Mind Gym lifts revenue expectations after bumper first half
Human resources and business solutions provider Mind Gym updated the market on its trading for the six months ended 30 September on Monday, telling investors that its reported revenue was expected to be around 24% ahead of the same period last year, having grown to around £23.9m.
The AIM-traded firm said that on a constant currency basis, revenue was expected to be about 20% ahead of the comparative period last year, with both the United States and Europe, Middle East and Africa geographies performing “well”.
As a result, on a full year basis, the board said it expected revenue to be “slightly ahead” of expectations.
It added that its strategy to focus on deepening key client relationships was paying off, with an increased proportion of revenue from top 25 accounts, and an increased proportion of repeat revenue from existing clients.
The board said its strategy of investing for growth was already delivering returns, with the first half performance giving it the opportunity to make further investments to ensure continued, strong results.
It said it expected first half adjusted profit before tax to be “broadly consistent” with the same period last year, adding that it remained confident of meeting market expectations for the full year.
“The market for business cultural change is ripe for disruption,” said chief executive officer Octavius Black.
“Our strong revenue performance in the first half shows how leaders of big businesses are increasingly switching to our new, behavioural science-based solutions.”
As a result, Black said the firm was making “significant” investments in commercial capacity, infrastructure, its digital proposition and senior leadership - most recently with the appointment of Wei-Li Chong as president of Mind Gym US.
“We are pleased with the first half results and very focussed on what needs to be done to deliver long term, sustainable growth.”
Mind Gym said it would report its interim results for the six months ended 30 September on 10 December.