Acuity RM Group Plc - Correction to Year end Update

The following amendments have been made to the '(Year end Update)' announcement released on 4 February 2025 at 7am.

 

Cash receipts from debtors are expected in January 2025, rather than 2024. David Rajakovich was appointed Chief Executive in December 2024, rather than 2023.

 

All other details remain unchanged.

 

The full amended text is shown below.

 

 

This announcement contains inside information for the purposes of Article 7 of the UK version of Regulation (EU) No 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

 

 

Acuity RM Group plc

("Group")

 

Correction - Year end Update

 

 

Acuity RM Group plc (AIM: ACRM), the software group, which supplies the award-winning STREAM® software platform for the Governance, Risk and Compliance ("GRC") market, together with associated consultancy services, provides the following update on trading for its year ended 31 December 2024.  (All figures are unaudited.)

 

Year end update

 

In the year ("Acuity"), Acuity again increased revenues and upsell orders from existing clients. 

• Revenues for Acuity in the 12 months are expected to be £2.1m (2023 £1.4m).
• At 31 December 2024 total cash together with cash receipts from debtors expected in January 2025 amounted to £1.3m.  (2023 £1.3m)

• Forward contracted revenue as at 31 December 2024 £3.4m (2023 £2.9m)
• The pipeline of sales prospects was £7.92m at 31 December 2024, based on the same criteria as 31 Dec 2023 (£7.9m).

 

(2023 comparatives for the trading subsidiary are for the period from 25 April 23 to 31 December 2023.  Cash is for the Group as a whole.)

 

Angus Forrest, Chairman, commented; "2024 was a year of consolidation following the acquisition of Acuity Risk Management Ltd in 2023.  Revenues increased mainly because of the organic growth of business with existing customers and the Rizikon business was acquired towards the end of the period.  At the end of 2024 changes were made to management with David Rajakovich appointed as Chief Executive; his focus is accelerating growth in 2025 and driving the business to the next stage.  There is much to do but the market opportunity for management of cybersecurity risk and GRC is large, growing strongly so I expect to be able to report significant progress towards cash generative and profitable trading in 2025."

 

Key updates

 

New management

David Rajakovich was appointed Chief Executive in December 2024.  He has a background of successfully growing and selling software businesses.  Since starting he has made several changes and developments, the major ones include:

 

Market - increased focus on cybersecurity sector

The market for cybersecurity is growing strongly as the number of incidents grows and there is increasing awareness of the risks and the costs of cybersecurity breaches, both fiscal and reputational.  Acuity's STREAM® is a software platform to provide risk management in Cyber GRC, Cyber Risk Quantification, Continuous Controls Monitoring, Cybersecurity Continuous Compliance Automation.  The STREAM® solution delivers all these capabilities on a single integrated software platform.

 

Go to market - new lead generation

Focus on generating leads in markets where Acuity can demonstrate technical excellence and leadership.  This should increase sales productivity and efficiency by improving the conversion rates and time to conversion.

 

New website - focused on customer requirements and business development in cybersecurity markets prepared and launched in January 2025 - https://acuityrm.com .  The website will continue to be revised and updated.

 

Rizikon - following the acquisition of Rizikon in November 2024

• All subscriptions falling due since acquisition have been renewed and the purchase price recovered
• STREAM® is in the process of being upgraded to incorporate all the features and functions of Rizikon, when that is complete all subscribers will be transferred to STREAM®
• Discussions are on-going to increase the number of users of the product

 

Revisions to the recurring costs to improve performance by increasing productivity and efficiency

 

Presentations - It is planned to hold investor presentations in February to introduce David Rajakovich and his plans for the business.  Dates will be announced in due course.

 

David Rajakovich, Chief Executive, said: "I've experienced businesses in similar situations as Acuity. Measures have been taken to, amongst other things, sharpen our sales strategy and strengthen our product-market alignment and we are already seeing early positive signals from our refined market approach. Looking ahead, I'm confident that our strategic initiatives and robust product roadmap will position us well to accelerate growth and capture more of an expanding market."

 

 

 

Note to Editors

Acuity RM Group plc

Acuity RM Group plc (AIM: ACRM), is an established provider of risk management services. Its award-winning software platform, STREAM®, which collects and analyses data about organisations to improve business decisions and management, is currently used by around 70 organisations in markets including government, utilities, defence, broadcasting, manufacturing and healthcare.

The Company is focused on delivering long term, sustainable growth in shareholder value from organic growth and complementary acquisitions.