OneView Group expects 2017 revenue to be lower than previous year

Retail software provider OneView Group said it expected revenue for the 2017 financial year to be significantly lower as it restructures it debt.

The AIM-listed company anticipated full year revenue would be no less than $3m, which included the up front element of the recently announced contract win from retailer Discount Tire. This, however, is lower than the $8.1m it recorded in 2016.

It expected revenue for the second half of the 2017 financial year to be “considerably higher” than in the $1m seen in the first half with and no less than $2m.

During the year the company focused on product development, getting solutions production ready to enable OneView to take customers live in their store estates. It anticipated that four customers will go live this year.

OneView strengthened its balance sheet as it took out two more loans in the last three months and the company was considering an equity fundraising to invest in its pipeline.

The company was also aiming to restructure its debt with $2m of the remaining fully drawn $3m debt facility to be converted into shares at the same share price as the equity fund raise, while the maturity of the remaining $1m debt will be extended to July 2020 and the coupon reduced to 8%.

Chief executive Stuart Mitchell said: "We have built a good pipeline of potential business at OneView and it is very pleasing that this has translated into new business and increased revenue in the closing months of our financial year.

“A strengthened balance sheet will allow us to deliver on our pipeline and we expect further growth helped by a number of our existing customers going live in the coming months."

Shares in OneView Group were down 7.9% to 4.49p at 0854 GMT.