Defenx in line with expectations as it expands channel partner network

24th Jan 2017 12:37

(ShareCast News) - Swiss security software firm Defenx anticipates that its maiden full year results will be in line with expectations, as revenue rose and a strong second half brought the company into profitability.For the 2016 calendar year, revenues surged 57% year-on-year to €7.3m on an organic basis, or a 63% increase if including the contribution from Memopal, a cloud computing firm, which the company bought in August for €2.3m.The second half the year bought the company into profitability as the operating margins widened compared to the previous year.The company, which floated on AIM in December 2015, said that it is on track to launch new products, enter new markets and broaden its management team in 2017, while it is confident that revenue and profit will continue to grow in the mobile security software market.The acquisition of Italy-based Memopal has diversified the company's product portfolio and added new channel partners, development and support staff, and is expected to be earnings enhancing after sales and costs in 2017.During last year, the company launched its mobile security suite on Café Bazaar Playstore, an Iranian Android app marketplace which receives about 20m visits each week and offers more than 25,000 downloadable apps, and also signed agreements with eight new channel partners.In October, the company raised €1.5m after expenses, in order to invest in its software development, and together with new €1.2m debt facilities, Defenx is now funded for its current plans.Chief executive Andrea Stecconi, said: "I am pleased that, in our first full year on AIM, we have delivered significant revenue growth by pursuing our strategy of growing the Defenx product portfolio and expanding our channel partner network."In addition, we successfully completed our first acquisition and raised €1.5m to accelerate growth. Our business to business to customer model continues to enable us to capitalise profitably on increasing public awareness of mobile security and privacy threats."Shares in Defenx were up 1.69% to 90p at 1022 GMT.