Join our daily newsletter At The Bell to receive exclusive market insights
- Software company Prophecy International (PRO) continues to grow subscription-based annualised recurring revenue (ARR)
- For the month of November so far, it has added over $1.8 million of ARR which takes the total to more than $15.4 million
- Prophecy attributes this primarily to its eMite and Snare business units with, eMite — a customer experience and analytics platform — contributing $10.5 million of ARR
- Following suit, the recently launched subscription-based sales model for the Snare cybersecurity product has contributed $4.1 million
- Company shares are up 33.2 per cent to trade at $1.63
Prophecy International (PRO) said it has reported continued growth in subscription-based annualised recurring revenue (ARR).
The software company has added more than $1.8 million of ARR for the month of November so far, which takes its total ARR to more than $15.4 million.
Prophecy attributes the momentum to its eMite, Snare and Legacy business units.
eMite, a customer experience and contact centre analytics platform, delivered significant growth in contracted sales. For the financial year to date, the company signed new eMite customer contracts with first year contract value of more than $3.4 million.
These contracts boosted eMite’s base of ARR to $10.5 million as of November 26, and PRO expects further sales to close in the final days of the month which will give eMite’s ARR and additional boost.
On November 16, Prophecy announced it would make its cybersecurity software product line, Snare, available to purchase on a subscription basis as an on-premise or hosted cloud offering.
The Snare business provides government-recommended or mandated security controls including cyber threat detection, cyber forensics and log management.
Since then, several partners, including Japan-based provider NTT Group and American wireless network operator Verizon Communications, have engaged in the subscription model.
The new sales model was designed to enhance operating and capital expenditure for customers and to support growth in PRO’s base of ARR. Positively, this has helped to grow Snare’s subscription licenses to over $600,000 in ARR and grown maintenance revenue to $3.5 million in ARR.
In addition, the Legacy business unit’s subscription revenue is expected to exceed this year’s forecast by around $200,000.
For the remainder of FY22, Prophecy will focus on expanding sales and marketing, increase eMite sales, seize opportunities and sales for Snare in the US government and defence segment, and identify potential acquisition opportunities.
Company shares were up 33.2 per cent to trade at $1.63 at 1:22 pm AEDT.
