Endava Announces Fourth Quarter Fiscal Year 2024 & Fiscal Year 2024 Results
Endava (NYSE: DAVA) announced its Q4 FY2024 and FY2024 results. For Q4 FY2024, revenue increased by 2.4% year-on-year to £194.4 million, with a constant currency increase of 3.5%. The company reported a diluted EPS loss of £(0.03), down from £0.40 in the same period last year. Adjusted diluted EPS was £0.22, compared to £0.57 previously.
For FY2024, revenue declined by 6.8% to £740.8 million, with a constant currency decrease of 4.5%. Diluted EPS fell to £0.29 from £1.62 last year, while adjusted diluted EPS dropped to £1.12 from £2.28. Net cash used in operating activities was £(0.2) million for Q4 FY2024 compared to £33.3 million the previous year. The company also reported £62.4 million in cash and cash equivalents, down from £164.7 million last year.
Endava's outlook for Q1 FY2025 includes expected revenue between £194.0 million and £195.0 million, with adjusted diluted EPS between £0.21 and £0.22. For FY2025, revenue is expected to be between £800.0 million and £810.0 million, with adjusted diluted EPS ranging from £1.12 to £1.17.
Endava (NYSE: DAVA) ha annunciato i risultati per il Q4 FY2024 e l'FY2024. Per il Q4 FY2024, i ricavi sono aumentati del 2,4% rispetto all'anno scorso, raggiungendo £194,4 milioni, con un incremento del 3,5% a valuta costante. L'azienda ha riportato una perdita per azione diluita di £(0,03), in calo rispetto a £0,40 nello stesso periodo dell'anno precedente. L'utile per azione diluito rettificato è stato di £0,22, rispetto ai £0,57 precedenti.
Per l'FY2024, i ricavi sono diminuiti del 6,8% a £740,8 milioni, con un decremento del 4,5% a valuta costante. L'utile per azione diluito è sceso a £0,29 da £1,62 dell'anno scorso, mentre l'utile per azione diluito rettificato è sceso a £1,12 da £2,28. Il flusso di cassa netto utilizzato nelle attività operative è stato di £(0,2) milioni per il Q4 FY2024 rispetto ai £33,3 milioni dell'anno precedente. L'azienda ha inoltre riportato £62,4 milioni in contante e equivalenti, in calo rispetto ai £164,7 milioni dell'anno scorso.
Le prospettive di Endava per il Q1 FY2025 prevedono ricavi attesi tra £194,0 milioni e £195,0 milioni, con un utile per azione diluito rettificato tra £0,21 e £0,22. Per l'FY2025, si prevede che i ricavi siano compresi tra £800,0 milioni e £810,0 milioni, con un utile per azione diluito rettificato compreso tra £1,12 e £1,17.
Endava (NYSE: DAVA) anunció sus resultados para el Q4 FY2024 y el FY2024. Para el Q4 FY2024, los ingresos aumentaron un 2,4% interanual, alcanzando £194,4 millones, con un incremento del 3,5% en moneda constante. La compañía reportó una pérdida por acción diluida de £(0,03), en comparación con £0,40 en el mismo período del año anterior. El EPS diluido ajustado fue de £0,22, en comparación con los £0,57 anteriores.
Para el FY2024, los ingresos disminuyeron un 6,8% a £740,8 millones, con una caída del 4,5% en moneda constante. El EPS diluido cayó a £0,29 desde £1,62 del año pasado, mientras que el EPS diluido ajustado bajó a £1,12 desde £2,28. El flujo de caja neto utilizado en actividades operativas fue de £(0,2) millones para el Q4 FY2024, comparado con £33,3 millones el año anterior. La compañía también reportó £62,4 millones en efectivo y equivalentes, en comparación con £164,7 millones del año pasado.
Las perspectivas de Endava para el Q1 FY2025 incluyen ingresos esperados entre £194,0 millones y £195,0 millones, con un EPS diluido ajustado entre £0,21 y £0,22. Para el FY2025, se espera que los ingresos se sitúen entre £800,0 millones y £810,0 millones, con un EPS diluido ajustado que varíe entre £1,12 y £1,17.
Endava (NYSE: DAVA)는 Q4 FY2024 및 FY2024 결과를 발표했습니다. Q4 FY2024 동안 수익은 전년 대비 2.4% 증가하여 £194.4 백만에 도달하였으며, 일정 환율 기준으로는 3.5% 증가했습니다. 회사는 희석 주당 손실이 £(0.03)으로, 지난해 같은 기간의 £0.40에서 감소했다고 보고했습니다. 조정된 희석 주당 수익은 £0.22로, 이전의 £0.57에 비해 감소했습니다.
