Ava Risk Group Limited (ASX: AVA) (“Ava Risk Group” or “the Company”) today provides a trading update for the year ended 30 June 2021. FY2021 audited results will be reported on 30 August 2021.

Ava Risk Group CEO Rob Broomfield said: “We are pleased to report forecast FY2021 revenue and EBITDA at the top end of our guidance range, showing strong revenue and profit margin growth. Q4 FY2021 saw substantial growth in revenue and orders due to increased demand for remote services and technology to access devices, upgrades and maintenance support. The strong Q4 performance from the Technology Division was due to a pick-up in sales and orders from delayed COVID-19 deals – providing a solid foundation for FY2022. The Services Division continues to outperform as it has adapted to COVID-19 restrictions to ensure delivery of valuable goods for customers.

Group Financial Summary

For the twelve months to 30 June 2021, Ava Risk Group is forecasting total revenue of $64.8m, a 41% increase on pcp. This reflects a strong performance from the Services Division with revenue up 60% to $40.1m, as Ava Global Logistics expanded its customer base and captured a greater share of existing client spend. Whilst the Group is pleased with the record revenue for the Technology Division, up 17% to $24.7m, it is important to acknowledge that COVID-19 limited access to sites and led to delays in decision-making. A weaker US dollar during the year also had a negative impact on FY2021 revenue and profit.

The Group continued to lift profit margins due to operating leverage, ongoing cost discipline and the realisation of operational efficiencies from FY2020.