A resilient performance in H1 20
Sopheon has reported interim results which reflect a resilient performance despite some impact from COVID-19 on its client retention and pace of growth. The Group still produced revenues slightly up on H1 19. Happily, its solutions continue to attract new customers, as evidenced by the Mondelez deal announced in July, a healthy sales pipeline and a doubling of the value of new customer sales bookings. With a historical Q4 weighting for revenues, and bearing in mind the uncertainties in the current operating environment, we do not reintroduce estimates at present. However, we would hope to revisit that in early 2021 in conjunction with trading or results news. Meanwhile, we note the good revenue visibility for the current financial year, the improving rate of Annual Recurring Revenue (ARR) and Sopheon’s strong balance sheet position.