Prophecy International Holdings Ltd (PRO) recognised revenues for FY17 Q1 came in at $3.1 million compared to $4.5 million for the same quarter in FY16. The FY16 Q1 figure was higher than usual for Q1, as it included a $1 million sale closed in the period. The average quarterly revenue over the last 4 quarters is $3.4 million, with individual quarters ranging from $2.9 million in FY16 Q3 to $3.8 million in FY16 Q4. The best revenue quarters have traditionally been Q4 and Q2, and this trend is expected to continue.

The SNARE sales team once again has closed deals with some impressive names including Telus Communications, Indiana University, University of Kansas, California State Polytechnic, US Patent Office, Presbyterian Health Services, Global Payments Inc, Texas Department of Transportation, University of Oklahoma, Berkley University, UPS, HarborOne Bank, Prime Bank, Saks Fifth Avenue, Royal Mail, US General Services, Penske Automotive, Veolia and Coventry Building Society.

The SNARE partner team has been working very closely with the IBM QRadar security solution team and SNARE has now been accepted as a solution available on the IBM Security App Exchange. This will provide very high visibility for the SNARE solution and its interaction with the IBM QRadar Security Intelligence Platform. SNARE now is integrated with the IBM QRadar Security solution in over 40 sites worldwide and the SNARE team is working to promote the SNARE solution to all IBM QRadar partners worldwide. Zenith Systems, a certified IBM QRadar partner servicing South Africa was the first to sign to become a SNARE partner and promote SNARE to its existing and prestigious customer base of IBM QRadar users.

SNARE has appointed a Channels manager for the EMEA region to assist in achieving a target of 50% of new sales via partners. Two new partners have come on board already, and SNARE new sales from partners has grown to some 33% as a result of the combined partner activity.

The eMite sales team has been bolstered by the appointment of Brad Thomas to the position of General Manager, Sales. His objective is to grow eMite sales revenue, and build a team to match the resources of the SNARE sales team. This will enable eMite to capture the opportunities that abound for the eMite product set.

During the quarter, the major focus for eMite has been the progression of the relationship with Interactive Intelligence (ININ), the supplier of world leading call centre management software, which now has an integration to the eMite dashboard solution. eMite dashboards are now available for the ININ PureCloud platform as well as the traditional ININ call centre platforms. The initial group of ININ sites have signed up for the eMite reporting modules and this success, combined with recent conference activity, has accelerated interest in the eMite solution. Enquiries are coming in worldwide from both partners and customers. The eMite sales team has been working closely with ININ management to certify the eMite integration and to explore opportunities to make the eMite solution available to as many ININ users as possible. This is an ongoing task which should increase opportunities through Q2 and beyond.

In addition, eMite has been working to make the eMite dashboards available with a well known service desk solution in a similar fashion to the ININ integration. eMite already has a number of customers that have integrated eMite dashboards providing valuable management KPIs over the top of various service desk systems. This integration will provide a second niche market for eMite along the lines of the ININ integration, which has been setting the pattern for building out this specialised opportunity for multiple eMite sales. By the end of FY17, eMite expects to have three such niche markets up and running, providing eMite management dashboard reporting integrated with world leading application solutions. These new customers will come on board via a subscription service, thus building a substantial new base of subscription revenues for the future.

Prophecy released its updated Securities Trading policy to the ASX on 13 October 2016

09 PRO Corp Governance – Securities Trading Policy

The full set of Prophecy’s Corporate Governance Policies can be found here

eMite is pleased to announce the appointment of Brad Thomas in the new position of General Manager Sales. eMite is poised to move into a rapid growth phase through increased sales, as experienced in recent years by the Prophecy stable’s SNARE products. The SNARE business has expanded its Denver sales office to 12 staff and a similar growth is planned for eMite. Brad Thomas has the objective to build a similarly sized sales team within eMite to capture the growth potential of the eMite product set.

Brad has most recently been a Senior General Manager and Head of Sales at Canon Australia, leading large teams across direct and indirect sales, service delivery and professional services. He has 20+ years’ experience in growing businesses across Australia, New Zealand,  Asia Pacific and Japan.

