System1 Q2 revenues grow, H1 gross profits rise

24th Oct 2023 08:31

(Sharecast News) - Market research firm System1 said on Tuesday that second-quarter revenues had risen year-on-year, leading to improved interim gross profits.

System1 said total group revenue grew 35% to £7.1m, including a £300,000 reduction in non-platform consultancy, with particularly strong growth in Europe and the UK. Predict Your revenue grew by 57% on the comparable prior-year quarter to £5.0m and Improve Your revenue increased by 49% to £1.0m, bringing total platform revenue to £6.0m, up 55% year-on-year.

As a result, gross profit for the first half was now expected to reach £11.6m at a margin of 87%, up from £8.5m at an 81.5% margin, reflecting the group's focus on delivering "profitable growth and improving shareholder value".

Operating costs were expected to increase by £2.2m due to increased staff costs and System1 now anticipates reporting a statutory pre-tax profit just below £1.0m for the half.

As of 1345 BST, System1 shares were up 0.74% at 191.40.

Reporting by Iain Gilbert at Sharecast.com