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Portia AI, a London-based startup building open-source tools for production-grade AI agents, has raised £4.4m in seed funding. The round was led by General Catalyst, with participation from First Minute Capital and Stem AI. The funding will be used to expand the team, roll out new features, and accelerate development of its software development kit (SDK) and cloud platform, which aims to give developers more control, predictability, and security when deploying autonomous agents into real-world applications.
The startup emerged from stealth in March 2025 with a mission to solve one of the biggest bottlenecks in AI deployment: reliable and secure agent behaviour in production. The company’s two founders, ex-Stripe and Google leaders Emma Burrows and Mounir Mouawad, bring a wealth of experience and connections. Burrows previously served as CTO of Stripe UK and built the London engineering team, while Mouawad led major product expansions at Stripe and Google Pay across EMEA.
Portia’s SDK allows developers to build agents that are not only autonomous but also transparent and steerable. Agents built with Portia can generate explicit plans, validate critical actions with human input, and interact securely with external tools via just-in-time authentication. This level of control is essential in industries like financial services, where compliance and auditability are paramount. The platform’s open-source approach is supported by a cloud layer that includes a growing library of pre-integrated tools like Slack, Zendesk, and GitHub, enabling rapid customisation and deployment.
As the adoption of AI agents continues to grow a number of suppliers, both startups and more established alike, are building not just GenAI-led solutions but tools and platforms to facilitate the development and management of AI agents (for another example, see - Mindset AI raises £4.3m for embedded AI agents). Organisations are quickly realising that building GenAI agents, especially as they move from POC’s to production, requires more than just interfacing with LLM’s. Improving predictability and control, monitoring hallucinations, managing governance and security requirements, and ensuring secure integration with other applications are all factors that require attention when building AI solutions. Such challenges are creating great opportunities for suppliers offering innovative solutions that provide more control and transparency from the build phase through to deployment, fine tuning and ongoing management.
Posted by: Simon Baxter at 09:25
Things were always going to get worse before they got better for Atos' top-line.
And that was particularly true in the UK&I. New UK&I CEO Michael Herron said in our recent ‘View from the Top’ podcast (see *Watch now*: View from the Top - Atos UK&I's new CEO Michael Herron | TechMarketView) that 2025 would be about ‘fixing the foundations’ to return to growth in 2026. Moreover, as we highlighted in Atos FY24: Green shoots after a challenging year | TechMarketView, there is also a large revenue hole to fill in the UK numbers following the end of Atos’ large Department for Work & Pensions’ BPO contracts last year (Capita to deliver new £565m Functional Assessment Service | TechMarketView).
This has all played out in the Q1 25 numbers. The UK&I’s revenue fall was the most dramatic of all the geographies during the period, down 28.8% organically to €309m. Within that picture, Eviden revenue decreased double digits, with digital revenue decreasing due to Public Sector market softness, while Big Data & Security (BDS) remained stable. Tech Foundations’ revenue followed a similar trajectory, primarily due to the aforementioned BPO contract; that contract alone is estimated to have provided Atos with €240m per annum of revenue.
These UK&I results are however all in line with expectations as it is understood that Herron has hit all UK&I Q1 financial budget targets (Orders Entry, Revenue, Margin & Cash) that he inherited, and is also aligned to the strategy that he set out of exiting low-margin non strategic contracts and positioning for work with Atos’ core strategy in digital services. Herron has made a fast start on this front with the recent signing of new major strategic deals across both public and private sector with a large future end user services contract with DEFRA (see Atos UK&I rebound: Defra win provides major boost | TechMarketView), a Manufacturing Execution System (MES) architectural framework in the aerospace and defence sector and several contract renewals and extensions across existing public and private sector clients in Q1.
A similar picture emerges across other geographies, with the revenue drop in North America almost as dramatic, down 27.6% to €309m. Overall, Group revenues fell organically by 15.9% to €2,068m. Eviden was down 14% €973m, and Tech Foundations was down 17.5% to €973m. The performance reflects the knock-on effect of the uncertainty surrounding Atos’ financial resilience felt by clients in 2024, and the related unwillingness to commit, which was particularly apparent when it came to new logo pursuits.
