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Checkit PLC on Tuesday said it was confident in its future, citing renewals with ‘major’ customers and a backlog of customer orders, as it reported a narrowed interim loss. The Cambridge-based workflow management software provider said pretax loss narrowed to £2.1 million in the six months to July 31, from £2.7 million a year prior. Revenue climbed 3.0% to £6.9 million from £6.7 million. The company said: ‘We are increasing the use of artificial intelligence tools within our business, particularly in product development. This enables us to produce new features significantly more quickly and cost effectively. While customer adoption of AI is at an early stage, Checkit’s position as a generator, collator and analysis enabler of large operational datasets places the group in a strong position to develop compelling AI-related value propositions over time.’ Loss before interest, tax, depreciation and amortisation narrowed to £500,000 from £1.4 million on-year. Checkit said it made ‘clear’ progress toward Ebitda profitability as revenue was boosted by expansion within its existing customer base, which more than offset an expected contraction from a large US customer. Further, the firm renewed contracts with two large US customers under new three-year agreements. Operating costs came down 8.5% to £5.4 million from £5.9 million. Looking ahead, Checkit said it expects to achieve adjusted Ebitda profitability and cash flow breakeven during calendar year 2026. Chief Executive Officer Kit Kyte commented: ‘Checkit enters the second half of the year with a high-quality pipeline close to an all-time high, an efficient cost base, and clear path to profitability. While macroeconomic conditions remain a factor, our renewals with major customers and backlog of customer orders give us confidence we will deliver a strong second half.’ He added: ‘Despite challenging market conditions, Checkit has delivered a solid operational and financial performance. We have taken difficult but necessary actions to strengthen the foundations of the business, and now our focus is on accelerating growth. Encouraging pipeline momentum, coupled with a sharpened sales process, increasingly gives us confidence in the future.’ Checkit shares rose 17% to 15.49 pence each on Tuesday around noon in London. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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