Corero Network Security PLC has released its Half Year Trading Update for the six months ended 30 June 2024, showcasing robust financial performance and continued momentum. The company reported a 16% revenue growth to $12.2 million, with Annualised Recurring Revenues (ARR) increasing by 12% to $17.2 million. The gross margin remained steady at 91%, and EBITDA improved to $0.7 million from a loss of $0.2 million in H1 2023. The company also achieved a record cash balance of $7.9 million.
The strong trading performance in H1 2024 was attributed to significant progress against the accelerated growth go-to-market strategy announced in April 2024. Corero experienced material customer wins, including competitive displacements and contract renewals and expansions, contributing to the revenue growth. The company's SmartWall ONETM DDoS protection solutions continued to witness high demand, leading to a record pipeline.
The order intake for H1 2024 increased by 10% to $14.2 million, reflecting the positive impact of targeted investment in sales and marketing activities. Corero's strategic regional expansion resulted in new deals secured in eight countries across four continents, further broadening its global footprint. Additionally, the company added ten new direct customer wins and secured new deals from alliance partners.
The growth in ARR to $17.2 million was driven by robust expansion in Corero's software subscription-based products and DDoS Protection-as-a-Service (DDPaaS) offering. The company's record cash balance of $7.9 million, with no outstanding debt, positions it well for future growth opportunities.
Carl Herberger, Chief Executive Officer at Corero, expressed satisfaction with the enhanced growth strategy, which delivered major new customer wins, revenue increase, and ARR growth. He highlighted the building momentum as the company enters the second half of the year, positioning Corero to capitalize on new opportunities and drive further growth. The company expects to report its unaudited interim results for the six months ended 30 June 2024 in late September 2024.