Corero Network Security PLC has released its year-end trading update for 2023, reporting a strong close to the year with significant achievements in revenue growth, new contracts, and strategic partnerships. The company's Annualised Recurring Revenues (ARR) increased to $16.9 million, reflecting a 17% rise over the prior year, driven by continued demand for its subscription-based and DDoS Protection as-a-service products. This performance enhances earnings visibility and positions the company for revenue growth in 2024 and beyond.

The expected revenue for FY 2023 is approximately $22.3 million, marking an 11% increase from the prior year, while adjusted EBITDA is anticipated to be in the range of $1.9 to $2.3 million. The order intake grew 4% to $24.8 million for FY 2023, and the customer support contract renewal rate stood at 98%, demonstrating the strength and quality of Corero's solutions. The company's cash at the end of 2023 was $5.2 million, with no outstanding debt, reflecting a strong balance sheet position.

In a significant development, Corero secured a $1 million plus contract with a new channel partner customer in the Brazilian market, its largest ever contract in the LATAM region. This contract will expand the company's ability to offer DDoS protection solutions in this new geographic market and is expected to generate incremental revenue streams, furthering market expansion opportunities.

Furthermore, the strategic global partnership with Akamai has yielded positive contract momentum, with two new DDPaaS customer wins secured through the partnership. The collaboration with Akamai has resulted in a growing pipeline of opportunities, which is expected to generate incremental revenue for Corero in 2024 and beyond.

Carl Herberger, CEO of Corero, expressed his excitement about the company's growth across key metrics, the expansion of the customer base, and market reach. He emphasized the robust global demand for DDoS protection and the company's well-positioned stance to take advantage of this growing market. Herberger also highlighted the focus on profitability, positive cash-flow generation, ARR, and revenue growth as the company continues to realize its potential in 2024.

Corero intends to issue its audited FY 2023 results in late March/early April 2024 and will provide an update on the actual date in due course.