If you can avert your gaze from the big revenue drops for long enough, it is still possible to discover small green shoots of recovery. The Group Book-to-Bill improved compared to Q124, standing at 81% - an improvement of +17 bps, as client confidence began to return post the financial restructuring conclusion in December. The Tech Foundations improvement was particularly striking, with the ratio standing at 81%, compared to 47% a year previously. The other good news was that estimated cash consumption was limited to -€40m in the period vs. -€415m in Q124.
It remains the case that all eyes will be on the Capital Markets Day and the announcement of the new mid-term strategy and organisation update led by new CEO Philippe Salle on 14th May.
Posted by: Georgina O'Toole at 08:50
Tags:
results
IT+services
Runnymede Borough Council has partnered with AIX-listed TechnologyOne to replace its on-premise financial system (in place since 2003) with the company’s OneCouncil Financials platform.
OneCouncil will be implemented under TechnologyOne’s “SaaS+” implementation model (which combines SaaS provision with implementation, running, support and upgrades into a package designed to migrate risk from client to supplier – see TechnologyOne: Connected systems for seamless digital experiences). The contract is worth £1.6m over ten years, with an option to extend for a further five one-year periods.
Runnymede is keen to modernise its financials platform and improve its data-based decision making, taking advantage of what Paul French, the council’s Corporate Head of Finance, describes as “a more efficient approach to delivering services”.
TechnologyOne continues to show strong momentum in both the UK Local Government and Education markets, with UK ARR up 70% in its FY24 results (ended 30th September 2024), see University of Chester selects TechnologyOne for cloud ERP).
Posted by: Craig Wentworth at 08:37
Tags:
contract
modernisation
SaaS+
Local Government
Financial Systems
Fujitsu has been awarded a new public sector contract worth up to £125m by the Department of Finance, Land and Property Services (LPS) in Northern Ireland. The Japanese IT services provider successfully defeated more than 10 rival bidders during the tendering process. The contract, which came into effect on 1 April 2025, has an initial term of 15 years, plus the option of an extension of up to 3 three years.
The deal will see Fujitsu develop a modern, digitally enabled IT solution to support the ongoing transformation of the Land Registry Service in Northern Ireland. As part of the transformation, Fujitsu will replace a variety of aging stand-alone legacy systems with a new digital land registration solution that supports the design and delivery of joined up services.
The original tender notice indicated that the new solution will be user friendly and customer focused, supporting web-based technologies and digital self-service platforms, whilst seamlessly integrating with the LPS Enterprise Integration Platform. The technology initiative is intended to future-proof the operations of the Land Registry Service in Northern Ireland in respect of its ongoing business needs.
This significant public sector win is good news for Fujitsu and appears to demonstrate the UK government’s confidence in the vendor as it continues to rebuild its reputation following the Post Office Horizon scandal. 2024 was a challenging period for Fujitsu, both within the Public Sector and the Province, with revenues down 10% in Central Government and Defence, and the termination of the EdIS Strategic Partner and School Management System contract with the Northern Ireland Education Authority (see: Public Sector Supplier Prospects 2025 and Beyond).
Posted by: Jon C Davies at 08:36
Cambridge-based digital health platform Healthera has raised an additional £2m in funding, bringing its Series A round to £5.6m in total. The round was completed by private investors through the network of Committed Capital, who led the investment. We covered the startup's previous funding from Serafund back in 2022 (see here). Previous investors in Healthera include Cambridge Enterprise, Accelerated Digital Ventures (Legal and General), NHS England, and Innovate UK.
Healthera was founded by Cambridge University graduates Quintus Liu, Martin Hao, and Jin Da in 2015. Its platform provides users with the ability to manage prescriptions and book pharmacy services. It also offers a service for pharmacies to create their own branded version of the app to better engage with patients and drive customer loyalty.
