Australian listed mining software company RPMGlobal says stronger sales are expected to underpin improved operating EBITDA for FY23, just ended, with A$3 million of management incentives to come from the circa-$15 million earnings result.
The Queensland-based company said FY23 operating EBITDA, after management incentives, was expected to come in at $12 million, up 243% on FY22’s $8.5m.
RPMGlobal said in March this year it expected FY23 revenue to be $96.4m (down $4.6m on an earlier forecast) after it posted first-half revenue of $40.8m.
While it provided no update on full-year revenue, the company said it finished FY23 with “$126m in pre-contracted, recurring, non-cancellable software revenue, which will be recognised in future years, up $31m [32%] from the same time last year [FY2022: $96m)”.
“The $65.8m in TCV [total contract value] software subscription sales is going to deliver annually recurring revenue of $11m,” RPMGlobal said.
“As at today’s date the total value of ARR is $55m, $42m from [software] subscriptions and $13 million from maintenance.”
Software subscription ARR at the halfway mark of FY23 was $36.2m and support ARR was at $7.2m.
RPMGlobal finished FY23 with net cash of $34.7m after completing $7.6m of share buybacks during the year and outlaying on $0.9m on acquisitions. It expects to announce full-year audited results late next month.
Its share price rose 8.5% today, capitalising the company at about $345m.
