||||||
Non-cash adjustments | 18,270 | 4,453 | 4,965 | 1,781 | ||||||||
Tax paid | (3,641 | ) | (3,688 | ) | (730 | ) | (1,414 | ) | ||||
UK research and development credit received | 1,278 | 1,854 | 1,278 |
– |
||||||||
Net changes in working capital | (11,271 | ) | (215 | ) | (493 | ) | 2,074 | |||||
Net cash from operating activities | 24,289 | 20,374 | 12,624 | 7,946 | ||||||||
INVESTING ACTIVITIES | ||||||||||||
Purchase of non-current assets (tangibles and intangibles) | (5,153 | ) | (3,680 | ) | (1,189 | ) | (919 | ) | ||||
Proceeds from disposal of non-current assets | 33 | 2 | 8 | 8 | ||||||||
Acquisition of business / subsidiaries (net of cash acquired) | (3,142 | ) | (25,423 | ) | (3,142 | ) | (8,031 | ) | ||||
Interest received | 286 | 30 | 160 | 7 | ||||||||
Net cash used in investing activities | (7,976 | ) | (29,071 | ) | (4,163 | ) | (8,935 | ) | ||||
FINANCING ACTIVITIES | ||||||||||||
Proceeds from borrowings | 3,500 | 22,979 |
– |
– |
||||||||
Repayment of borrowings | (23,538 | ) | (28,094 | ) | (12 | ) | (14,451 | ) | ||||
Interest paid | (280 | ) | (413 | ) | (58 | ) | (210 | ) | ||||
Grant received | 1,784 | 147 |
– |
147 | ||||||||
Net proceeds from initial public offering | 44,828 |
– |
– |
– |
||||||||
Issue of shares | 85 |
– |
85 |
– |
||||||||
Net cash from financing activities | 26,379 | (5,381 | ) | 15 | (14,514 | ) | ||||||
Net change in cash and cash equivalents | 42,692 | (14,078 | ) | 8,476 | (15,503 | ) | ||||||
Cash and cash equivalents at the beginning of the period | 15,048 | 23,571 | 51,044 | 25,066 | ||||||||
Exchange differences on cash and cash equivalents | 1,599 | (31 | ) | (181 | ) | (101 | ) | |||||
Cash and cash equivalents at the end of the period | 59,339 | 9,462 | 59,339 | 9,462 | ||||||||
RECONCILIATION OF ADJUSTED FINANCIAL MEASURES TO COMPARABLE IFRS FINANCIAL MEASURES |
||||||||||||
RECONCILIATION OF REVENUE GROWTH RATE AT CONSTANT CURRENCY TO REVENUE GROWTH RATE AS REPORTED UNDER IFRS: |
||||||||||||
Nine Months ended | Three Months ended | |||||||||||
March 31 | March 31 | |||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||
REVENUE GROWTH RATE AT CONSTANT CURRENCY | 34.4 | % | 34.6 | % | 23.2 | % | 39.6 | % | ||||
Foreign exchange rates impact | 0.9 | % | (0.4 | %) | 1.5 | % | (3.0 | %) | ||||
REVENUE GROWTH RATE AS REPORTED UNDER IFRS | 35.3 | % | 34.2 | % | 24.7 | % | 36.6 | % | ||||
RECONCILIATION OF ADJUSTED PROFIT BEFORE TAX AND ADJUSTED |
||||||||||||
Nine Months Ended | Three Months Ended | |||||||||||
March 31 | Mar 31 | |||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||
£’000 | £’000 | £’000 | £’000 | |||||||||
PROFIT BEFORE TAX | 19,653 | 17,970 | 7,604 | 5,505 | ||||||||
Adjustments: | ||||||||||||
Share-based compensation expense | 8,690 | 1,026 | 3,680 | 306 | ||||||||
Amortisation of acquired intangible assets | 2,609 | 1,804 | 857 | 844 | ||||||||
Foreign currency exchange (gains) losses, net | (1,262 | ) | 545 | (121 | ) | 64 | ||||||
Initial public offering expenses incurred | 1,055 | 2,472 |
– |
1,787 | ||||||||
Sarbanes-Oxley compliance readiness expenses incurred | 1,227 |
– |
529 |
– |
||||||||
Fair value movement of contingent consideration | 5,805 |
– |
– |
– |
||||||||
Secondary offering expenses incurred | 306 |
– |
306 |
– |
||||||||
Stamp duty on transfer of shares | 385 |
– |
385 |
– |
||||||||
Total adjustments | 18,815 | 5,847 | 5,636 | 3,001 | ||||||||
