Newmark Security confident despite some contracts slipping into H2

22nd Oct 2024 11:34

(Sharecast News) - Electronic and physical security systems provider Newmark Security reported continued progress in an update on Tuesday.

The AIM-traded firm, which was holding its annual general meeting, said it had an expanding pipeline of business opportunities alongside a five-year growth plan.

To support its objectives, Newmark said it had made strategic hires and is advancing its product development.

Chairman Maurice Dwek said that in the first half of the 2025 financial year, Grosvenor's Human Capital Management (HCM) division saw robust growth, particularly in the US market.

Strong demand for the GT4 and lower-cost GT4-Lite devices drove sales, with the GT4-Lite successfully competing against its main rival in the low-cost clock market.

Grosvenor's GT Connect platform was also reportedly gaining traction, now processing over 1.1 million punch transactions monthly, with more than 25,000 GT devices connected globally.

Safetell, Newmark's physical security division, had secured new contracts, including deals with a national retailer and a housing trust for automatic door services.

The division had extended existing service contracts with two major banking customers and a petrol retailer.

Additionally, Safetell completed the installation of security systems at a major football stadium and initiated a large retail screen rollout for a national convenience chain.

However, four key projects scheduled for the first half woul;d now take place in the second half of the 2025 financial year, Dwek said.

As with the prior year, the later timing of new contracts meant a larger portion of revenue would be recognised in the latter six months of the financial year.

Despite that, the board reportedly remained confident in achieving further growth and meeting full-year expectations.

Reporting by Josh White for Sharecast.com.