Published on: September 23, 2022

Repeat licencing revenue a highlight of H1 22

Tern has delivered a solid set of first-half results and further positive developments post-period. The portfolio is at an inflexion point, with configuration work turning to repeat licencing revenue and aggregated monthly recurring revenues (MMR) increasing 112% in H1. Recent third-party investments and uplifts in value recognised in 2021 and early 2022, coupled with the 35% net asset growth accomplished in 2021, are critical proof points that Tern’s model is delivering. The first Series B round was also successfully completed in the period for FundamentalVR. While the termination of the potentially transformative Pires deal was disappointing, we see significant value creation from Tern’s hybrid VC model and organic growth potential. We believe that recurring revenue growth will attract additional strategic interest and look forward to further positive newsflow.