Blackpearl Group Limited has announced record-breaking interim financial results for H1 2023, driven by strategic initiatives and technological advancements. The company reported substantial increases in key financial metrics, with its Annual Recurring Revenue (ARR) soaring by 221% and gross profit up by 284% year-on-year.
The company's subscription revenue surged by 163% year-on-year, reaching an impressive NZD $1.5 million by the end of September 2023. Meanwhile, its ARR grew by an incredible 221% to a total of NZD $4.6 million.
Furthermore, the Group's gross profit experienced a remarkable increase, rising by 284% year over year to exceed NZD $1 million. The company significantly improved its financial health by eliminating $3 million in liabilities within the six-month period since March 2023.
Nick Lissette, CEO of Blackpearl Group, expressed his contentment with the results. "At Blackpearl Group, we're thrilled to share that our recent financial results are the best we've ever seen. It's all thanks to our smart plans and cool tech improvements. We're always working hard to make things better," he stated.
Nick Lissette highlighted the underlying factors leading to these extraordinary results: "Over the past half-year, Blackpearl Group has balanced exponential growth with a drive towards consistent and recurring profitability. Our NZD $25 million investment in core technology serves as a catalyst that bridges this gap, enabling us to thrive."
Nick Lissette pointed to the swift success of pearldiver.io, which achieved over NZD $1 million in ARR within five months of its launch, as an example of the company's strategic capabilities.
A focused strategy in the United States Small and Medium Enterprises (SME) sector has also paved the way for Blackpearl Group's success, with a client portfolio of over 3,800 contributing to revenue stability and a low churn rate of just 3.3%. The company's strategic acquisitions and a NZD $1.3 million investment in operational growth have further strengthened its presence in the market.
Investments exceeding NZD $25 million in proprietary technology, specifically the Pearl Engine, have been key to the company's recent success. Lissette emphasised the company's commitment to innovation and market expansion, highlighting the central role of the company's strategic investment in the Pearl Engine in bridging the gap between growth and profitability.
Nick Lissette concluded: "Blackpearl Group remains focused on robust growth and assured profitability. Our commitment to innovation, market expansion, and customer-centric product development positions us for significant expansions and new ventures."
"The strategic investment in core technologies, particularly the Pearl Engine, is central to bridging the gap between growth and profitability."
Blackpearl Group achieved several other noteworthy milestones, including reaching an ARR of NZD $5 million as of October 2023 and raising NZD $3.8 million post-September 2023 from placements to wholesale investors and a Share Purchase Plan to retail investors.