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Adjusted EBITDA is a company-specific measure, which is calculated as operating loss before depreciation (including right of use asset depreciation), amortisation and impairment of intangible assets, share-based payment charge and strategic, integration, and other non-recurring items
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a contract with the Energy Networks Association and Ordnance Survey to build a digital map of the UK’s energy system that uses the power of data to support a more efficient pathway to Net Zero.
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a multi-year contract with Defra and the Rural Payments Agency to support its existing payments scheme to farmers as well as be involved in government’s transition to a new Environmental Land Management Scheme, and
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a significant contract extension with Google in the US for the use of 1Data Gateway and 1Integrate in the management of their facilities.
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We sit right at the heart of changes across multiple sectors. Whether that be in helping governments and energy providers prepare to meet the green agenda, supporting the investment in infrastructure upgrades
as the world’s economies prepare for post-COVID recovery, or implementing new digital transformation strategies. The positive market environment is translating into a growing sales pipeline of opportunities across new and existing customers, both direct and through our partners.
While the Board remains aware of the need to manage potential risks arising from the Covid-19 pandemic, the strength of trading in the first two months of the year, increase in committed revenue and depth of the sales pipeline and positive market landscape provide the Board with confidence in a successful year of growth ahead and exciting long-term future for 1Spatial.
Claire Milverton
Chief Executive Officer
CFO review
Summary
The Group delivered a robust financial performance in the year, growing revenues and adjusted EBITDA* profit levels, whilst achieving the important milestone of generating positive free cash flow**.
Revenue
Group revenue increased by 5% to £24.6m from £23.4m in FY 2020. Whilst this included a full year’s contribution from the Geomap-Imagis (GI) acquisition, compared to nine months in the prior year, it was a solid result against the challenges of the Covid-19 pandemic.
Recurring revenue
The business strategy is to grow revenue from repeatable business solutions on longer-term contracts, including transitioning towards selling recurring term subscription licences, rather than one-off perpetual licences. With this focus in mind, the business achieved a growth in revenue of 11% (excluding the impact of the reduction in perpetual licence revenue), and recurring revenue, as a percentage of total revenue, increased to 43% (FY 2020: 41%). Revenue by type is shown below:
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Revenue by type |
|||
|
FY 2021 |
FY 2020 |
% change |
|
|
Recurring revenue *** |
10.6 |
9.6 |
10% |
|
Services |
11.1 |
10.0 |
11% |
|
Revenue (excluding perpetual licences) |
21.7 |
19.6 |
11% |
|
Perpetual licences |
2.9 |
3.8 |
(24%) |
|
Total revenue |
24.6 |
23.4 |
5% |
|
Percentage of recurring revenue |
43% |
41% |
|
* Adjusted EBITDA is a company-specific measure, which is calculated as operating loss before depreciation (including right of use asset depreciation), amortisation and impairment of intangible assets, share-based payment charge and strategic, integration, and other non-recurring items
** Free cash flow is defined as net increase/ (decrease) in cash for the year before cash flows from the acquisition of subsidiaries, cash flows from new borrowings and repayments of borrowings and cash flow from new share issue.
*** Recurring revenue comprises term licences and support and maintenance revenue.