Healthera has grown rapidly since its launch and has established a strong position in the UK pharmacy market, claiming it now services more than 1,700 pharmacies. The company is looking to use the new funds to accelerate growth, particularly through expansion into North America.
Posted by: Marc Hardwick at 08:29
Tags:
funding
startup
app
healthcare
pharmacy
Posted by: HotViews Editor at 07:00
The humble British pound first emerged in coin form during the reign of Henry VII, and as a note when William III and Mary II jointly occupied the throne in 1694. Based on a recently released report from the Bank of England into the technical feasibility of implementing offline payment functionality for a digital version of the pound, it isn’t immediately clear if this 21st century solution will enter everyday life with Charles III as monarch or William V (or if at all).
Why the uncertainty, you may be wondering. It clearly isn’t due to a lack of technical proficiency involved in the experiment, given that the Bank has worked with several notable companies and consultancies – Thales, Secretarium, IDEMIA Secure Transactions, Quali-Sign and Consult Hyperion – to assess different approaches to offline payments. And for uninitiated amongst you, an offline payment is defined by the Bank as one that “occurs while neither the payer nor payee has access to the central bank digital currency network, usually due to a lack of an internet connection”.
The study has shown that although it’s technically feasible to implement offline payment functionality, this comes at a price. If the UK does fully implement a digital pound in the future, the Bank will have had to overcome the perennial problem of counterfeiting (AKA the world’s second oldest profession), the issue of double-spending (a major computing problem which cryptocurrencies must solve) and found a way to deliver a user experience which is seamless, secure and simple.
The Bank has made clear that if a digital pound was introduced, it would not replace cash. Indeed, it’s long been said that ‘cash is king’. As to which king will be reigning, this remains to be seen. We will keep watching with interest, as it’s worth spending time monitoring developments.
Posted by: HotViews Editor at 10:00
Tags:
report
digital
currency
Mindset AI, a London based provider of an embedded AI agent platform has raised £4.3m in funding to support the development of its natural language programming interface, expand its APIs, SDKs, and no-code tools, and scale its go-to-market efforts. Prior to this round, it has raised £3.79m from Mercia and angel investors.
Led by CEO Barrie Hadfield, Mindset AI has built a platform that enables organisations to build, manage and deploy embedded AI agents with natural language. Mindset has an interesting business model, rather than trying to sell a bespoke AI model or solution, it is instead focused on enabling organisations to embed white labelled AI within their own solutions, synced with content library’s, knowledge bases or business systems. The business currently has solutions tailored to three areas: Edtech, Employee training and Training organisations. For example, in Edtech it will enable such organisations to turn static eLearning content library into conversational agents that talk with learners.
An example of the platform in practise is with Training Industry, a resource for L&D professionals, which has over 200k monthly website visitors and a wide-ranging library of articles, podcasts, webinars, and research on corporate training. Working with Mindset, Training Industry launched an AI assistant ‘Tia’ as a new membership product. The AI allowed users to find the exact moment in a video or the right paragraph in an article, boosting productivity and improving the user experience. Mindset’s APIs allowed Training Industry to launch Tia in weeks rather than months as well as white-label and embed the AI to preserve its brand.
The pricing model is also interesting, packages start at £1.25k a month, providing white labelled apps, customised branding, configurable agents, as well as features such as data and analytics report and monetisation features. The company is positioning itself as a cheaper alternative for organisations who don’t want the large expense of building a bespoke solution on AI platforms like AWS Bedrock or Google’s Vertex. It is also positioning its AI approach as a way to help companies grow revenue by launching new AI enabled products – a smart move in my view. Mindset’s approach is not necessarily unique, there are a number of similar platform on the market, but they have leaned heavily into the white labelling of the AI, more so than other suppliers we have spoken to. Getting AI apps off the ground quickly and aligning it with clear revenue returns is crucial in the market at present, and Mindset seems to have firmly grasped this, positioning itself well for future growth.
