Cornerstone FS lifts full-year outlook

Foreign exchange and payments firm Cornerstone FS said on Tuesday that it had seen "continued strong trading momentum", with full-year revenue and adjusted underlying earnings now seen above previous expectations.

Cornerstone FS now expects to report annual revenues of at least £8.0m, ahead of prior expectations and representing an annual growth rate of at least 66%.

With the increase in revenue and "continued careful management of the cost base", Cornerstone now also expects adjusted EBITDA for the year ending 31 December to be ahead of internal expectations.

The AIM-listed group stated the "strong growth" reflected advancements being made across the business, with key elements of this being sales team growth and enhancing and expanding its offering.

As a result of its ongoing strategic and operational progress, Cornerstone FS added that the number of active customers had increased year-on-year, as has its average transaction value.

Chief executive James Hickman said: "We are continuing to experience excellent trading momentum. We are executing higher value transactions and with a greater number of active customers, which is being driven by our enhanced sales efforts and focus on more fully commercialising our platform.

"At the same time, we are carefully managing our cost base as we grow. Accordingly, we look forward to reporting better-than-expected revenue and adjusted EBITDA for FY 2023, and the board continues to have great confidence in the future of the group.

As of 0900 BST, Cornerstone shares had shot up 11.50% to 15.61p.

Reporting by Iain Gilbert at Sharecast.com