Big Sofa Technologies (AIM:BST), an international video analytics provider to the consumer insight industry, announces H1 revenues of £1.1 million as the business gathers momentum and delivers revenue growth of more than 70% over the same period last year. This follows the appointment of Kirsty Fuller as CEO in November and the restructuring of the business at the end of 2018. Commissions for the year currently total £1.7 million, this includes £1.1 million of commissioned work that has been recognised in H1 revenue. Total commissions in FY19 already equal the total revenue delivered in 2018 and represent a 62% increase on commissions at the same time in the prior year. This progress has been achieved on a materially lower cost base compared to 2018.
The growth in commissions has come from both existing and new clients against 3 strategic pillars. Pillar 1: Commissions from Ipsos, the Company’s largest shareholder and customer, now exceed £500,000, an increase of more than 100% compared to the prior year. This marks further progress towards the strategic goal of closer integration with Ipsos.
Pillar 2: Commissions from end clients have increased by approximately 50%, including commissions from new clients in the manufacturing and technology sectors, and repeat subscription agreements with longer standing clients. This addition of clients in new sectors and the deepening of relationships with existing clients marks further progress against the goal of developing our direct-to-client visual insight system offering.
Pillar 3: Commissions for 2019 include R&D projects relating to partnering with a data company on the automated extraction of data from video. These are follow-on projects commissioned after a successful pilot at the end of 2018 and mark initial progress towards our strategic goal of delivering automated video analytics to a major data partner.
Kirsty Fuller, Chief Executive Officer of Big Sofa Technologies, commented:
“The material growth in commissions, the closer integration with Ipsos, the addition of clients in new sectors and the retention of existing clients, along with R&D led commissions in the machine-learning space represent real progress for the business.
We now enter the second half of the year with confidence and momentum. I fully expect to deepen the Ipsos relationship further whilst securing new revenue streams with strategic client wins.”