- Spend management group Proactis forecast a drop in annual earnings following a fall in sales pinned on the Covid-19 pandemic.

Adjusted earnings before interest, tax, depreciation and amortisation for the year through July were expected at £11.8m, with revenue of £49.2m.

Last financial year, the company booked adjusted EBITDA of £15.1m and revenue of £54.1m.

Proactis said its performance was in line with its expectations and demonstrated the resilience of its business model.

New business deal intake for the year was at a record high amid a 29% increase in total contract value of £14.6m.

The company said it still expected increased levels of total contract value over the coming years.

'This encouraging performance has been achieved despite the impact of Covid-19 which has caused slower pipeline conversion of the group's new supplier-paid solution, bePayd, with prospects temporarily shifting priorities,' Proactis said.

'Overall, the outlook for the new financial year remains encouraging, although the board remains cautious given the macro-economic backdrop and associated risk across new business trends, project implementation deferrals, volume-based contracts and customer solvency.'

'The board looks forward to the next 12 months and is confident of delivering significant value with the business now well positioned and with a pipeline that is building.'

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