ADJUSTED PROFIT BEFORE TAX | 38,468 | 23,817 | 13,240 | 8,506 | ||||||||
PROFIT FOR THE PERIOD | 15,779 | 14,077 | 6,314 | 4,219 | ||||||||
Adjustments: | ||||||||||||
Adjustments to profit before tax | 18,815 | 5,847 | 5,636 | 3,001 | ||||||||
Tax impact of adjustments | (3,661 | ) | (745 | ) | (1,312 | ) | (359 | ) | ||||
ADJUSTED PROFIT FOR THE PERIOD | 30,933 | 19,179 | 10,638 | 6,861 | ||||||||
Diluted EPS (£) | 0.29 | 0.28 | 0.11 | 0.08 | ||||||||
Adjusted diluted EPS (£) | 0.57 | 0.38 | 0.19 | 0.13 | ||||||||
RECONCILIATION OF NET CASH FROM OPERATING ACTIVITIES TO FREE |
||||||||||||
Nine Months Ended | Three Months Ended | |||||||||||
March 31 | March 31 | |||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||
£’000 | £’000 | £’000 | £’000 | |||||||||
Net cash from operating activities | 24,289 | 20,374 | 12,624 | 7,946 | ||||||||
Adjustments: | ||||||||||||
Grant received | 1,784 | 147 |
– |
147 | ||||||||
Net purchases of non-current assets (tangible and intangible) | (5,120 | ) | (3,678 | ) | (1,181 | ) | (911 | ) | ||||
Free cash flow | 20,953 | 16,843 | 11,443 | 7,182 | ||||||||
SUPPLEMENTARY INFORMATION | |||||||||||
SHARE-BASED COMPENSATION EXPENSE | |||||||||||
Nine Months Ended | Three Months Ended | ||||||||||
March 31 | March 31 | ||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||
£’000 | £’000 | £’000 | £’000 | ||||||||
Direct cost of sales | 3,587 | 686 | 1,648 | 205 | |||||||
Selling, general and administrative expenses | 5,103 | 340 | 2,032 | 101 | |||||||
Total | 8,690 | 1,026 | 3,680 | 306 | |||||||
DEPRECIATION AND AMORTIZATION |
|||||||||||
Nine Months Ended | Three Months Ended | ||||||||||
March 31 | March 31 | ||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||
£’000 | £’000 | £’000 | £’000 | ||||||||
Direct cost of sales | 2,870 | 2,371 | 1,011 | 821 | |||||||
Selling, general and administrative expenses | 3,030 | 2,081 | 972 | 944 | |||||||
Total | 5,900 | 4,452 | 1,983 | 1,765 | |||||||
EMPLOYEES, TOP 10 CUSTOMERS and REVENUE SPLIT |
||||||||||||
Nine Months Ended | Three Months Ended | |||||||||||
March 31 | March 31 | |||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||
Closing number of total employees | 5,573 | 4,700 | 5,573 | 4,700 | ||||||||
Average operational employees | 4,821 | 3,829 | 5,012 | 4,246 | ||||||||
Top 10 customers % | 36 | % | 43 | % | 40 | % | 40 | % | ||||
Number of clients with > £1m of revenue (rolling 12 months) |
67 | 42 | 67 | 42 | ||||||||
Geographic split of revenue % | ||||||||||||
North America | 27 | % | 19 | % | 27 | % | 25 | % | ||||
Europe | 28 | % | 35 | % | 27 | % | 31 | % | ||||
UK | 45 | % | 46 | % | 46 | % | 44 | % | ||||
Industry vertical split of revenue % | ||||||||||||
Payments and Financial Services | 53 | % | 58 | % | 53 | % | 54 | % | ||||
TMT | 27 | % | 28 | % | 28 | % | 29 | % | ||||
Other | 20 | % | 14 | % | 19 | % | 17 | % | ||||
Contacts
INVESTOR CONTACT:
Endava Plc
Laurence Madsen, Investor
Relations Manager
[email protected]
![](https://grassnews.net/wp-content/uploads/2019/03/Grassnews-600px.png)
Indivior
Indivior Provides Update on Aelis Farma’s Clinical Phase 2B Study Results with AEF0117 in Participants with Cannabis Use Disorder
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) 596/2014 (AS IT FORMS PART OF DOMESTIC LAW IN THE UK BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018).
