Newmark Security Reports £22M Turnover, 28% Rise in HCM Sector

Newmark Security PLC reports £22 million turnover for the year ended April 30, 2024, up from £20.2 million last year. The company's Human Capital Management sector saw a 28% rise, with annualized recurring revenues reaching £2.9 million.

Nitish Verma
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Newmark Security Reports £22M Turnover, 28% Rise in HCM Sector

Newmark Security Reports £22M Turnover, 28% Rise in HCM Sector

Newmark Security PLC (AIM:NWT) has announced a £22 million turnover for the year ended April 30, 2024, representing a significant increase from £20.2 million in the same period last year. The security and software services group has seen growth across both its People and Data Management and Physical Security divisions, resulting in a healthier cash position of £1.1 million by year-end, up from £0.6 million.

Why this matters: The growth of Newmark Security's Human Capital Management sector has significant implications for the development of talent and skills in midsize organizations, which are crucial for driving business success. As the company expands its services, it may influence the way organizations approach talent development and retention, ultimately affecting their competitiveness in the market.

One of the key highlights is a 28% rise in the Human Capital Management (HCM) sector, with annualized recurring revenues reaching £2.9 million. "This is testament to the success of the strategies being implemented across both divisions to drive customer acquisition, growth in recurring revenues and enhanced customer service," said Marie-Claire Dwek, Chief Executive of Newmark Security.

The company has made operational advancements, including the expansion of the US headquarters for Grosvenor Technology, Newmark's People and Data Management division, to a larger facility in Florida. This move supports the company's transition into a 'hardware-enabled software and services' business.

The Physical Security Solutions division also demonstrated strong performance with significant revenue growth and strategic expansions into new markets like retail and critical public services. Financial stability improved with a £1 million decrease in net banking debt to £2.0 million and an enhanced inventory management system that eased supply chain pressures.

The importance of Human Capital Management in driving organizational success cannot be overstated. An Oxford Economics survey sponsored by SAP found that close relationships between HR and IT are crucial for talent development, optimizing internal processes, and modernizing systems for overall business success. Midsize organizations face challenges in securing or developing talent with the skills required for growth, with 49% of surveyed organizations citing the inability to find the right talent as their greatest near-term risk.

SAP SuccessFactors solutions can help midsize organizations address talent development and retention challenges. The HCM solutions support scalability and match the pace and extent of business growth. They include AI-enabled functionalities such as AI-driven job descriptions, inclusive applicant selection, integrated learning and talent management systems, personalized learning recommendations, and AI-assisted goals. By leveraging these solutions, organizations can create a cohesive strategy for upgrading outdated technologies and implementing modern foundational capabilities to address skills gaps, improve talent development and retention, and enhance the overall employee experience.

Newmark Security PLC's strong financial performance, driven by growth in its Human Capital Management and Physical Security divisions, positions the company well for the future. The £22 million turnover, 28% rise in the HCM sector, and improved cash position demonstrate the effectiveness of its growth strategies. The company remains optimistic about the opportunities building in its markets and the promising sales pipeline for the new financial year.

Key Takeaways

  • Newmark Security PLC reports £22m turnover, up from £20.2m last year.
  • Human Capital Management sector grows 28% with £2.9m annualized recurring revenue.
  • Company expands US headquarters for Grosvenor Technology in Florida.
  • Physical Security Solutions division shows strong revenue growth and market expansion.
  • Newmark Security's cash position improves to £1.1m, up from £0.6m.