Checkit declines 7% as its transitions to SaaS
Apr 28, 2022
Cambridge-headquartered Checkit, is another software provider looking to help organisations manage operations more smartly in a hybrid working environment. Preliminary results for the year ending 31st January show Group revenue declining -7% to £13.3m (FY21: £14.4m). Annual recurring revenue run rate at year end was up 43% to £8.2m ahead of market expectations (FY21: £5.8m), driven by strong H2 sales as the business transitions to SaaS. The firm made an operating loss of -£7.1m (FY21 -£5.3m). Checkit's USP is that it helps organisations manage its staff and its physical assets (buildings/equipment/inventory) through a combination of workflow, asset and buildings management. Given the challenges and complexity of managing (often paper based) operations in new hybrid arrangements, when staff are working remotely, buildings are underutilised, and supply chains are strained, Checkit should be “pushing at an open door”. Given the opportunity presented by clients increasingly looking for intelligent operations, Checkit is looking to accelerate growth out of the pandemic. It has invested more is sales and marketing (hence the expanded operating losses) and has acquired a business in the US (Tutela Monitoring Systems) as it looks to grow stateside. This has seen the pipeline expand to £15.4m by the end of the year. This coupled with macro trends towards hybrid working offer the firm a huge opportunity to drive growth.