23 July 2024
Cordel Group
PLC
("Cordel"
or the "Company" or the "Group")
Business and Trading
Update
Appointment of
Broker
Cordel Group PLC (AIM: CRDL), the
Artificial Intelligence (AI) platform for transport corridor
analytics, is pleased to provide an update on full-year trading for
the year ended 30 June 2024 and the progress made by the Company in
the year.
The Company expects to report revenue for the year ending 30 June
2024 ("FY24") of over £4.4 million, subject to audit confirmation,
representing growth of c.45% over the previous corresponding period
(FY23: £3.0 million). Closing cash at 30 June 2024 was £1.02
million compared to £1.28 million at the end of June 2023.
The FY24 audited results are
expected to be announced during November 2024.
The Company is also pleased to
announce the appointment of Cavendish Capital Markets Limited as
its sole Corporate Broker with immediate effect.
Commentary from John Davis, Cordel
CEO:
Projects and Customers
We began FY24 with stretching revenue growth targets and a clear
aspiration to improve our pipeline and win more new customers. We
saw significant opportunities to grow our US business and to
consolidate our strong positions in the UK and
Australia.
Having started FY24 with 4 major customer contracts, we end it
having doubled that number with a further 4 significant new
contracts won in the period - these were Genesee & Wyoming Inc.
in the USA, Tren Maya in Mexico and major national players in
each of the Middle East and APAC. We expect 50% of FY24 revenues
will be generated from the Americas.
In addition, we have continued to deliver successfully for our
marquee clients: Amtrak in the US, Network Rail and Angel Trains in
the UK and with ARTC in Australia. In particular, with Amtrak, the
combination of capturing new data with our Cordel Rugged
proprietary hardware and ingesting and analysing legacy data leaves
us in a very positive position heading into FY25.
Company
Following our successful fundraise
in 2023, we have invested in organisational growth across all our
regions and in all disciplines within Cordel. We have engaged new
sales, sales support and delivery engineers in the USA, new sales
support and delivery resources in the UK and new development
engineers and delivery staff in Australia. We plan to continue to
invest in the Group over the next 12 months with further modest
headcount increases planned in the year. We have the operating
model in place to allow us to maintain our revenue growth
trajectory and the Board continue to be optimistic in its strategy
for the Group to deliver on our target of breakeven in FY25.
Product Development
It has been an excellent year of
technology and product development for Cordel. We have seen the
release, and market uptake, of the Cordel Rugged sensor. We have
achieved the vital 3204 approval with Network Rail and we have
matured and hardened our core use cases around clearances /
gauging, vegetation management, ballast profiling and overhead line
equipment to a point where scaling across multiple client contracts
is now a reality.
Cordel Chairman, Ian Buddery, said: "The Company has achieved excellent growth in the 2024
fiscal year, in particular in the USA where our advanced
capabilities have gained widespread recognition and market
engagement is strong. Our software is delivering industry-leading
accuracy and processing speed in the application of Artificial
Intelligence to railway infrastructure management, while our
train-mounted sensors are capturing data around the clock and we
lead the world in track miles scanned and processed. The investment
phase now transitions to a target of profitable growth and a
continuing focus on new customer acquisition in FY25."
Enquiries:
|
Cordel Group PLC
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c/o Zeus
|
|
Ian Buddery, Chairman
John Davis, Chief Executive
Officer
|
|
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Cavendish Capital Markets Limited, Broker
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+44 (0)20 3829 5000
|
|
Marc Milmo
/ George Dollemore / Rory Sale (Corporate Finance)
Sunila de Silva (ECM)
Strand Hanson Limited, Nominated Adviser
Richard Johnson / James
Bellman
|
+44 (0)20 7409 3494
|
About Cordel
Cordel produces specialist hardware
and software for capturing, analysing and reporting on large
datasets within the transport sector, employing sophisticated
artificial intelligence algorithms.
Further information on the Company
is available at: www.cordel.ai
The information contained within this announcement is deemed
by the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014 as it forms part of
United Kingdom domestic law by virtue of the European Union
(Withdrawal) Act 2018, as amended. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.