Posted by: Simon Baxter at 09:52
Data migration and orchestration specialists, Cirata (formerly known as WANdisco) has released a trading update for the first quarter of FY25.
As we reported at the end of the company’s FY24 (see Cirata comes up a long way short), sluggish bookings (just over $7.1m for the year, despite a late rally in Q4) had become the order of the day for Cirata, with larger deal slippage and elongated bid cycles becoming something of a new normal for the company.
Q4 2024’s sales improvement appears to be holding, though – with Cirata now posting its strongest Q1 since FY19. Total bookings January-March were $3m, up 330% year-over-year – driven by a multi-year enterprise-wide data integration (DI) contract with an unnamed “leading UK retailer”. DI has been the company’s core growth driver – representing 80% of bookings in Q1 by contract value (five of the quarter’s 14 contracts signed were DI). Cash burn has been slowed too – down to $1.4m from $4.9m at the same point last year (and $11m the year before that).
CEO Stephen Kelly praised Cirata’s strong start to the year as building the foundations for what he referred to in January as the company’s post-recovery growth year (a turnaround label initially applied to FY24, before actual performance put paid to those earlier ambitions – see Cirata’s groundhog days continue). However, even $3m’s worth of Q1 swallows does not a summer make – and as Kelly rightly pointed out in his statement, “Cirata needs to demonstrate more new logo wins” to power the company’s next phase. We await more numbers as the year progresses.
Posted by: Craig Wentworth at 09:00
Tags:
results
The adoption of Agentic AI is one of the big trends of 2025 as AI agents increasing become our new co-workers. It's also one of the key ways in which Government is looking to drive much needed productivity improvements. To capitalise on these dynamics Leidos and Moveworks have announced a partnership aimed at introducing ‘enterprise-grade’ Agentic AI assistants into government agencies across the US, UK, and Australia, bringing together Leidos' government experience and cybersecurity expertise alongside Moveworks' AI assistant tech.
Leidos is extremely well positioned in UK Public Sector at a ‘Top 20 supplier’ particularly in Defence and Central Government (you can read our take on their prospects here), whilst Moveworks is in the process of becoming part of the ServiceNow stable (see - ServiceNow acquires Moveworks for $2.9bn). Together, they aim to help government employees automate routine administrative tasks including device management, database navigation, and email drafting, allowing staff to focus on higher value activities.
The two firms already have a track record, having worked together since at least late 2023, where Moveworks' AI assistant "Iris" has been used to improve Leidos' internal IT support across the business. The AI assistant uses language models specifically tailored to Leidos' workplace terminology and integrates with enterprise systems including Microsoft Teams and ServiceNow.
The partnership makes a lot of sense, with a key enabler being Leidos' work helping Moveworks achieve US government security certification ready status, ensuring its AI solutions meet stringent federal compliance requirements. This addresses a critical barrier that has historically slowed government adoption of commercial AI technologies. Partnerships such as this are part of a broader trend of government modernisation efforts incorporating AI capabilities while maintaining necessary security controls. This partnership appears well positioned to capitalise on growing government interest in workforce productivity enhancements through responsible AI implementation.
Posted by: Marc Hardwick at 08:56
Tags:
partnership
public sector
AgenticAI
CGI has announced the expansion of its Universal Virtual Flight Recorder (UVFDR) initiative, developed in partnership with the European Space Agency (ESA) and the UK Space Agency. This new phase introduces CGI VirtualFlightRecorder, a proprietary IP solution built on AWS, designed to enhance aviation safety globally.
This development builds on CGI's work with ESA that we highlighted in August last year (see CGI takes key role in revolutionising civil security from space | TechMarketView), when the company secured a contract for the Civil Security from Space programme.
At its core, the solution addresses a critical aviation challenge: ensuring flight data remains accessible even in emergencies. By replicating traditional "black box" recorders in a cloud environment, the system transmits and securely stores flight data in real time. CGI's implementation uses blockchain technology to guarantee data authenticity and integrity—essential for regulatory compliance and accident investigations.
