Lombard Risk Management sees FY earnings, revenue ahead of market views

AIM-listed Lombard Risk Management said on Wednesday that it expects to report full-year revenues, earnings and cash ahead of current market views.

The company, which provides integrated collateral management and regulatory reporting technology solutions, said it will likely report revenues in the region of £34m to £34.4m, mostly driven by strong growth in its Risk Management and Trading Software division.

In addition, it expects to post a year-end net cash balance of £7m and adjusted earnings before interest, taxes depreciation and amortisation of between £2.4m and £2.8m, significantly better than market expectations.

Lombard said the year-end cash balance was higher than expected due to a strong focus on debt collection and improved working capital management.

Chairman Philip Crawford said: "The second half of the year has seen a continuation of the significant growth in sales and revenue achieved in the first half of the year and has delivered two major product announcements for AgileREPORTER and AgileCOLLATERAL together with the opening of our development centre in Birmingham, UK.

"The year to 31 March 2018 promises to be a pivotal year for Lombard Risk as we continue to liberate our clients from operational and regulatory complexity, and the board remains confident in our plans and our ability to continue to execute them."

At 1240 BST, the shares were up 17% to 12.42p.