12 December 2017
visit http://response.ncr.com

Gresham promises 'jam tomorrow' following disappointing first half

28 August 2009  |  4435 views  |  0 Hourly Markets

Gresham Computing is forecasting a bump in second half annuity income from its real-time financial solutions business after reporting a disappointing first half to June 30 in which losses doubled to £1 million on revenues of just £5.6 million - down 22% from last year.

The trading update coincides with the sale of the group's loss-making Software Labs arm, which specialises in offering storage software and support for HP NonStop systems, for a total consideration of £470k, payable in two tranches.

The UK software house has been steadily restructuring its business and disposing of non-core assets as it looks to concentrate on matching costs to recurring income from a new generation of real-time financial reporting software.

In April, Gresham scored a significant contract with an un-named global banking group for its cash management, payment gateway and cash reporting software, which will be rolled out by the bank to its corporate customers.

Gresham says the size of the related sales pipeline has exceeded initial expectations and that it is currently working with the bank to close a number of major customer contracts.

"Annuity revenue to Gresham per customer, secured via the bank, is expected to range from approximately £50,000 to £500,000 per annum depending on the size of the deal," says the company.

Gresham has also spent the past five years promoting and developing its Clareti real-time cash reporting suite, a subscription-based service which banks can use to gain access to real-time information about payments enabling them to better control liquidity and risk. The core product is supported by complementary applications for virtual supply chain financing and account management.

In a statement, the company says: "These combined business lines now generate over £1.2m of annually recurring revenue and the Board expects to see further progress in the second half of this year."

Shares in the vendor slipped by nearly 11% to 38 pence in early morning trading as the markets digested the results.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

ACI shares fall on job cuts news, Gresham up on takeover rumours

ACI shares fall on job cuts news, Gresham up on takeover rumours

18 August 2008  |  5301 views  |  0 comments
Gresham names Sepkes executive chairman; posts widening losses

Gresham names Sepkes executive chairman; posts widening losses

29 April 2008  |  5102 views  |  0 comments
Gresham rises on upbeat trading update

Gresham rises on upbeat trading update

04 January 2008  |  4124 views  |  0 comments
Gresham looks to raise funds as H1 losses widen

Gresham looks to raise funds as H1 losses widen

24 September 2007  |  3910 views  |  0 comments
Gresham warns of first half loss

Gresham warns of first half loss

03 September 2007  |  4500 views  |  0 comments
Gresham Computing hires Gary Gibbs to drive growth in North America

Gresham Computing hires Gary Gibbs to drive growth in North America

28 February 2007  |  4354 views  |  0 comments
Gresham narrows losses; talks up real-time nostro potential

Gresham narrows losses; talks up real-time nostro potential

05 September 2006  |  4648 views  |  0 comments
Gresham hires Dave Deller to spearhead RTN sales drive

Gresham hires Dave Deller to spearhead RTN sales drive

07 July 2006  |  5558 views  |  0 comments
Cable & Wireless scales back real-time nostro commitment

Cable & Wireless scales back real-time nostro commitment

27 April 2006  |  6324 views  |  0 comments
Real-time nostro prospects fail to lift lacklustre Gresham

Real-time nostro prospects fail to lift lacklustre Gresham

22 September 2005  |  6206 views  |  0 comments
Gresham forecasts positive growth as nostro service realises potential

Gresham forecasts positive growth as nostro service realises potential

21 January 2005  |  4843 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit http://info.nice.comvisit www.response.ncr.comvisit www.atos.net

Who is commenting?

Top topics

Most viewed Most shared
Saxo Bank's 'Outrageous Prediction': Bitcoin to peak at $60k next year before spectacular crashSaxo Bank's 'Outrageous Prediction': Bitco...
11784 views comments | 7 tweets | 7 linkedin
Deutsche Bank paper hails 'huge' blockchain potentialDeutsche Bank paper hails 'huge' blockchai...
8707 views comments | 15 tweets | 21 linkedin
Santander UK poaches Barclays innovation chief Michael HarteSantander UK poaches Barclays innovation c...
7075 views comments | 8 tweets | 17 linkedin
Alior Bank to use Open API platform and accelerator to create fintech marketplaceAlior Bank to use Open API platform and ac...
6816 views comments | 20 tweets | 11 linkedin
PSD2: Laying the regulatory foundation for a new age in paymentsPSD2: Laying the regulatory foundation for...
6749 views comments | 17 tweets | 35 linkedin

Featured job

Competitive base, commission, benefits
London, UK

Find your next job