- Primary and Secondary End Points of the Study were Not Met
- Indivior Does Not Currently Expect to Exercise AEF0117 Option
SLOUGH, United Kingdom and RICHMOND, Va., Sept. 4, 2024 /PRNewswire/ — Indivior PLC (Nasdaq/LSE: INDV) is today providing an update following Aelis Farma’s announcement of the results from its clinical Phase 2B trial with AEF01171, evaluating the efficacy and safety in treatment-seeking participants with moderate to severe Cannabis Use Disorder (CUD). The purpose of this trial was twofold: (1) to show that AEF0117 (0.1, 0.3, 1 mg once a day for 12 weeks) lowers cannabis use and (2) to determine the endpoints and optimal dosage of AEF0117 for use in future studies. In this phase 2B study, patients were treatment-seeking participants, 84% of whom had severe CUD.
The results of the study demonstrated that the primary endpoint, the proportion of participants who reduced their cannabis use to ≤1 day per week, as well as secondary endpoints measuring the proportion of participants reaching either complete abstinence or who used ≤2 day per week, were not met. Although these results are disappointing, they indicate that significant work remains to be done to understand subpopulations of patients with CUD, specifically those with severe CUD.
This clinical Phase 2B study is part of the strategic collaboration between Aelis Farma and Indivior, which includes an exclusive option for Indivior to license the global rights to AEF0117. Given the lack of separation from placebo on primary and secondary endpoints and before seeing further additional favorable clinical data, Indivior does not currently expect to exercise its option.
Important Cautionary Note Regarding Forward-Looking Statements
This news release contains certain statements that are forward-looking. Forward-looking statements include, among other things, express and implied statements regarding whether: we will be able to ultimately demonstrate the safety and efficacy of AEF0117, which is a prerequisite to filing any New Drug Application; we might ever exercise our option for AEF0117 and, if so, when; and other statements containing the words “believe,” “anticipate,” “plan,” “expect,” “intend,” “estimate,” “forecast,” “strategy,” “target,” “guidance,” “outlook,” “potential,” “project,” “priority,” “may,” “will,” “should,” “would,” “could,” “can,” “outlook,” “guidance,” the negatives thereof, and variations thereon and similar expressions. By their nature, forward-looking statements involve risks and uncertainties as they relate to events or circumstances that may or may not occur in the future.
Actual results may differ materially from those because they relate to future events. Various factors may cause differences between Indivior’s expectations and actual results, including, among others, the risks described in our most recent annual report on Form 20-F beginning on page 9 as filed with the U.S. SEC and in subsequent releases; legal and market restrictions that may limit how quickly we can repurchaser our shares; the substantial litigation and ongoing investigations to which we are or may become a party; our reliance on third parties to manufacture commercial supplies of most of our products, conduct our clinical trials and at times to collaborate on products in our pipeline; our ability to comply with legal and regulatory settlements, healthcare laws and regulations, requirements imposed by regulatory agencies and payment and reporting obligations under government pricing programs; risks related to the manufacture and distribution of our products, most of which contain controlled substances; market acceptance of our products as well as our ability to commercialize our products and compete with other market participants; competition; the uncertainties related to the development of new products, including through acquisitions, and the related regulatory approval process; our dependence on third-party payors for the reimbursement of our products and the increasing focus on pricing and competition in our industry; unintended side effects caused by the clinical study or commercial use of our products; our ability to successfully execute acquisitions, partnerships, joint ventures, dispositions or other strategic acquisitions; our ability to protect our intellectual property rights and the substantial cost of litigation or other proceedings related to intellectual property rights; the risks related to product liability claims or product recalls; the significant amount of laws and regulations that we are subject to, including due to the international nature of our business; macroeconomic trends and other global developments such as armed conflicts and pandemics; the terms of our debt instruments, changes in our credit ratings and our ability to service our indebtedness and other obligations as they come due; changes in applicable tax rate or tax rules, regulations or interpretations and our ability to realize our deferred tax assets; and volatility in our share price due to factors unrelated to our operating performance or that may result from the potential move of our primary listing to the U.S.