The timing is particularly significant as the aviation industry moves toward alignment with the International Civil Aviation Organization's Global Aeronautical Distress and Safety System (GADSS) standards. These requirements, developed in response to high-profile incidents such as Malaysia Airlines Flight 370 and Air France Flight 447, mandate improved aircraft tracking and timely access to flight data, addressing limitations that led to complex and costly search efforts in the past.
A diverse ecosystem of partners supports the extension, including Cranfield University's Safety and Accident Investigation Centre, Code Magus Limited, Satellite Authorisation Systems, and AWS. The solution will be tested using Cranfield's Flying Laboratory, providing real-world validation in emergency scenarios.
Beyond aviation safety compliance, CGI's solution opens opportunities for operational efficiency improvements. As stated in the press release, the system will "empower aviation stakeholders with a cost-effective, reliable tool to enhance operational efficiency" while meeting international safety mandates.
This project exemplifies CGI's "doing complex things well" positioning in the UK market. By developing IP through strategic partnerships with organisations such as space agencies and academic institutions, CGI's ability to create assets that can be commercialised across multiple sectors is significantly enhanced.
Posted by: Georgina O'Toole at 08:56
Tags:
contract
space
aviation
AI
IP
blockchain
UK neobank Starling has launched a new US subsidiary for its software arm as it looks to sell its Engine offering into North American market. Registered in Delaware, Engine by Starling Services US LLC is currently recruiting as it looks to build a local team to work alongside staff from the company’s UK-operations.
Starling first announced its intentions to enter the market as a technology vendor in 2021 with the formal creation of Engine following in 2022. Utilising Starling’s modern in-house developed technology platform, Engine initially promoted its cloud-based SaaS offering within mainland Europe, targeting companies looking to establish their own banking operations in a fast and cost-effective manner.
Since its creation, Engine has so far enjoyed a couple of successes, firstly with the signing of Romania's Salt Bank. Bucharest headquartered Salt Bank, (formerly Idea Bank), is a subsidiary of Banca Transylvania, the largest banking group in South-Eastern Europe. Australian financial services giant AMP subsequently selected Engine to help it develop new app-based banking services using the vendor’s platform.
Starling’s diversification is an interesting strategic move that highlights the increasingly blurred lines between the financial services and technology sectors. For the most part, banks and insurers have historically tended to sell the rights to their in-house developed platforms to technology vendors, rather than promoting them direct to the market themselves.
Whilst the appeal of tapping into the lucrative US banking software segment is clearly apparent, this market has many idiosyncrasies that can make it hard for overseas banking vendors to break into. However, the traditional and outmoded operations of many US banks (especially in “Middle America”) means that there are potenitally signifcant opportunities for a modern, cloud-based offering. Of course, Engine will not be alone in trying to plough this furrow.
Posted by: Jon C Davies at 08:40
Posted by: HotViews Editor at 07:00
The NATO Communications and Information Agency (NCIA) has acquired Palantir's Maven Smart System (MSS NATO) for use by Allied Command Operations (ACO), headquartered at Supreme Headquarters Allied Powers Europe (SHAPE) in Belgium.
The platform, which integrates advanced AI for intelligence analysis and battlefield decision-making, marks a pivotal shift toward technology that directly impacts combat operations. The procurement was completed in just six months, demonstrating an acceleration in military AI adoption that aligns with our December UK Defence tech market predictions (see UK Public Sector Predictions 2025 | TechMarketView).
The deal strengthens Palantir's position in the defence sector, with this NATO-wide implementation establishing it at the forefront of military AI applications and reinforcing CEO Alex Karp's characterisation of the company as a "software juggernaut" (see Palantir: Software juggernaut embraces disruption | TechMarketView).