FY2024의 경우, 수익이 6.8% 감소하여 £740.8 백만으로, 일정 환율 기준으로는 4.5% 감소했습니다. 희석 주당 수익은 £0.29로 지난해의 £1.62에서 떨어졌으며, 조정된 희석 주당 수익은 £1.12로 £2.28에서 감소했습니다. Q4 FY2024의 운영 활동에서 사용된 순현금은 £(0.2) 백만이며, 이는 지난 해 £33.3 백만과 비교됩니다. 회사는 또한 지난해 £164.7 백만에서 감소하여 £62.4 백만의 현금 및 현금성 자산을 보고했습니다.
Endava의 Q1 FY2025 전망은 예상 수익이 £194.0 백만에서 £195.0 백만 사이로, 조정된 희석 주당 수익은 £0.21에서 £0.22 사이로 예측됩니다. FY2025의 경우, 수익은 £800.0 백만에서 £810.0 백만 사이로 예상되며, 조정된 희석 주당 수익은 £1.12에서 £1.17까지 변동할 것으로 예상됩니다.
Endava (NYSE: DAVA) a annoncé ses résultats pour le Q4 FY2024 et l'FY2024. Pour le Q4 FY2024, le chiffre d'affaires a augmenté de 2,4 % par rapport à l'année précédente, atteignant £194,4 millions, avec une augmentation de 3,5 % à devise constante. La société a enregistré une perte par action diluée de £(0,03), contre £0,40 au même période l'année précédente. Le bénéfice par action dilué ajusté était de £0,22, contre £0,57 auparavant.
Pour l'FY2024, le chiffre d'affaires a diminué de 6,8 % pour atteindre £740,8 millions, avec une diminution de 4,5 % à devise constante. Le bénéfice par action dilué est tombé à £0,29 contre £1,62 l'année dernière, tandis que le bénéfice par action dilué ajusté a chuté à £1,12 contre £2,28. La trésorerie nette utilisée dans les activités opérationnelles était de £(0,2) millions pour le Q4 FY2024, contre £33,3 millions l'année précédente. La société a également signalé £62,4 millions en liquidités et équivalents, contre £164,7 millions l'année dernière.
Les prévisions d'Endava pour le Q1 FY2025 incluent un chiffre d'affaires attendu entre £194,0 millions et £195,0 millions, avec un bénéfice par action dilué ajusté entre £0,21 et £0,22. Pour l'FY2025, on s'attend à ce que le chiffre d'affaires se situe entre £800,0 millions et £810,0 millions, avec un bénéfice par action dilué ajusté allant de £1,12 à £1,17.
Endava (NYSE: DAVA) hat die Ergebnisse für Q4 FY2024 und FY2024 veröffentlicht. Für das Q4 FY2024 stiegen die Umsätze im Jahresvergleich um 2,4% auf £194,4 Millionen, mit einem Anstieg von 3,5% bei konstanten Währungsbedingungen. Das Unternehmen berichtete von einem Verlust je Aktie (EPS) von £(0,03), gegenüber £0,40 im gleichen Zeitraum des Vorjahres. Das bereinigte EPS betrug £0,22, im Vergleich zu £0,57 zuvor.
Für das FY2024 sanken die Umsätze um 6,8% auf £740,8 Millionen, mit einem Rückgang von 4,5% bei konstanten Währungsbedingungen. Das EPS sank auf £0,29 von £1,62 im vergangenen Jahr, während das bereinigte EPS auf £1,12 von £2,28 fiel. Der Nettogeldverbrauch für betriebliche Tätigkeiten betrug £(0,2) Millionen für das Q4 FY2024 im Vergleich zu £33,3 Millionen im Vorjahr. Das Unternehmen meldete außerdem £62,4 Millionen in bar und liquiden Mitteln, ein Rückgang gegenüber £164,7 Millionen im Vorjahr.
Der Ausblick von Endava für Q1 FY2025 rechnet mit einem Umsatz zwischen £194,0 Millionen und £195,0 Millionen, mit einem bereinigten EPS zwischen £0,21 und £0,22. Für FY2025 wird ein Umsatz zwischen £800,0 Millionen und £810,0 Millionen erwartet, mit einem bereinigten EPS im Bereich von £1,12 bis £1,17.
- Revenue increased by 2.4% YoY to £194.4 million in Q4 FY2024.
- Revenue increase at constant currency by 3.5% in Q4 FY2024.
- Outlook for FY2025 foresees revenue growth between 10.0% and 11.5%.
- Diluted EPS loss of £(0.03) in Q4 FY2024 compared to £0.40 in the previous year.
- FY2024 revenue decreased by 6.8% to £740.8 million.
- FY2024 diluted EPS dropped to £0.29 from £1.62 the previous year.
- Net cash used in operating activities was £(0.2) million in Q4 FY2024, compared to £33.3 million the previous year.
- Cash and cash equivalents decreased to £62.4 million from £164.7 million in the previous year.
