Ten Technologies Group reported record annual results, with revenue, profit, cash, and member numbers all rising as more customers shifted to its digital platform.
The company, which runs customer loyalty and lifestyle “concierge” services for banks and premium brands, said net revenue rose 6% to about £69.7m in the year to 31 August, or 8% at constant currency.
Ten Technologies Group offers investors something unique: a profitable technology-backed full-service concierge for affluent and corporate customers.
Adjusted EBITDA climbed 10% to £16.1m, with the margin edging up to around 23%, as growth in digital-only usage helped lower the cost of serving customers. Active members jumped 23% to 461,000.
The group ended the year with net cash of £11.1m and no long-term debt, and roughly doubled its adjusted free cash flow to £2.1m. During the year, it won new contracts in the Americas and rolled out digital platforms, including one for more than a million HSBC Premier customers in the UK, along with services in Japan and for wealthy clients across Asia, the Middle East and Africa.
Alex Cheatle, CEO of Ten Technologies Group, said: “We are delighted to have delivered another year of record performance and profitable growth, with record Net Revenue, Adjusted EBITDA up 20% at constant currency, margin expansion, pleasing net cash and Active Members up over 20%.”
“The increasing digital service mix is structurally reducing our cost to serve, enabling our expert Lifestyle Managers to serve more members efficiently and supporting stronger margins and cash generation.”
EBITDA numbers announced today suggest there is value in Ten Technologies Group’s share price and current market cap of around £100m.