Forward-looking statements speak only as of the date that they are made and should be regarded solely as our current plans, estimates and beliefs. Except as required by law, we do not undertake and specifically decline any obligation to update, republish or revise forward-looking statements to reflect future events or circumstances or to reflect the occurrences of unanticipated events.
This release is being made by Kathryn Hudson, Company Secretary Indivior PLC.
About Indivior
Indivior is a global pharmaceutical company working to help change patients’ lives by developing medicines to treat substance use disorders (SUD), overdose and serious mental illnesses. Our vision is that all patients around the world will have access to evidence-based treatment for the chronic conditions and co-occurring disorders of SUD. Indivior is dedicated to transforming SUD from a global human crisis to a recognized and treated chronic disease.
Building on its global portfolio of OUD treatments, Indivior has a pipeline of product candidates designed to both expand on its heritage in this category and potentially address other chronic conditions and co-occurring disorders of SUD. Headquartered in the United States in Richmond, VA, Indivior employs over 1,000 individuals globally and its portfolio of products is available in over 30 countries worldwide. Visit www.indivior.com to learn more. Connect with Indivior on LinkedIn by visiting www.linkedin.com/company/indivior.
References:
- National Library of Medicine (U.S.) (2022, April). Effect of AEF0117 on treatment-seeking patients with cannabis use disorder (CUD) (SICA2). Identifier
NCT05322941 https://www.clinicaltrials.gov/study/NCT05322941
Logo – https://mma.prnewswire.com/media/1814851/Indivior_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/indivior-provides-update-on-aelis-farmas-clinical-phase-2b-study-results-with-aef0117-in-participants-with-cannabis-use-disorder-302237355.html
Innocan
Innocan Pharma Announces Closing of Private Placement and Grant of Stock Options
![innocan-pharma-announces-closing-of-private-placement-and-grant-of-stock-options](https://grassnews.net/wp-content/uploads/2024/08/61828-innocan-pharma-announces-closing-of-private-placement-and-grant-of-stock-options.jpg)
HERZLIYA, Israel and CALGARY, Alberta, Aug. 29, 2024 /PRNewswire/ — Innocan Pharma Corporation (CSE: INNO) (FSE: IP4) (OTCQB: INNPF) (“Innocan” or the “Company”), a pioneer in the pharmaceutical and biotechnology industries, is pleased to announce that it has completed its previously announced non-brokered private placement offering of 5,025,725 units of the Company (the “Units”) at a price of C$0.22 per Unit for gross proceeds of C$1,105,659.50 (the “Offering”).
Each Unit is comprised of: (i) one (1) common share in the capital of the Company (each a “Common Share”); and (ii) one (1) common share purchase warrant (each a “Warrant”). Each Warrant will entitle the holder thereof to purchase one Common Share at a price of C$0.32 for a period of four (4) years from the date of issuance.
Innocan intends to use the proceeds of the Offering for working capital and general corporate purposes.
The securities issued to Canadian subscribers in connection with the Offering are subject to a hold period of four months and one day from the date of issuance, in accordance with applicable Canadian securities laws.
Iris Bincovich, Chief Executive Officer of the Company, stated “we are very pleased with our successful offering. I would like to extend my sincere gratitude to our investors for their unwavering support. We see this as a strong vote of confidence by both existing and new investors which demonstrates investor support of our vision and strategic direction. These new funds will provide us with additional working capital to enable us to capitalize on new opportunities and allow us to advance strongly on our growth plans.”
The Company is also pleased to announce that it has granted an aggregate of 300,000 stock options (each an “Option“) to certain consultants of the Company pursuant to the Company’s stock option plan (the “Plan“). Each Option may be exercised for one (1) common share in the capital of the Company (each, a “Share“) at a price of $0.25 per Share. The Options expire on August 27, 2029.
All Options granted vest in accordance with the following vesting schedule: (i) 1/3rd of the Options vested immediately at grant; (ii) 1/3rd of the Options will vest on February 28, 2025; and (iii) 1/3rd will vest on August 27, 2025; all subject to the terms and conditions of the Plan.
