Checkit (formerly Elektron Technology) operates a SaaS platform that digitises and vastly improves the running of routine tasks/workflows, particularly with regards to efficiency, quality, standardisation and regulatory compliance.
In May’19, the group acquired Next Control Systems for £8.8m, with the ultimate aim of becoming a global powerhouse in real time operations management. Whilst simultaneously transitioning towards a pure 100% SaaS business across many sectors including Retail, Hospitality, Healthcare, Real Estate Management and Manufacturing.
There are 190 FTEs, and the firm is headquartered in Cambridge, UK with its Operations Centre in Fleet, and a Sales and Service office in California, US.
House in Order
Checkit plc today announced FY20 Preliminary Results following restructuring, the highlights of which were: the sale of Bulgin and return of £81.0m to shareholders; acquisition of Next Control Systems for £8.8m, subsequently renamed Checkit UK Ltd.; renaming of Elektron Technology plc as Checkit plc; and a renewed focus on cloud-based Software-as-a-Service operational management solutions.
In line with the 14 April 2020 Trading Update on the impact of the COVID-19 pandemic on operations, Checkit has withdrawn outlook guidance. However, there are positive signs arising from: an emphasis on profitable recurring income from Connected Workflow Management (CWM) and Connected Automated Monitoring (CAM) operations; focus on larger enterprise customers such as BP, a FY20 contract win; development of SaaS-based revenue (reported at 30% of revenue); close ties with the NHS; new business opportunities.
In line with the company announcement on guidance we suspend forecasts, whilst noting a current enterprise valuation which stands at a 41% discount to FY20 revenue and 34% discount to the purchase price of Checkit UK Limited.Download Now Missing Out Get our research first
WHY CHOOSE ED
"Many thanks to @equity_research for a superb Investor Forum. $BMK.L , $VLG.L & $VP.L all interesting companies. I recommend these events. "
"We cannot thank you enough for opening our eyes to private investors."
"MHP believes commissioned research is an important part of the toolkit to attract new investors and improve liquidity. We rate ED's analysts and research very highly as one of the leading providers in this space."
"One of the biggest problems private investors have, is getting access to broker research. It’s basically impossible for many investors. Therefore I feel some commissioned research is really important and a good investment for companies. In my experience ED are far more proactive than other firms in this space."
Blogger and Stockopedia Contributor
"There is a need now, more than ever before, for real insight and clarity to be brought to company messages for investors….I would strongly recommend Equity Development to the management of any company."
Small Cap Equity Salesman
"From early days as a private company through to being established on AIM, I have always been able to rely on ED for wise counsel, perceptive research and introductions to new, supportive shareholders."
"I would like to thank and congratulate you, particularly Liz, on your note. It’s short, sharp, pulls out the key issues and I believe will be a valuable asset for our retail outreach."
"The team at ED consistently produce high quality research and highlight profitable investment opportunities, an invaluable tool for small cap investors in this under researched space."
"I thoroughly enjoyed the investor evening again, and as before its good that you get such an interested audience who engage and ask us all decent questions."