BVS – Bravura Solutions
How true…. took one and a half pages to get to the meat (rancid as it is)
However, in the course of undertaking Bravura’s strategic review and assessing our current and expected performance flowing through to the FY23 budget process, it has become clear that the FY23 performance will be below market expectation.
Group revenue is expected to increase modestly in FY23 over the prior year (A$266.7m in FY22).
The trend of lower customer spend on existing and new project work post COVID in EMEA is expected to continue as customers adopt a cautious approach to spend. In addition, three legacy customer contracts are winding down during this year with the majority of revenue impact in FY24. There are no other long term contracts believed to be at risk.
FY23 Guidance
The cumulative impact of the factors discussed above, and allowing for additional costs associated with one off initiatives from the Strategic Review, is that Bravura is expecting its FY23 earnings to differ materially from analysts’ consensus forecasts. With modest revenue growth of between $270 to $275 million, and increase in the FY23 cost base, Bravura now expects to deliver EBITDA of between $10 and $15 million and NPAT to be within the range of ($5M) to $0. The H1 result is expected to reflect lower run rate revenue which is expected to build into the second half, however, costs are expected to remain broadly consistent across the year.
IE. make a loss
