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Intercede Group PLC shares fell on Thursday as it said it expects its interim revenue to decline. The Leicestershire, England-based cybersecurity software firm expects revenue for the six months to the end of September to fall 3.9% to around £8.2 million from £8.5 million a year ago. This would be a decrease of 4.2% on a constant currency basis. Shares in Intercede were down 13% to 153.35 pence in London on Thursday afternoon. The firm said elements of its revenue showed ‘encouraging growth’. Reported revenue includes licence revenue which climbed 66% to £1.4 million from £870,000. Perpetual licence income jumped 64% to £1.1 million from £660,000 while subscription licence income advanced 71% to £360,000 from £210,000. ‘The growth in subscription licence income is a key group strategic focus of the board, as the group looks to transition towards a more subscription-based revenue model,’ Intercede said. The firm noted that the period saw ‘temporary delays’ in some contract awards, mainly from the US federal market. These delays have affected reported US dollar revenue in the second quarter in particular, combined with adverse exchange rate movements and changes in revenue mix. Despite these delays, Intercede said it saw ‘good progress’ in contract and renewal orders during the second quarter, totalling $3.2 million. ‘The group continues to build momentum through a geo-diversified pipeline, and the breadth of our new contract orders is a clear reflection of that progress. The group enters [the second half of financial 2026] with momentum and a growing revenue backlog for [financial 2027] and beyond,’ said Chief Executive Officer Klaas van der Leest. ‘As we move into the second half of the year, the group remains focused on converting pipeline opportunities. Given the underlying momentum being seen by the group, the board remains confident in the group’s short, medium and long-term growth trajectory and maintains that full-year financial performance will be in line with current market expectations.’ The firm said market expectations for financial 2026 are for revenue of £18.7 million and adjusted Ebitda of £4.6 million. Intercede reported revenue of £17.7 million in financial 2025, with adjusted Ebitda of £4.5 million. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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