Insights
Endava's Q4 FY2024 results show mixed signals. While revenue increased by
For FY2024, revenue decreased by
Despite these challenges, Endava's guidance for FY2025 projects revenue growth of
Endava's results reflect broader industry trends and geopolitical factors. The company's exposure to the UK market and Payments industry vertical has significantly impacted its performance. However, Endava is adapting by diversifying its geographical presence and industry focus.
The shift in revenue distribution is notable, with North America now accounting for
In terms of industry verticals, Payments' contribution to revenue has decreased from
Endava's strategic focus on digital transformation and evolving into a global delivery organization is important in the current tech landscape. The company's investment in skills required for the "next wave of digital transformation" aligns with industry trends towards AI, cloud computing and data analytics.
The stable number of clients with over
The acquisition of GalaxE, while impacting cash reserves, could enhance Endava's capabilities and market position. As digital transformation continues to be a priority for businesses globally, Endava's expertise in this area could drive future growth. However, the company must navigate the competitive landscape effectively and demonstrate its ability to deliver innovative solutions to regain its previous growth trajectory and profitability levels.
Q4 FY2024
Diluted EPS
Adjusted Diluted EPS
FY2024
Diluted EPS
Adjusted Diluted EPS
"Looking back, the past fiscal year has been challenging for Endava with our revenue declining by
FOURTH QUARTER FISCAL YEAR 2024 FINANCIAL HIGHLIGHTS:
-
Revenue for Q4 FY2024 was
£194.4 million , an increase of2.4% compared to£189.8 million in the same period in the prior year. -
Revenue increase at constant currency (a non-IFRS measure)* was
3.5% for Q4 FY2024. -
(Loss)/Profit before tax for Q4 FY2024 was
£(0.4) million , compared to£24.9 million in the same period in the prior year. -
Adjusted profit before tax (a non-IFRS measure)* for Q4 FY2024 was
£14.9 million , or7.7% of revenue, compared to£38.3 million , or20.2% of revenue, in the same period in the prior year. -
Loss for the period was
£(1.9) million , resulting in a diluted (loss)/earnings per share ("EPS") of£(0.03) , compared to profit of£23.1 million and diluted EPS of£0.40 in the same period in the prior year. -
Adjusted profit for the period (a non-IFRS measure)* was
£12.9 million , resulting in adjusted diluted EPS (a non-IFRS measure)* of£0.22 , compared to adjusted profit for the period of£32.9 million and adjusted diluted EPS of£0.57 in the same period in the prior year.
FULL YEAR 2024 FINANCIAL HIGHLIGHTS:
-
Revenue for FY2024 was
£740.8 million , a decrease of6.8% compared to£794.7 million in the prior year. -
Revenue decrease at constant currency (a non-IFRS measure)* was
4.5% for FY2024. -
Profit before tax for FY2024 was
£27.0 million , compared to profit before tax of£114.2 million in the prior year. -
Adjusted profit before tax (a non-IFRS measure)* for FY2024 was
£83.0 million , or11.2% of revenue, compared to£164.2 million , or20.7% of revenue in the prior year. -
Profit for the year was
£17.1 million , resulting in a diluted EPS of£0.29 , compared to£94.2 million and diluted EPS of£1.62 in the prior year. -
Adjusted profit for the year (a non-IFRS measure)* was
£66.0 million , resulting in adjusted diluted EPS (a non-IFRS measure)* of£1.12 , compared to adjusted profit for the year of£132.4 million and adjusted diluted EPS of£2.28 in the prior year.
CASH FLOW:
-
Net cash used in operating activities was
£(0.2) million in Q4 FY2024, compared to net cash from operating activities of£33.3 million in the same period in the prior year and£54.4 million in FY2024, compared to£124.5 million in the prior year. -
Adjusted free cash flow (a non-IFRS measure)* was
£6.6 million in Q4 FY2024, compared to£31.5 million in the same period in the prior year and£58.4 million in FY2024, compared to£111.5 million in the prior year. -
At June 30, 2024, Endava had cash and cash equivalents of
£62.4 million , compared to£164.7 million at June 30, 2023. In April 2024, Endava used£129.0 million of cash and drew£153.8 million from its revolving credit facility for the acquisition of GalaxE.
* Definitions of the non-IFRS measures used by the Company and a reconciliation of such measures to the related IFRS financial measure can be found under the sections below titled “Non-IFRS Financial Information” and “Reconciliation of IFRS Financial Measures to Non-IFRS Financial Measures.”
OTHER METRICS FOR THE QUARTER ENDED JUNE 30, 2024:
- Headcount totaled 12,085 at June 30, 2024, with an average of 11,007 operational employees in Q4 FY2024, compared to a headcount of 12,063 at June 30, 2023 and an average of 10,605 operational employees in the same period in the prior year.
