Falanx narrows FY losses despite revenues slipping on Covid-19 delays

Cybersecurity firm Falanx Group said on Wednesday that full-year revenues had slipped as a result of Covid-19 related delays.

Full-year revenues were said to have fallen from £5.8m in the twelve months ended 31 March 2020 to £5.2m at the same time in 2021.

However, in the second half of the year, Falanx said its cyber division experienced an intake of customer orders ahead of the pre-Covid-19 period.

Falanx also stated it had maintained a "tight grip" on operating costs, which helped it achieve a reduced year-on-year loss at an adjusted underlying level.

Elsewhere, the AIM-listed firm revealed it had secured a five-year growth loan facility with Boost&Co made up of an initial £1.0m loan secured over its assets, expected to increase to £2.5m to fund acquisitions and investment programmes.

Chief executive Mike Read said: "Our much-improved trading, particularly in our core cybersecurity division combined with the new Boost loan puts us in strong position to exploit the major opportunities ahead, either by organic investment or by earnings enhancing acquisitions.

"I am optimistic about the opportunity with N-Able and its large customer base following the completion of their spin out later this month. This progress in cyber, and the growing expanding contract base in our Assynt division underpin our plans for growing equity value."

As of 1005 BST, Falanx shares were up 5.71% at 1.11p.