Westminster Group PLC, the supplier of managed services and technology-based security solutions, racked up its fourth consecutive year of double-digit percentage revenue growth in 2019.
Reporting numbers for the year ended December 31, 2019, Westminster said its revenues rose 63% to £10.9mln in 2019, up from £6.7mln in 2018, with a 46% increase in recurring revenues to £5.6mln, up from £3.8mln the year before.
The group said its Managed Services division saw revenues jump by 50% to £5.5mln, up from £3.7mln the previous year, while the Technology Division’s top line veered 80% northwards to £5.4mln from £3.0mln.
It pointed out that the current year so far has been a good one with order intake and revenues ahead of budget. Revenues in the first quarter were up 22% year-on-year at £4.5mln with the company making “a healthy profit” of several hundred thousand pounds in the quarter both before and after-tax as it begins to benefit from new contracts.
At the beginning of the year, the company said it had around £8mln of revenue pencilled in from recurring contracts and although revenue streams have experienced some disruption from the coronavirus pandemic, these streams are expected to resume quickly once the pandemic passes.
“We are already seeing businesses and organisations planning to introduce more permanent screening systems into their operations and the aviation industry, which has been hard hit by the global restrictions on air travel, are now looking at introducing fever screening and testing as a means to get air travel operational, with Westminster's experience in the aviation screening sector and our market reach we believe this represents a significant opportunity for our business,” Westminster’s chief executive officer, Peter Fowler said in a statement.
Westminster's underlying earnings (EBITDA) from underlying and discontinued operations turned positive in 2019 at £54,000, from a restated loss the previous year of £354,000.
The group's reported EBITDA, which included £556,000 of share-based expenses (2018: £281,000) and exceptional charges of £106,000 (£401,000), was a loss of £608,000 versus a loss in 2018 of £1.0mln, The reported loss before tax was £1.4mln, little changed from the year before.
“We not only have more large-scale project opportunities under discussions than ever before but in view of the COVID-19 situation we continue to expand our online and non-contact sales opportunities and are developing new opportunities as our business model evolves,” Fowler added.
"Over the next few months and years, we have an opportunity to achieve unprecedented growth from the prospects we are pursuing,” he concluded.