LONDON (ShareCast) - (Sharecast News) - Corero Network Security, a specialist in distributed denial of service (DDoS) protection, announced a strong financial performance for the year ended 31 December on Tuesday, driven by increased customer acquisition and subscription-based product demand.
The AIM-traded firm said annualised recurring revenue (ARR), one of its key metrics, rose 16% to $19.5m, while order intake increased 13% to $28.2m.

Revenue for the year was expected to reach $24.6m - a 10% rise from $22.3m in 2023.

EBITDA was set to grow to between $2.1m and $2.5m, up from $1.8m in the prior year, including IFRS 2 share-based charges.

The company said it achieved over 70% growth in new customer acquisition and maintained a high customer retention rate of 97%, reflecting strong demand for its DDoS protection-as-a-service (DDPaaS) and subscription-based offerings.

Corero said it entered 2025 with a robust pipeline and strong exit rates for ARR and new orders, positioning it to meet market expectations for the year ahead.

Cash at year-end stood at $5.3m, with no outstanding debt, while $4.8m in cash receipts from fourth quarter orders were expected early in the first quarter.

"2024 has been a year of significant change for Corero and I am pleased the business has continued to grow as we further strengthened our go-to-market and technology capabilities during my first twelve months as CEO," said chief executive officer Carl Herberger.

"We continue to accelerate our transition to a software-as-a-service based revenue model which is creating a more robust financial footing for the business with ARR increasing at a much higher rate, which has an impact on short-term revenue growth.

"The alignment of our sales and marketing activities to our accelerated go-to-market strategy has generated strong order and ARR growth and our pipeline has never been healthier."

Herberger said continued demand for "Corero's market-leading solution" was supported by its "impressive" customer retention and renewal rates.

"In the fourth quarter of 2024, we announced the launch of our new product platform, CORE, demonstrating Corero's ability to innovate and enhance our position as a technology leader.

"I am confident Corero will leverage its strong business fundamentals and enhanced capabilities to deliver continued growth in 2025 and beyond."

At 1234 GMT, shares in Corero Network Security were down 3.65% at 18.79%

Reporting by Josh White for Sharecast.com.

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