What distinguishes MSS NATO is its focus on core military functions rather than back-office processes. The system enables commanders to leverage various AI technologies—from large language models to machine learning—for intelligence fusion, targeting, and faster decision cycles. This exemplifies the practical application of AI we forecasted in our Defence Predictions, where implementation is now moving beyond governance discussions to operational deployment.
The initiative also reflects our prediction about "multi-domain data exploitation," as NATO addresses the challenge of managing complex information across different operational domains. By implementing centralised AI-driven analysis at its strategic headquarters, NATO aims to enhance command-level decision-making that will ultimately influence battlefield outcomes.
While the UK Ministry of Defence has awarded EA Lite contracts to British SMEs like Oxford Dynamics (Oxford Dynamics secures £2m GenAI deal with MoD | TechMarketView) and Adarga (Adarga wins £12m R&D deal with MOD | TechMarketView) over the last few months—also representing agile procurement approaches but at a smaller scale—this Alliance-wide implementation demonstrates NATO's commitment to enterprise-level AI. The expediency suggests NATO is adopting lessons from Ukraine's technological adaptation, prioritising immediate operational benefits across its command structure.
The development indicates how AI is transitioning from experimental projects to mainstream military applications, with Palantir delivering a key advancement in warfighting capabilities.
Posted by: Georgina O'Toole at 10:06
Tags:
contract
defence
software
AI
defencetech
Gateshead-based equiwatt has raised £700k in funding from the North East Venture Fund (which is supported by the European Regional Development Fund and managed by Mercia Ventures) and private investors.
The company provides a free consumer app that allows businesses and householders to take part in demand flexibility schemes designed to take pressure off the country’s energy grid at peak times (earning points – redeemable for gift vouchers or charity donations – as they do).
It partners with energy suppliers to help them roll out loyalty schemes tied to energy usage reduction (handling energy market trading and flexibility market grid event management) – enabling them to access the National Energy System Operator (NESO)’s Demand Flexibility Scheme (DFS) through the equiwatt app itself, or by using the tech as a white-label solution. equiwatt intends to use the new funds to roll out a new SaaS platform for utility companies and low-carbon tech manufactures.
Reduction in consumption of any and all energy, as well as the transition to low-carbon alternatives, is an important part of the UK’s net zero journey. Data from TechMarketView’s upcoming Sustainability Technology Activity Index shows that, worldwide, the Energy sector is the most active in terms of sustainability-related activity at the moment (accounting for 21.6% of all activities logged by the Index in 2024, in third place behind Professional Services – accounting much of the work in ESG reporting – and Manufacturing).
Look out for the latest Sustainability Technology Activity Index reports, coming soon – with in-depth analysis of the global picture (segmented by sector, use case area, and technology) and what the activity trends are telling us in uncertain times, plus deep dives into the UK market specifically. This research is available only to subscribers of SustainabilityViews. If you are not yet a subscriber, or are unsure if your company has a subscription, please contact Belinda Tewson to find out how you can gain access.
Posted by: Craig Wentworth at 09:58
Tags:
funding
energy
NESO
The UK government has announced a £121m investment into quantum technologies, aiming to revolutionise sectors from finance to healthcare, while solidifying the country’s status as a global leader in the field. The funding was announced yesterday marking World Quantum Day and is part of the £1bn public-private partnership-backed National Quantum Technologies Programme, a collaborative scheme involving government, industry and academia.
The new funding spans multiple programmes including; £46m through Innovate UK to accelerate the deployment of quantum technology across a range of sectors, including computing, networking, PNT (position, navigation and timing) and sensing; £21m to further the work of the National Quantum Computing Centre, including their testbed programme with Innovate UK, with support from the Quantum Software Lab; and £10.9m for the National Physical Laboratory’s (NPL) quantum measurement programme to encourage more businesses to make full use of the technology.