-
Number of clients with over
£1 million in revenue on a rolling twelve-month basis was 146 at June 30, 2024, unchanged from June 30, 2023. -
Top 10 clients accounted for
34% of revenue in Q4 FY2024, compared to35% in the same period in the prior year. -
By geographic region,
38% of revenue was generated inNorth America ,25% was generated inEurope ,30% was generated in theUnited Kingdom and7% was generated in the rest of the world in Q4 FY2024. This compares to30% inNorth America ,24% inEurope ,38% in theUnited Kingdom and8% in the Rest of the World in the same period in the prior year. -
By industry vertical,
19% of revenue was generated from Payments,17% from BCM,9% from Insurance,21% from TMT,9% from Mobility, and25% from Other in Q4 FY2024. This compares to28% from Payments,16% from BCM,8% from Insurance,22% from TMT,10% from Mobility, and16% from Other in the same period in the prior year.
OTHER METRICS FOR THE FISCAL YEAR ENDED JUNE 30, 2024:
-
Top 10 clients accounted for
32% of revenue in FY2024, compared to33% in the prior year. -
By geographic region,
33% of revenue was generated inNorth America ,26% was generated inEurope ,33% was generated in theUnited Kingdom and8% was generated in the rest of the world in FY2024. This compares to32% inNorth America ,23% inEurope ,39% in theUnited Kingdom and6% in the Rest of the World in the prior year. -
By industry vertical,
24% of revenue was generated from Payments,15% from Banking and Capital Markets (BCM),8% from Insurance,23% from Technology, Media and Telecommunications (TMT),10% from Mobility, and20% from Other in FY2024. This compares to29% from Payments,16% from BCM,7% from Insurance,22% from TMT,10% from Mobility, and16% from Other in the prior year.
OUTLOOK:
First Quarter Fiscal Year 2025:
Endava expects revenue will be in the range of
Full Fiscal Year 2025:
Endava expects revenue will be in the range of
This above guidance for the first quarter and full fiscal year 2025 assumes the exchange rates on August 31, 2024 (when the exchange rate was
Endava is not able, at this time, to reconcile its expectations for the first quarter and full fiscal year 2025 for a rate of revenue growth at constant currency or adjusted diluted EPS to their respective most directly comparable IFRS measures as a result of the uncertainty regarding, and the potential variability of, reconciling items such as share-based compensation expense, amortisation of acquired intangible assets, foreign currency exchange (gains)/losses, restructuring costs, fair value movement of contingent consideration and exceptional property charges, as applicable. Accordingly, a reconciliation is not available without unreasonable effort, although it is important to note that these factors could be material to Endava's results computed in accordance with IFRS.
The guidance provided above is forward-looking in nature. Actual results may differ materially. See “Forward-Looking Statements” below.
CONFERENCE CALL DETAILS:
The Company will host a conference call at 8:00 am ET today, September 19, 2024, to review its Q4 FY2024 results & FY2024 results. To participate in Endava’s Q4 FY2024 & FY2024 earnings conference call, please dial in at least five minutes prior to the scheduled start time (844) 481-2736 or (412) 317-0665 for international participants, Conference ID: Endava Call.
Investors may listen to the call on Endava’s Investor Relations website at http://investors.Endava.com. The webcast will be recorded and available for replay until Friday, October 18, 2024.
ABOUT ENDAVA PLC:
We are a leading provider of next-generation technology services, dedicated to enabling our customers to drive real impact and meaningful change. By combining world-class engineering, deep industry expertise and a customer-centric mindset, we consult and partner with our customers to create technological solutions that fuel transformation and empower businesses to succeed in the AI-driven digital shift. From ideation to production, we support our customers with tailor-made solutions at every stage of their digital transformation, regardless of industry, region or scale.
Endava’s clients span payments, insurance, finance and banking, technology, media, telecommunications, healthcare and life sciences, mobility, retail and consumer goods and more. As of June 30, 2024, 12,085 Endavans are helping clients break new ground across locations in
NON-IFRS FINANCIAL INFORMATION:
To supplement Endava’s Condensed Consolidated Statements of Comprehensive Income, Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Cash Flows presented in accordance with IFRS, the Company uses non-IFRS measures of certain components of financial performance in this press release. These measures include revenue (decline)/growth rate at constant currency, adjusted profit before tax, adjusted profit for the period, adjusted diluted EPS and adjusted free cash flow.
Revenue (decline)/growth rate at constant currency is calculated by translating revenue from entities reporting in foreign currencies into British Pounds using the comparable foreign currency exchange rates from the prior period. For example, the average currency rates in effect for the fiscal quarter ended June 30, 2023 were used to convert revenue for the fiscal quarter ended June 30, 2024 and the revenue for the comparable prior period.
