Checkit PLC shares rose on Thursday after the company said it recorded full-year revenue growth, due to robust sales bookings growth in its second half.

Shares were up 3.8% at 45.68 pence each on Thursday morning in London.

The Cambridge-based workflow management software provider said annual recurring revenue increased to £8.2 million in the year ended January 31, up 44% from £5.7 million the year before.

Total group revenue for financial 2022 grew marginally by 0.8% to £13.3 million from £13.2 million the year before.

Checkit put this down to strong sales bookings growth of 95% in the second half.

The company noted that this was also underpinning its confidence in delivering ‘strong’ annual recurring revenue growth for financial 2023 and beyond.

Checkit said that its recurring revenue accounted for 51% of its full-year revenue. It amounted to £6.8 million in financial 2022, up 33% from £5.1 million the year before.

The software provider said it is now fully focused on delivering recurring revenue from its technology solutions, rather than from traditional building energy management system one-off projects.

Cash as of January 31 more than doubled to £24.2 million from £11.5 million on the same date the year before.

Checkit attributed this to a recent oversubscribed placing that enabled the company to raise net proceeds of £20.0 million.

‘As a result, Checkit is strongly positioned to accelerate its programme of investment, with the intention of achieving further annual recurring revenue growth in financial 2023,’ it said.

Copyright 2022 Alliance News Limited. All Rights Reserved.