Published on: May 21, 2020
Kape Technologies was one of the first companies to report an uplift in the usage of its products and solutions as the early effects of COVID-19 lockdowns started to be felt around the world. Today’s AGM statement confirms that Kape has continued to trade strongly so far in 2020 with increased demand for its products as remote working has become the norm. It has also made further enhancements to its product offering which, inter alia, will improve user engagement and retention. Kape has been able to reopen regional offices in certain locations while the remainder of its employees successfully continue to work remotely. Management remains confident of delivering the cost synergies outlined at the time of the transformational acquisition of PIA last November and is already seeing an uplift in the growth of new users, from the introduction of Kape’s user acquisition knowhow and technology into PIA. The Group has reiterated guidance for revenues and Adjusted EBITDA of $120-123 million and $35-38 million respectively for the current financial year. We leave our estimates unchanged while noting the positive momentum in the business.