Adjusted profit before tax ("Adjusted PBT") is defined as the Company’s profit before tax adjusted to exclude the impact of share-based compensation expense, amortisation of acquired intangible assets, realised and unrealised foreign currency exchange (gains)/losses, restructuring costs, exceptional property charges, and fair value movement of contingent consideration, all of which are non-cash items except for the restructuring costs, an element of the exceptional property charges, and realised foreign currency exchange (gains)/ losses, net. Our Adjusted PBT margin is our Adjusted PBT as a percentage of our total revenue.
Adjusted profit for the period is defined as Adjusted PBT less the tax charge for the period adjusted for the tax impact of the adjustments to PBT.
Adjusted diluted EPS is defined as Adjusted profit for the period, divided by weighted average number of shares outstanding - diluted.
Adjusted free cash flow is the Company’s net cash from operating activities, plus grants received, less net purchases of non-current assets (tangible and intangible) and less settlement of change of control bonuses paid on acquisition. Adjusted free cash flow is not intended to be a measure of residual cash available for management's discretionary use since it omits significant sources and uses of cash flow, including mandatory debt repayments and changes in working capital.
Management believes these measures help illustrate underlying trends in the Company's business and uses the measures to establish budgets and operational goals, communicated internally and externally, for managing the Company's business and evaluating its performance. Management also believes the presentation of its non-IFRS financial measures enhances an investor’s overall understanding of the Company’s historical financial performance. The presentation of the Company’s non-IFRS financial measures is not meant to be considered in isolation or as a substitute for the Company’s financial results prepared in accordance with IFRS, and its non-IFRS measures may be different from non-IFRS measures used by other companies. Investors should review the reconciliation of the Company’s non-IFRS financial measures to the comparable IFRS financial measures included below, and not rely on any single financial measure to evaluate the Company’s business.
FORWARD-LOOKING STATEMENTS:
This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may be identified by the use of terms and phrases such as “believe,” “expect,” "outlook," “may,” “will,” and other similar terms and phrases. Such forward-looking statements include, but are not limited to, the statements regarding the overall demand environment; Endava's business initiatives; Endava's ability to return to its historical levels of profitability; and management's financial outlook for the first quarter and full fiscal year 2025. Forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from the results anticipated by these forward-looking statements, including, but not limited to: Endava’s ability to achieve its revenue growth goals in the future, Endava's ability to retain existing clients and attract new clients, including its ability to increase revenue from existing clients and diversify its revenue concentration; Endava’s ability to attract and retain highly-skilled IT professionals at cost-effective rates; Endava's ability to successfully identify acquisition targets, consummate acquisitions and successfully integrate acquired businesses and personnel; Endava's ability to penetrate new industry verticals and geographies and grow its revenue in current industry verticals and geographies; Endava’s ability to maintain favorable pricing and utilization rates to support its gross margin; the effects of increased competition as well as innovations by new and existing competitors in its market; the size of Endava's addressable market and market trends; Endava’s ability to adapt to technological change and industry trends and innovate solutions for its clients; Endava's plans for