A solid FY 2018
StatPro’s FY 2018 results are in line with the numbers mooted in January’s trading update including revenue of £54.8 million and Adjusted EBITDA of £9.0 million with the latter reflecting the anticipated margin improvement. Group Annualised Recurring Revenue (“ARR”) increased again while StatPro Revolution ARR increased organically by 17%. The ARR renewal rate was 92% in 2018 versus 89% in 2017. The Group ended 2018 strongly – having previously highlighted robust Q4 sales – and this suggests to us that StatPro remains strategically well placed for growth. The outlook comment notes good visibility into H1 2019 with a solid business pipeline. StatPro has previously outlined the rationale behind, and prospects for, its new divisional structure and CEO Justin Wheatley says that it is already ‘releasing considerable entrepreneurial drive across the business’. With some numbers previously announced, we make only small changes to our estimates for FY 2019E and introduce first-time FY 2020E numbers.