About Innocan Pharma:
Innocan is a pharmaceutical tech company that operates under two main segments: Pharmaceuticals and Consumer Wellness. In the Pharmaceuticals segment, Innocan focuses on developing innovative drug delivery platform technologies comprises with cannabinoids science, to treat various conditions to improve patients’ quality of life. This segment involves two drug delivery technologies: (i) LPT CBD-loaded liposome platform facilitating exact dosing and the prolonged and controlled release of CBD into the blood stream. The LPT delivery platform research is in the preclinical trial phase for two indications: Epilepsy and Pain Management. In the Consumer Wellness segment, Innocan develops and markets a wide portfolio of innovative and high-performance self-care products to promote a healthier lifestyle. Under this segment Innocan has established a Joint Venture by the name of BI Sky Global Ltd. that focuses developing on advanced targeted online sales. https://innocanpharma.com/
Contact Information:
For Innocan Pharma Corporation:
Iris Bincovich, CEO
+1 5162104025
+972-54-3012842
+442037699377
[email protected]
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATION SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Logo – https://mma.prnewswire.com/media/2046271/4883982/Innocan_Pharma_Corporation_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/innocan-pharma-announces-closing-of-private-placement-and-grant-of-stock-options-302234455.html
Cannabis
Europe Medical Cannabis Market Forecast 2024-2032: Tilray, Aurora Cannabis, and GW Pharmaceuticals Dominate the Market Landscape
![](https://grassnews.net/wp-content/uploads/2024/08/europe-medical-cannabis-market-forecast-2024-2032-tilray-aurora-cannabis-and-gw-pharmaceuticals-dominate-the-market-landscape.gif)
Dublin, Aug. 29, 2024 (GLOBE NEWSWIRE) — The “Europe Medical Cannabis Oil Market Size, Industry Dynamics, Opportunity Analysis and Forecast 2024-2032.” report has been added to ResearchAndMarkets.com’s offering.
The Europe Medical Cannabis Oil market is poised for significant growth, projected to escalate from US$ 0.91 billion in 2023 to US$ 2.40 billion by 2032, advancing at a CAGR of 12.08%. In this comprehensive research report, the market is analyzed by:
- Derivatives;
- Source;
- Application;
- Route of Administration;
- End-user;
- Distribution Channel; and
- Country.
Market Highlights Identified in the Report
- Progressive legalization across Europe is creating a favorable regulatory environment, enhancing market expansion for medical cannabis oil products.
- Germany leads the market with a robust infrastructure and supportive regulations, while other countries like the UK, Italy, and Spain show significant growth potential based on evolving regulatory landscapes and market dynamics.
- Key players such as Tilray, Aurora Cannabis Inc., and GW Pharmaceuticals dominate the market, emphasizing research, strategic partnerships, and innovation to maintain competitive edge amidst evolving industry dynamics.
The medical cannabis oil market has experienced substantial growth as legalization and acceptance of cannabis-based treatments expand globally. Cannabis oil, derived from the cannabis plant through extraction methods, contains cannabinoids such as THC and CBD, known for their therapeutic properties. Increasing recognition of cannabis oil’s potential in alleviating symptoms of various medical conditions, including chronic pain, epilepsy, and anxiety disorders, has driven its adoption in medical settings.
Governments in several countries are progressively legalizing medical cannabis, creating a conducive regulatory environment for market expansion. Additionally, growing consumer awareness about alternative and natural therapies has fueled the demand for cannabis oil products. The market is characterized by diverse product offerings, including full-spectrum and CBD-isolate oils, catering to different therapeutic needs and preferences.
Despite regulatory challenges and stigma associated with cannabis, the medical cannabis oil market continues to evolve, driven by ongoing research, favorable legislative changes, and shifting attitudes toward cannabis-based therapies in healthcare.
Regional Insights
Germany is likely to maintain its leadership position in the European medical cannabis oil market due to its established infrastructure, supportive regulations, and strong healthcare system. Germany legalized medical cannabis in 2017, giving the market a head start compared to many other European countries. This established infrastructure and experience position Germany as a leader in the field. As awareness and acceptance of medical cannabis increase, the number of patients seeking treatment in Germany is steadily rising. This fuels market growth and incentivizes further investment in research and development.