growth and future operations, including its ability to manage its growth; Endava's expectations of future operating results or financial performance; Endava's ability to effectively manage its international operations, including Endava's exposure to foreign currency exchange rate fluctuations; Endava's future financial performance, including trends in revenue, cost of sales, gross profit, selling, general and administrative expenses, finance income and expense and taxes; the impact of unstable market and economic conditions, including as a result of actual or anticipated changes in interest rates, economic inflation and the responses by central banking authorities to control such inflation; and the impact of political instability, natural disaster, events of terrorism and wars, including the military conflict between
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
|
Twelve Months Ended June 30 |
Three Months Ended June 30 |
||
|
2024 |
2023(1) |
2024 |
2023(1) |
|
£’000 |
£’000 |
£’000 |
£’000 |
REVENUE |
740,756 |
794,733 |
194,418 |
189,791 |
Cost of sales |
|
|
|
|
Direct cost of sales |
(532,860) |
(505,679) |
(142,996) |
(123,968) |
Allocated cost of sales |
(28,188) |
(24,977) |
(8,250) |
(6,301) |
Total cost of sales |
(561,048) |
(530,656) |
(151,246) |
(130,269) |
GROSS PROFIT |
179,708 |
264,077 |
43,172 |
59,522 |
Selling, general and administrative expenses |
(159,568) |
(151,232) |
(41,925) |
(36,809) |
OPERATING PROFIT |
20,140 |
112,845 |
1,247 |
22,713 |
Net finance income/(expense) |
6,840 |
1,318 |
(1,656) |
2,223 |
PROFIT/(LOSS) BEFORE TAX |
26,980 |
114,163 |
(409) |
24,936 |
Tax on profit/(loss) on ordinary activities |
(9,858) |
(20,000) |
(1,445) |
(1,878) |
PROFIT/(LOSS) FOR THE PERIOD |
17,122 |
94,163 |
(1,854) |
23,058 |
OTHER COMPREHENSIVE INCOME |
|
|
|
|
Items that may be reclassified subsequently to profit or loss: |
|
|
|
|
Exchange differences on translating foreign operations and net investment hedge impact |
(3,041) |
(9,999) |
(1,980) |
(6,998) |
TOTAL COMPREHENSIVE INCOME/(LOSS) FOR THE PERIOD ATTRIBUTABLE TO OWNERS OF THE COMPANY |
14,081 |
84,164 |
(3,834) |
16,060 |
|
|
|
|
|
EARNINGS PER SHARE (EPS): |
|
|
|
|
Weighted average number of shares outstanding - Basic |
58,318,968 |
57,314,839 |
58,634,640 |
57,730,072 |
Weighted average number of shares outstanding - Diluted |
58,749,497 |
58,082,388 |
58,819,301 |
58,092,245 |
Basic EPS (£) |
0.29 |
1.64 |
(0.03) |
0.40 |
Diluted EPS (£) |
0.29 |
1.62 |
(0.03) |
0.40 |
CONDENSED CONSOLIDATED BALANCE SHEETS
|
June 30, 2024 |
June 30, 2023(2) |
|
£’000 |
£’000 |
ASSETS - NON-CURRENT |
|
|
Goodwill |
515,724 |
239,249 |
Intangible assets |
127,797 |
65,473 |
Property, plant and equipment |
20,638 |
25,940 |
Lease right-of-use assets |
53,294 |
65,084 |
Deferred tax assets |
18,323 |
20,926 |
Financial assets and other receivables |
10,499 |
5,242 |
TOTAL |
746,275 |
421,914 |
ASSETS - CURRENT |
|
|
Trade and other receivables |
193,673 |
179,550 |
Corporation tax receivable |
11,402 |
3,842 |
Financial assets |
183 |
56 |
Cash and cash equivalents |
62,358 |
164,703 |
TOTAL |
267,616 |
348,151 |
TOTAL ASSETS |
1,013,891 |
770,065 |
LIABILITIES - CURRENT |
|
|
Lease liabilities |
14,450 |
14,573 |
Trade and other payables |
116,569 |
91,828 |
Corporation tax payable |
8,556 |
5,402 |
Contingent consideration |
8,444 |
7,650 |
Deferred consideration |
5,840 |
1,267 |
TOTAL |
153,859 |
120,720 |
LIABILITIES - NON CURRENT |
|
|
Borrowings |
144,754 |
— |
Lease liabilities |
43,557 |
54,441 |
Deferred tax liabilities |
30,814 |
14,434 |
Contingent consideration |
— |
3,809 |
Deferred consideration |
943 |
4,837 |
Other liabilities |
509 |
516 |
TOTAL |
220,577 |
78,037 |
EQUITY |
|
|
Share capital |
1,180 |
1,155 |
Share premium |
21,280 |
14,625 |
Merger relief reserve |
63,440 |
42,805 |
Retained earnings |
573,640 |
522,926 |
Other reserves |
(20,059) |
(10,176) |
Investment in own shares |
(26) |
(27) |
TOTAL |
639,455 |
571,308 |
TOTAL LIABILITIES AND EQUITY |
1,013,891 |
770,065 |
