Beeks Financial Cloud Group PLC (LON:BKS), a cloud computing and connectivity provider for the financial markets, today provided a trading update, following recent significant contract wins, including the first for the newly launched Proximity Cloud offering.
The Group has continued to successfully deliver against its strategic objectives, achieving record sales in excess of $5 million of total contract value through July, August and September, ahead of Board expectations. Consequently, the Group’s annualised committed monthly recurring revenue has increased to £15.0m (30 June 2021: £13.8m) and the Group will recognise an additional £1.3m of revenue from non-recurring product related bookings during the year from signings to date.
The Board now anticipates revenues for the year ended 30 June 2022 will be ahead of current market expectations. The additional revenue will be reinvested in the further development of the Proximity Cloud offering, to capitalise on its growing sales pipeline and significant market opportunity.
Let’s recall that Beeks launched Proximity Cloud in August 2021. Proximity Cloud is a high-performance, dedicated and client-owned trading environment, fully optimised for low latency trading conditions and built with security and compliance at the forefront.
Being hosted and managed on a client site, as opposed to within a Beeks facility, this new offering addresses a significant part of the market that was previously unavailable to the company.
The contracts won in the first quarter were a $1.1 million multiyear analytics deal with a Tier 1 Bank for an Asian deployment; the Company’s largest contract to date, totalling $2.7 million for a private cloud deployment with a European bank via a partner, with further global roll out in 2022; and a $1 million multiyear deal for its newly launched Proximity Cloud offering, just four weeks after launch, with a substantial pipeline continuing to build.
Gordon McArthur, CEO of Beeks Financial Cloud commented:
“I am delighted with the levels of trading achieved in the first nine weeks of the year. To achieve a record quarter in what is typically our quietest period is testament to the strength and value of our enlarged offering. With Proximity Cloud showing considerable early promise, validating the prospects we envisioned, I have every confidence that our new product will spur continued growth.
The considerable growth in our recurring revenues provides the Board with confidence to accelerate investment in Proximity Cloud, to capitalise on our growing sales pipeline and the significant market opportunity we see for the offering in the medium term.”