Forecast Revenue growth of 41% has been confirmed today and is forecast to grow a further 36% in FY18.
Companies: CloudCall Group PLC
Communications software company Cloudcall (LON: CALL) shares have jumped this morning after Management said its year-end results will be in-line with expectations, which were raised in September.
Revenues for FY17 are expected to be up 41% YoY to £6.9m with 87% of this as recurring revenue. User numbers also grew at a similar rate - up 45% on FY16 to 23,500.
The Group is a supplier of Computer Telephony Integration (CTI) for clients Customer Relationship Management (CRM) databases.
Much of the Group's revenue growth was due to its relationship with Bullhorn, a cloud-based CRM for whom Cloudcall's service was rolled out to in 2017.
Today's update also announced the launch of Cloudcall's service for Microsoft Dynamics, the world's second largest CRM with over 5 million users. Management said it "remains excited about the potential for this new product."
The Group's Balance Sheet also remains robust, with £4.9m in cash at year-end.
Commenting on the release of its products for Microsoft's CRM, CloudCall Cheif Executive Simon Cleaver said:
"With our recently launched Microsoft Dynamics solution, we believe there is a significant opportunity to build on our success with Bullhorn by introducing a strong and intuitive unified communications offering to a significant user base which is currently poorly served by other unified communications providers. Furthermore, there remains a sizable opportunity with Bullhorn, where we continue to work closely with them to drive the adoption of our solution across their customer base."
The stock was up over 8% to 150p at the time of writing.
Broker Arden Partners said today it was soon to initiate coverage on the Group, with full forecasts and initiation report to follow.
CALL currently has a Market Cap of £34m and after confirming previous forecasts of 41% Revenue growth in FY17 is forecast to see Revenue grow a further 36% in FY18. Despite the jump in Revenues, the Group is shown as being at high risk of bankruptcy and scores an E on Stockopedia's Magic Formula Score.