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
|
Twelve Months Ended June 30(3) |
Three Months Ended June 30(3) |
||
|
2024 |
2023 |
2024 |
2023 |
|
£’000 |
£’000 |
£’000 |
£’000 |
OPERATING ACTIVITIES |
|
|
|
|
Profit/(Loss) for the period |
17,122 |
94,163 |
(1,854) |
23,058 |
Income tax charge |
9,858 |
20,000 |
1,445 |
1,878 |
Non-cash adjustments |
57,768 |
49,165 |
14,008 |
8,949 |
Tax paid |
(14,254) |
(22,737) |
(6,547) |
(6,548) |
|
478 |
— |
478 |
— |
Net changes in working capital |
(16,580) |
(16,073) |
(7,769) |
5,990 |
Net cash from/(used in) operating activities |
54,392 |
124,518 |
(239) |
33,327 |
|
|
|
|
|
INVESTING ACTIVITIES |
|
|
|
|
Purchase of non-current assets (tangibles and intangibles) |
(5,486) |
(13,674) |
(1,790) |
(1,870) |
Proceeds from disposal of non-current assets |
346 |
187 |
310 |
39 |
Payment for acquisition of subsidiary, net of cash acquired |
(236,110) |
(79,691) |
(216,887) |
(43,918) |
Other acquisition-related settlements |
(55,246) |
(21,179) |
(48,566) |
(21,179) |
Interest received |
6,171 |
3,506 |
572 |
1,655 |
Net cash used in investing activities |
(290,325) |
(110,851) |
(266,361) |
(65,273) |
|
|
|
|
|
FINANCING ACTIVITIES |
|
|
|
|
Proceeds from sublease |
94 |
439 |
(35) |
114 |
Proceeds from borrowings |
153,814 |
— |
153,814 |
— |
Repayment of borrowings |
(8,056) |
— |
(8,056) |
— |
Repayment of lease liabilities |
(12,629) |
(11,812) |
(3,478) |
(3,043) |
Repayment of lease interest |
(2,147) |
(1,676) |
(505) |
(485) |
Interest and debt financing costs paid |
(3,389) |
(4,011) |
(1,778) |
(479) |
Grant received |
707 |
494 |
(115) |
22 |
Proceeds from exercise of options |
6,667 |
5,568 |
81 |
1,170 |
Net cash generated from/(used in) financing activities |
135,061 |
(10,998) |
139,928 |
(2,701) |
Net change in cash and cash equivalents |
(100,872) |
2,669 |
(126,672) |
(34,647) |
|
|
|
|
|
Cash and cash equivalents at the beginning of the period |
164,703 |
162,806 |
190,021 |
199,200 |
Exchange differences on cash and cash equivalents |
(1,473) |
(772) |
(991) |
150 |
Cash and cash equivalents at the end of the period |
62,358 |
164,703 |
62,358 |
164,703 |
RECONCILIATION OF IFRS FINANCIAL MEASURES TO NON-IFRS FINANCIAL MEASURES
RECONCILIATION OF REVENUE (DECLINE)/GROWTH RATE AS REPORTED UNDER IFRS TO REVENUE (DECLINE)/GROWTH RATE AT CONSTANT CURRENCY:
|
Twelve Months Ended June 30 |
Three Months Ended June 30 |
||
|
2024 |
2023 |
2024 |
2023 |
REVENUE (DECLINE) / GROWTH RATE AS REPORTED UNDER IFRS |
(6.8) % |
|
|
|
Impact of Foreign exchange rate fluctuations |
|
(4.8) % |
|
(0.4) % |
REVENUE (DECLINE) / GROWTH RATE AT CONSTANT CURRENCY |
(4.5) % |
|
|
|
RECONCILIATION OF ADJUSTED PROFIT/(LOSS) BEFORE TAX AND ADJUSTED PROFIT FOR THE PERIOD:
|
Twelve Months Ended June 30 |
Three Months Ended June 30 |
||
|
2024 |
2023 |
2024 |
2023 |
|
£’000 |
£’000 |
£’000 |
£’000 |
|
|
|
|
|
PROFIT/(LOSS) BEFORE TAX |
26,980 |
114,163 |
(409) |
24,936 |
Adjustments: |
|
|
|
|
Share-based compensation expense |
34,678 |
31,058 |
4,938 |
6,923 |
Amortisation of acquired intangible assets |
14,980 |
12,270 |
5,050 |
2,843 |
Foreign currency exchange losses / (gains) net |
2,233 |
10,729 |
(631) |
699 |
Restructuring costs |
11,645 |
6,588 |
4,386 |
2,905 |
Exceptional property charges |
1,925 |
— |
1,925 |
— |
Fair value movement of contingent consideration |
(9,486) |
(10,613) |
(338) |
37 |
Total adjustments |
55,975 |
50,032 |
15,330 |
13,407 |
ADJUSTED PROFIT BEFORE TAX |
82,955 |
164,195 |
14,921 |
38,343 |
|
|
|
|
|
PROFIT/(LOSS) FOR THE PERIOD |
17,122 |
94,163 |
(1,854) |
23,058 |
Adjustments: |
|
|
|
|
Adjustments to profit before tax |
55,975 |
50,032 |
15,330 |
13,407 |
Tax impact of adjustments |
(7,109) |
(11,829) |
(606) |
(3,530) |
ADJUSTED PROFIT FOR THE PERIOD |
65,988 |
132,366 |
12,870 |
32,935 |
RECONCILIATION OF ADJUSTED DILUTED EARNINGS/(LOSS) PER SHARE:
|
Twelve Months Ended June 30 |
Three Months Ended June 30 |
||
|
2024 |
2023 |
2024 |
2023 |
|
£’000 |
£’000 |
£’000 |
£’000 |
|
|
|
|
|
