Wednesday 15 September 2021 7:47 am

Darktrace hikes revenue forecasts after punchy start to listed life

Cybersecurity firm Darktrace this morning hiked its revenue forecasts for 2022 as it made a strong start to life as a listed company.

The company said that it expected revenue growth of 35 to 37 per cent next financial year, the second time in recent months that it has upped its predictions.

The confident outlook comes on the back of a year in which revenue at the firm jumped 41.3 per cent to $281.3m.

However, Darktrace, which listed back in April, said that its operating loss had increased to $38.5m from $24.9m the previous year.

It added that this was largely the result of extra costs connected to its IPO, which saw the British tech darling valued at £1.7bn.

In the six months since listing Darktrace’s shares have gained 90 per cent, and now sit at 630.00p.

Freetrade’s senior analyst Dan Lane said that today’s results would be the “cherry on top” for the firm.

“Revenues slightly pipping punchy expectations will be the cherry on top this morning and the market will sit up and take notice of a huge hike in customer numbers too.

“Both measures could see the cybersec firm en route to profitability in the next few years, if it can do something about those eye-watering ad hoc losses. But investors need to keep a close eye on renewals as well as new business.

“Despite raised guidance for FY 2022 this morning, the current portfolio really needs to be taken care of just as much as any new money coming through the door. Product innovation could help keep customers on board but however they do it, they need to fully cement relationships before the next competitor, new or old, joins the party”, he finished.

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