Germany’s regulatory framework for medical cannabis is considered relatively patient-friendly compared to some other European countries. This facilitates access for patients with qualifying conditions. The UK legalized medical cannabis in 2018 and is experiencing an increase in patient access programs. This, coupled with ongoing research, could lead to significant market growth. Italy legalized medical cannabis in 2006 but has faced challenges with availability. As regulations become more streamlined and patient access expands, the Italian market holds significant growth potential. Spain has a well-established medical cannabis industry with a focus on domestic production. As regulations evolve and export opportunities increase, the Spanish market could see a boost.
Competitive Landscape
The Medical Cannabis Oil market is characterized by a vigorous competitive landscape, with prominent entities like Tilray, Aurora Cannabis Inc., GW Pharmaceuticals, Almiral, Bedrocan, and others at the forefront, collectively accounting for approximately 41 % of the overall market share. This competitive milieu is fueled by their intensive efforts in research and development as well as strategic partnerships and collaborations, underscoring their commitment to solidifying market presence and diversifying their offerings.
The primary competitive factors include pricing, product caliber, and technological innovation. As the Medical Cannabis Oil industry continues to expand, the competitive fervor among these key players is anticipated to intensify. The impetus for ongoing innovation and alignment with evolving customer preferences and stringent regulations is high. The industry’s fluidity anticipates an uptick in novel innovations and strategic growth tactics from these leading corporations, which in turn propels the sector’s comprehensive growth and transformation.
Key Topics Covered
Chapter 1. Research Framework
Chapter 2. Research Methodology
Chapter 3. Executive Summary: Europe Medical Cannabis Oil Market
Chapter 4. Europe Medical Cannabis Oil Market Overview
Chapter 5. Europe Medical Cannabis Oil Market Analysis, by Derivatives
Chapter 6. Europe Medical Cannabis Oil Market Analysis, by Source
Chapter 7. Europe Medical Cannabis Oil Market Analysis, by Application
Chapter 8. Europe Medical Cannabis Oil Market Analysis, by Route of Administration
Chapter 9. Europe Medical Cannabis Oil Market Analysis, by End-user
Chapter 10. Europe Medical Cannabis Oil Market Analysis, by Distribution Channel
Chapter 11. Europe Medical Cannabis Oil Market Analysis, by Country
Chapter 12. The UK Medical Cannabis Oil Market Analysis
Chapter 13. Germany Medical Cannabis Oil Market Analysis
Chapter 14. The Netherlands Medical Cannabis Oil Market Analysis
Chapter 15. Italy Medical Cannabis Oil Market Analysis
Chapter 16. Spain Medical Cannabis Oil Market Analysis
Chapter 17. Poland Medical Cannabis Oil Market Analysis
Chapter 18. Rest of Europe Medical Cannabis Oil Market Analysis
Chapter 19. Company Profiles (Company Overview, Financial Matrix, Key Product Landscape, Key Personnel, Key Competitors, Contact Address, and Business Strategy Outlook)
A selection of companies mentioned in this report includes, but is not limited to:
- Aurora Cannabis Inc.
- Bedrocan
- Biocann
- BIOTA Biosciences LLC
- Cannamedical
- Mary Jane CBD
- Sanity Group GmbH
- Tilray
- Valcon Medical
For more information about this report visit https://www.researchandmarkets.com/r/dh7q46
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world’s leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
-
Cannabis2 weeks ago
Silly Nice Announces Launch of New 1G 510 Vape Cartridge and 2G All-In-One Vape in New York Dispensaries This September
-
Cannabis2 weeks ago
Cannabis Cultivation Market – Global Food Additives, Oils, Tinctures, Cannabis Indica, Cannabis Sativa Forecast 2024-2030
-
Cannabis1 week ago
Europe Medical Cannabis Market Forecast 2024-2032: Tilray, Aurora Cannabis, and GW Pharmaceuticals Dominate the Market Landscape
-
Cannabis2 weeks ago
Global Hemp Based Food Market Size To Worth USD 4.87 Billion By 2033 | CAGR Of 13.12%
-
Innocan1 week ago
Innocan Pharma Announces Closing of Private Placement and Grant of Stock Options
-
Indivior4 days ago
Indivior Provides Update on Aelis Farma’s Clinical Phase 2B Study Results with AEF0117 in Participants with Cannabis Use Disorder