Proactis maintains full-year guidance

Spend management solutions provider Proactis maintained its full-year guidance on Monday, saying it had responded well to a "period of significant disruption and uncertainty".

Proactis said revenues, profitability, cash flow and net debt remained in line with expectations and had not been materially affected by the Covid-19 crisis given that its business was based primarily on a recurring revenue, long-term, SaaS contract business model, something it said offered "robustness and security" in periods of short-term uncertainty.

Total contract value, excluding the value of renewals, increased from £7.5m to £10.4m for the eight months ended 31 March compared to £11.3m for the whole year ended 31 July 2019.

Whilst mindful of potential delays to new customer contracts and the implementation of existing projects in the short-term during the early stages of the virus crisis, Proactis said it remained "confident" of the opportunity to accelerate new business substantially in the medium term.

Cash flow is strong and comfortably within existing facilities, the company said.

As of 1015 BST, Proactis shares had shot up 13.51% to 21p.