Brad’s strategy and leadership experience spans sales, marketing, service delivery and operations with strategic growth know-how developed across companies such as Microsoft, Canon, Novell, Lenovo and Telstra in software, print, managed services, telecommunications and IT hardware. His business growth experience encompasses start-ups and SMEs to corporates and multinationals. Brad is known by industry and peers for partner and channel management and programs, go to market strategy, sales leadership and motivational speaking.

Brad’s methodologies are recognised for growing revenue, profit and staff engagement.  At Canon, he successfully led and developed new go to market strategies, built new sales teams, rebuilt and turned around channels sales teams and partner programs and established new channels to market as well as established sales effectiveness and sales enablement programs.

Brad partners with the board in developing vision, strategy and organisational goals. His core focus on growth includes efficiency of  sales organisations and  partner ecosystems, clear go to market strategies and unique value propositions,  together with  direct alignment between sales and marketing. Across his career Brad has been instrumental in attaining stretch KPIs, profit and margin growth, market share and business efficiencies.

His specialist expertise includes strategy, leadership, sales, business alliances, marketing, partner management, public speaking, operational management, service delivery and cross functional engagement.

We all welcome Brad Thomas into this senior role within the Prophecy group and look forward to positive change and growth within the eMite business as a result.

Dividend Distribution Notification 24 Aug 16

Company Announcement 26th July, 2016

• Full year FY16 EBITDA: a record at $5.0 million, up 13%
• Full year revenue: a record at $14.7 million, up 47%
• Q4 new sales: up 62% from Q3, a very pleasing improvement
• SNARE Q4 new sales: best quarter for the year
• SNARE full year revenue: up 28% to $7.6 million, a record
• Improved sales result expected to flow into FY17

Prophecy’s EBITDA for FY16 is expected to be $5.0m once audited accounts are complete. This earnings result is a new record for the group, and shows growth of 13% compared to FY15 EBITDA. The Board is very pleased with this full year result.
FY16 revenue has come in at $14.7 million. This figure represents a new revenue record for the group, and is up a healthy 47% compared to FY15.
A portion of invoiced new sales is allocated to income in advance, with the rest taken up as current revenue in FY16. Income in advance is made up primarily of future maintenance commitments and consulting ordered but not yet performed. The percentage of new sales taken up as income in advance as higher than forecast, resulting in the recognised revenue from FY2016 new sales being lower than expected. As a result, income in advance has grown to $3.4m at the end of FY16, compared to $1.8m at the end of FY15. This income in advance figure represents guaranteed revenue for the future, with most to be taken to account during FY2017.

It is pleasing to be able to report that FY16 Q4 new sales results were very strong compared to the previous two quarters. Q4 new sales across the group were up by 62% from the Q3 total, and 44% from the Q2 total. Q1 remained as the best new sales quarter overall for the FY16 year.
In the SNARE division, Q4 provided the best quarterly sales result in the year, beating Q3 by 64%, Q2 by 35% and Q1 by 10%. The full year SNARE new sales figures grew by 13% compared to FY15. SNARE total recognised revenue for FY16 came in at a new record $7.6 million, compared to $5.9 million in FY15. This result provided excellent overall SNARE revenue growth of 28% for the full year. The SNARE team has been structured to target continued further growth through FY17.
eMite sales for Q4 finished 55% up on the Q3 result. eMite staff attended the Interactive Intelligence (ININ) user conference in Indianapolis in early June and were able to gain a tremendous interest in the eMite analytics solution for ININ users. The eMite solution was very well received by both ININ staff and customers and has generated a large volume of leads for sales action in FY17. A much improved sales result is expected for eMite in FY17 as a result of the foundation laid in FY16.
The improved sales result is expected to flow into FY17 Q1 new sales with a very healthy pipeline in place for both SNARE and eMite. New sales activity has accelerated as a result of the recent improved sales process. New sales resources have come on board to enhance the SNARE sales team and additional resource is currently being sought for the eMite team to capitalise on the improved results.