Source - RNS
RNS Number : 0027K
Tungsten Corporation PLC
16 September 2016



("Tungsten" or the "Company")



For Immediate Release


This announcement contains inside information for the purposes of Article 7 of regulation (EU) No 596/2014


16 September 2016


AGM Statement / Trading Update


At today's Annual General Meeting of Tungsten Corporation plc (LSE: TUNG), Richard Hurwitz, Chief Executive Officer, will make the following statement:


"Tungsten has made a positive start to its new financial year ending 30 April 2017 (FY17), building on the momentum demonstrated through FY16, its leadership transitions and the realignment of its strategic goals. Trading in the first quarter of FY17 was in line with the Board's expectations.


"In particular, we signed contracts with three new buyer customers and continued to renew contracts of existing buyers on Tungsten Network at higher rates, more fully reflecting the value that Tungsten provides.  Suppliers were added to Tungsten Network at an encouraging pace, including adding double the number of Integrated Solution suppliers compared with the same period in the prior year. This reflects strengthened relationships with buyers which want to connect to more of their supply chain, and improved internal processes to sign up these suppliers.


"We are making measurable progress in improving organisational efficiency. These initiatives should start to produce the desired cost savings over the course of FY17.


"The sale of Tungsten Bank is advancing as expected and we continue to expect the sale to complete by 31 October 2016. The restart of our supply chain financing activities is progressing as planned, with two important elements concluded. First, we extended our funding arrangement with Insight Investment, including revisions that allow us to better address the market. Second, we have hired the small number of individuals with the skills and experience that we need, completing the team required to deliver on our financing objectives.


"We have recently launched a partnership offering international payment services to a selection of our supplier customers. While FY17 revenues from this are anticipated to be modest, this represents the first in a programme of product adjacencies and enhancements that will strengthen our relationships with our customers and provide additional revenue opportunities.


"We are confident in our ability to achieve the performance objectives we have set for ourselves for the current financial year, principally revenue of at least £30 million, an EBITDA loss of between £12 million and £14 million, and cash in excess of £20 million at 30 April 2017. We continue to expect Early Payment financing levels to double, with material increases in this revenue from FY18."


Tungsten will announce its Interim Results for the six months ended 31 October 2016 on 15 December 2016.





Tungsten Corporation plc

Richard Hurwitz, Chief Executive Officer

David Williams, Chief Financial Officer


+44 20 7280 7713


Panmure Gordon (Nominated Advisor)

Fred Walsh/Peter Steel

+44 20 7886 2500



Canaccord Genuity Limited (Broker)

Simon Bridges/Cameron Duncan/Emma Gabriel

+44 20 7523 8000



Neustria Partners

Robert Bailhache/Nick Henderson/Charles Gorman

+44 20 3021 2580




About Tungsten Corporation plc

Tungsten Corporation (LSE: TUNG) aims to be the world's most trusted business transaction network by using data intelligently to strengthen the global supply chain.


Tungsten Network is a secure e-invoicing and purchase order services platform that brings businesses and their suppliers closer together with unique technology that revolutionises invoice processing, maximises efficiency and improves cash flow management. Delivering trusted connections and streamlined transactions, the network also provides users with real-time spend analysis and offers suppliers access to invoice financing through Tungsten Network Finance, a form of alternative finance for businesses.


Tungsten Network processes invoices for 70% of the FTSE 100 and 72% of the Fortune 500. It enables suppliers to submit tax compliant e-invoices in 47 countries, and last year processed transactions worth over £133bn for organisations such as Alliance Data, Aviva, Cargill, Deutsche Lufthansa, General Motors, GlaxoSmithKline, Henkel, IBM, Kellogg's and the US Federal Government.


Trusted, passionate and proven, Tungsten is making the digitisation of global commerce between buyers and suppliers faster, easier and smarter.


This information is provided by RNS
The company news service from the London Stock Exchange

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