XBP Europe Holdings, Inc. - XBP STOCK NEWS

XBP Europe Holdings reported Q3 2024 financial results with revenue of $35.4 million, showing a 5.6% year-over-year decrease but a 5.5% sequential increase. The company achieved significant improvements in profitability metrics, with gross margin increasing to 32.6% and operating profit reaching $2.5 million. The Bills & Payments segment generated $24.6 million in revenue, while the Technology segment contributed $10.8 million. Despite operational improvements, the company recorded a net loss of $2.8 million, including $0.7 million in FX losses. Adjusted EBITDA from continuing operations rose to $4.8 million, marking a substantial year-over-year improvement.

Reaktr, a business unit of Exela Technologies and XBP Europe, has launched SecAi on Oracle Cloud Infrastructure (OCI) and Oracle Cloud Marketplace. SecAi is an AI-powered cybersecurity validation framework supporting over 120 large language models (LLMs). The service integrates with 80+ external data sources and features 100,000+ scenarios and MLOps integrations for proactive threat detection. The solution helps enterprises validate components including training data, LLMs, enterprise integrations, and responsible interactions, ensuring alignment with OWASP, CVEs, MITRE Framework, and local regulations.

XBP Europe's UK subsidiary has secured a position on the UK government's G-Cloud 14 framework, replacing G-Cloud 13. This framework, managed by the Crown Commercial Service, facilitates public sector procurement of cloud services with an estimated cumulative value exceeding £5 billion. Through its Reaktr.ai business unit, XBP Europe will provide AI-driven cloud services in two categories: Cloud Hosting (Lot 1) with the cloudX platform, and Cloud Support (Lot 3) offering Multi-Cloud Support Services and Outsourced Contact Centre solutions. The company aims to accelerate digital transformation for public sector organizations while meeting strict security and compliance standards.

XBP Europe (NASDAQ: XBP, XBPEW) has been approved as a Confirmation of Payee (CoP) Aggregator by Pay.UK, solidifying its position as a leading provider of CoP services. This approval allows XBP Europe to simplify CoP implementation for payment service providers, enabling faster and broader participation in the CoP ecosystem.

The company's AI-powered solution can implement CoP services in days, important for financial institutions facing the 31 October 2024 compliance deadline in the UK. XBP Europe's offering verifies payee accounts and handles complex name matches with high accuracy, minimizing false positives and negatives. As the only CoP provider actively engaged in the Request to Pay system, XBP Europe leverages its experience serving over 400 European financial institutions to deliver a best-in-class CoP service.

XBP Europe Holdings, Inc. (NASDAQ: XBP) reported its Q2 2024 financial results, showing a 14.8% year-over-year revenue decline to $36.1 million. The company experienced a net loss of $4.7 million, including $0.7 million in FX losses. Gross margin decreased to 18.4%, down 920 bps year-over-year. Despite these challenges, XBP Europe highlighted an active revenue ramp of approximately $25 million in Annual Contract Value. The company also completed a strategic financing transaction with HSBC, providing up to $33 million in incremental liquidity. CEO Andrej Jonovic expressed optimism about the rest of 2024, citing a strong sales funnel and the upcoming launch of large public sector contracts, including HMPO.

XBP Europe Holdings has completed a $48 million financing agreement to boost growth and refinance existing debt.

The agreement, signed with HSBC UK Bank plc, includes a $4 million Term Loan A, an $11 million Term Loan B, and a $15 million revolving credit facility, with an $18 million accordion feature.

This financing provides up to $33 million in incremental liquidity, aiding the company's digital transformation goals and inorganic growth strategies.

The term loans have a four-year maturity, while the revolving credit facility has a three-year maturity, extendable by one year at HSBC's discretion.

Repayment of existing debt incurred no penalties, and the new revolving credit facility will be utilized for general corporate purposes.

XBP Europe Holdings, Inc. reported first-quarter results for 2024, with revenue at $40.4 million, down 5.7% year-over-year, and a net loss of $2.2 million. The company saw growth in gross margin, especially in the Technology segment. XBP secured a $40 million contract with His Majesty’s Passport Office in the UK. Operating income improved to $0.1 million, with adjusted EBITDA at $1.8 million. XBP aims for continued growth and solid execution in 2024.

XBP Europe has been awarded a $40 million transformation project by His Majesty’s Passport Office (HMPO) in the UK. The project aims to digitize documents dating back to 1837 for the General Register Office (GRO). XBP Europe will use its hyper automation AI led IDP platform to transform records and provide new tools and resources. The project is part of a wider transformation program for GRO to update its systems and services, with the goal of improving service delivery to the public.

XBP Europe Holdings, Inc. reported a revenue of $166.6 million for 2023, showing a 7.7% decline from the previous year. The company incurred a net loss of $11.0 million, including restructuring charges and transaction fees. The Technology segment saw growth to 27% of total revenue. XBP won a significant $48 million TCV contract in 2023, the largest in five years, and expanded solutions with Reaktr.ai and XBP Omnidirect.