Essensys shares shoot up as flexible workspace software provider beats estimates
Shares in software platform essensys climbed as much as 20 per cent on Thursday morning after it said it expected to report revenue, earnings and cash flow ahead of market expectations in its full year results.
Essensys, which provides software and technology to the flexible workspace industry, has projected revenue of £24m and an adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) loss of no more than £0.9m, an improvement from the £6.1m EBITDA loss it posted in 2023.
Year end cash is expected to stand at £3.1m, which essensys said is “significantly ahead of expectations” and reflects improved profitability and the receipt of an R&D tax credit of £0.8m.
The London-listed company is aiming to deliver near-term profitability and cash generation in its financial year 2025.
Mark Furness, chief executive officer of essensys, said: “Whilst market conditions remain challenging, with continued pressure on capex budgets, our evolved proposition and ability to deploy essensys Platform over existing networks is helping to lower entry costs for our customers and the recent release of our latest addition to essensys Platform, Intelligence Engine, is helping to further differentiate our offer and meet growing customer demand for data and insight.
“We remain focussed and committed to our strategy and are on track for positive EBITDA and cash generation in FY25. We look forward to the future with renewed confidence.”
The company has appointed a new chief financial officer, Greg Price, who will join in October 2024. Price will also join the company’s board as a director.