# KRM22 success this year driven by five key initiatives

- Link: https://www.directorstalkinterviews.com/krm22-success-this-year-driven-by-five-key-initiatives/4121082995
- Published: 2022-09-20T07:36:07+01:00
- Author: Amilia Stone

**KRM22 plc** ([LON:KRM](https://www.directorstalkinterviews.com/company/krm22-plc/krm.l)),
the technology and software investment company, with a particular focus on risk 
management in capital markets, has announced its unaudited interim results for the
six months ended 30 June 2022.

**Highlights**

**_Financial_**

·    Gross cash and cash equivalents at 30 June 2022 of £3.6m (FY 2021: £5.4m)

·    Annualised Recurring Revenue* (“ARR”) of £4.1m at 30 June 2022 (H1 2021: £3.7m)

o  New contracted ARR in the period of £0.7m (H1 2021: £0.3m)

·    Total revenue recognised of £1.9m (H1 2021: £2.2m)

·    Adjusted EBITDA loss** of £0.7m (H1 2021: loss of £0.3m)

·    Loss before tax of £1.2m (H1 2021: loss before tax of £1.7m)

**_Operational_**

·   Launch of ‘Limits Manager’, the first joint product with Trading Technologies
International, Inc (“TT”) following the distribution agreement signed in December
2021

·    Conversion of sales opportunities generated by the relationship with TT

·    Ten new ARR contracts with six new customers, including a Tier One bank

·    Internal reorganisation of staff to bring clarity to operations and responsibilities

·    Significant reduction in unplanned customer churn with only one institutional
customer loss in the period

**Post-Period Events**

·    Growth in ARR to £4.4m from a further six new contracts

_* Annualised Recurring Revenue (ARR) is the value of contracted Software-as-a-Service(
SaaS) revenue normalised to a one year period and excludes one time fees_

_** Adjusted EBITDA is the reported profit/(loss), adjusted for depreciation, amortisation,
share-based payment charges and unrealised foreign currency gains/losses and non-
recurring exceptional costs including impairment charges, reorganisation costs, 
gain on extinguishment of debt and acquisition and funding costs, gain/loss on disposal
of property, plant and equipment _

> **Commenting on the results, CEO of KRM22, Stephen Casner, said:**
> _“Our success in the first half of the year has been driven by the five key initiatives
> that we defined at the start of the year.  These initiatives have seen an increase
> in ARR, a reduction in the level of customer churn and an improvement in the underlying
> processes that will support KRM22’s continued growth._
> _There is no doubt that the Company needs to continue to improve performance to
> achieve profitability and produce positive cash flow.  We strongly believe that
> if we continue to repeat the success we demonstrated in H1 2022, we have the right
> products, distribution, talent and sufficient capital to get there.”_

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