Crimson Tide breaks even after investing in platform

Field service software provider Crimson Tide reported a £0.6m increase in revenue in its preliminary results on Thursday, to £4.1m.

The AIM-traded firm said annual recurring revenue was ahead 24% to £3.8m for the 12 months ended 31 December, while it achieved EBITDA break-even after investing in its platform and marketing, down from earnings of £0.9m year-on-year.

Its capital fund raise during the year yielded a net total of £5.6m, leading to cash at year-end of £5.7m, up from £1.2m year-on-year.

“The year was transformational for Crimson Tide as, for the first time in our history, we completed an institutional and private investor fund raise to support the next chapter in our growth,” said executive chairman Barrie Whipp.

“Mpro5 continued to perform well with strong revenue growth, and we reached annualised recurring revenue of £4m just after year-end.

“Our focus is now on sector and international growth, particularly in the United States and Northern Europe.”

Whipp said the new versions of mpro5 for tradespeople and healthcare would expand the firm’s market, with the company “excited” to develop its ‘one platform, many apps’ strategy with the new hires and investments afforded by its fresh capital.

“Our key target is to double annual recurring revenue in the medium term.

“Partnerships with organisations such as Cisco will assist us domestically and internationally to achieve our goal.”

At 1159 BST, shares in Crimson Tide were down 6.38% at 2.2p.