DILUTED EARNINGS/(LOSS) PER SHARE (£) |
0.29 |
1.62 |
(0.03) |
0.40 |
Adjustments: |
|
|
|
|
Share-based compensation expense |
0.59 |
0.53 |
0.08 |
0.12 |
Amortisation of acquired intangible assets |
0.25 |
0.21 |
0.09 |
0.05 |
Foreign currency exchange losses / (gains) net |
0.04 |
0.18 |
(0.01) |
0.01 |
Restructuring costs |
0.20 |
0.11 |
0.07 |
0.05 |
Exceptional property charges |
0.03 |
— |
0.03 |
— |
Fair value movement of contingent consideration |
(0.16) |
(0.17) |
— |
— |
Tax impact of adjustments |
(0.12) |
(0.20) |
(0.01) |
(0.06) |
Total adjustments |
0.83 |
0.66 |
0.25 |
0.17 |
ADJUSTED DILUTED EARNINGS PER SHARE (£) |
1.12 |
2.28 |
0.22 |
0.57 |
RECONCILIATION OF NET CASH FROM/(USED IN) OPERATING ACTIVITIES TO ADJUSTED FREE CASH FLOW
|
Twelve Months Ended June 30 |
Three Months Ended June 30 |
||
|
2024 |
2023 |
2024 |
2023 |
|
£’000 |
£’000 |
£’000 |
£’000 |
|
|
|
|
|
NET CASH FROM/(USED IN) OPERATING ACTIVITIES |
54,392 |
124,518 |
(239) |
33,327 |
Adjustments: |
|
|
|
|
Grant received |
707 |
494 |
(115) |
22 |
Net purchase of non-current assets (tangibles and intangibles) |
(5,140) |
(13,487) |
(1,480) |
(1,831) |
Settlement of COC bonuses on acquisition (4) |
8,442 |
— |
8,442 |
— |
ADJUSTED FREE CASH FLOW |
58,401 |
111,525 |
6,608 |
31,518 |
SUPPLEMENTARY INFORMATION
SHARE-BASED COMPENSATION EXPENSE
|
Twelve Months Ended June 30 |
Three Months Ended June 30 |
||
|
2024 |
2023 |
2024 |
2023 |
|
£’000 |
£’000 |
£’000 |
£’000 |
|
|
|
|
|
Direct cost of sales |
25,902 |
20,927 |
4,470 |
4,931 |
Selling, general and administrative expenses |
8,776 |
10,131 |
468 |
1,992 |
Total |
34,678 |
31,058 |
4,938 |
6,923 |
DEPRECIATION AND AMORTISATION
|
Twelve Months Ended June 30 |
Three Months Ended June 30 |
||
|
2024 |
2023 |
2024 |
2023 |
|
£’000 |
£’000 |
£’000 |
£’000 |
|
|
|
|
|
Direct cost of sales |
20,532 |
17,931 |
5,634 |
4,689 |
Selling, general and administrative expenses |
18,409 |
14,996 |
5,999 |
3,590 |
Total |
38,941 |
32,927 |
11,633 |
8,279 |
EMPLOYEES, TOP 10 CUSTOMERS AND REVENUE SPLIT
|
Twelve Months Ended June 30 |
Three Months Ended June 30 |
||
|
2024 |
2023 |
2024 |
2023 |
|
|
|
|
|
Closing number of total employees (including directors) |
12,085 |
12,063 |
12,085 |
12,063 |
Average operational employees |
10,587 |
10,872 |
11,007 |
10,605 |
|
|
|
|
|
Top 10 customers % |
32 % |
33 % |
34 % |
35 % |
Number of clients with > (rolling 12 months) |
146 |
146 |
146 |
146 |
|
|
|
|
|
Geographic split of revenue % |
|
|
|
|
|
33 % |
32 % |
38 % |
30 % |
|
26 % |
23 % |
25 % |
24 % |
|
33 % |
39 % |
30 % |
38 % |
Rest of World (RoW) |
8 % |
6 % |
7 % |
8 % |
Industry vertical split of revenue % |
|
|
|
|
Payments |
24 % |
29 % |
19 % |
28 % |
Banking and Capital Markets |
15 % |
16 % |
17 % |
16 % |
Insurance |
8 % |
7 % |
9 % |
8 % |
TMT |
23 % |
22 % |
21 % |
22 % |
Mobility |
10 % |
10 % |
9 % |
10 % |
Other |
20 % |
16 % |
25 % |
16 % |
FOOTNOTES
(1) The presentation of the Consolidated Statements of Comprehensive Income has been changed to no longer separately disclose the net impairment gains/(losses) on financial assets on the face of the Consolidated Statements of Comprehensive Income, but include them within Selling, general and administrative expenses, on the basis that they are not material in any of the years presented.
(2) Restated to include the effect of revisions arising from provisional to final acquisition accounting for DEK and Mudbath.
(3) The presentation of the Consolidated Statement of Cash Flows has been changed to separately present the repayment of lease interest from the total repayments of lease liabilities.
(4) Represents working capital movement related to the GalaxE acquisition in respect of the settlement of change of control (CoC) bonuses payable to the GalaxE key employees on behalf of the seller.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240918480463/en/
INVESTOR CONTACT:
Endava plc
Laurence Madsen, Head of Investor Relations
Investors@endava.com
Source: Endava plc
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