This latest funding injection forms a key pillar of the government’s “Plan for Change” and underscores a growing ambition to translate quantum theory into practical tools that can boost economic growth and create jobs, as well as tackle challenges such as spotting the first signs of fraud and halting money laundering. The ability of Quantum computers to analyse complex datasets and reveal intricate patterns is already being tested by organisations such as HSBC, who in collaboration with the National Quantum Computing Centre (NQCC) is using the technology to identify fraudulent activity and suspicious financial transactions in real time. Beyond financial crime, quantum innovations are being steered toward healthcare breakthroughs, enhanced energy grid management, and next-gen cybersecurity.
Whilst financial services has been one of the industry’s most mature in terms of quantum adoption, the technology has broad applications for optimising complex problems across transportation, material and drug development and cybersecurity. The threat of quantum computers breaking traditional cryptography is also proving to be a strong driver for firms to update existing systems and infrastructure, with the NCSC recently publishing a report saying Post-quantum migration should be underway by 2028.
You can read more about the current state of the UK Quantum computing market in our report: Quantum acceleration is on the horizon, available to all TechSectorViews subscribers.
Posted by: Simon Baxter at 09:50
Driven by its work with the State of California, AIM-listed digital mental health business Kooth plc, achieved significant growth in FY24 (year ended 31st December 2024), doubling group revenue to £66.7m (2023: £33.3m).
Gross profit for the year was £52.0m (2023: £25.9m), operating profit was £9.2m (2023: loss of £2.3m) and profit before tax was £8.0m (2023: loss of £2.0m). Adjusted EBITDA was £15.8m (2023: £2.3m), with increases in revenue and gross profit offset by Kooth’s investment in the US and higher administrative expenses. Management expects EBITDA growth, which was driven by the onboarding and ramp up of services in California, to return to ‘more typical levels’ in 2025. Cash and cash equivalents were £21.8m (2023: £11.0m).
Although US revenue increased to £48.7m (2023: £14.2m), representing 73% of group revenue (2023: 43%), UK revenue decreased by 6% to £18.0m (2023: £19.1m). The situation in the UK was blamed on NHS budgetary pressures, with £2.0m of churn being offset by contract expansion upon renewal with other NHS clients.
In October 2024, Kooth announced it had received communication from the State of Pennsylvania (where it is running a pilot study) exercising its right to terminate the contract. However, there was more positive news, with the company announcing pilot contracts with the State of New Jersey and Aetna Better Health in Illinois (the latter representing Kooth's first US private-sector partnership).
It was an exceptional year for Kooth; however, as we have previously warned, the company’s reliance on its California contract makes it vulnerable to change. In October 2024, an article in the California Healthline publication regarding uptake of the service in the state (which Kooth stated was based on outdated information) and conflict of interest allegations contributed to a 50% drop in its share price. Kooth’s share price has fallen further in 2025; however, at the time of writing it was up 13% in today’s trading.
Kate Newhouse, who is due to take over from Tim Barker as CEO in June 2025, has a good platform for growth, but recent success is almost entirely down to a single contract. Newhouse will need to focus on building resilience in the face of continued political uncertainty in the US (particularly concerning Medicaid funding) and expanding Kooth’s footprint in other markets.
Posted by: Dale Peters at 09:46
Tags:
results
nhs
health
USA
healthcare
mental+health
Posted by: HotViews Editor at 07:00
AIM-listed billing and CRM solutions provider, Cerillion, has published a trading update reflecting lower revenue and reduced profitability during the first half of the current fiscal. The update for the six months ending 31 March 2025 revealed that revenue is expected decline by 7.1% year-on year, to come in at around £20.9m whilst adjusted EBITDA is expected to be down by 9.1% at around £10m.
The interim declines come after a sustained period of consistent strong growth for Cerillion which enjoyed a double-digit revenue increase in its last full fiscal (FY24). The company’s management explained that the interim revenue shortfall reflects a higher weighting of software licence renewals and extensions in the second half of FY25, compared to FY24, when the majority of these occurred in the first half. Cerillion has also indicated that its sales pipeline of remains “very strong” and is actually ahead of last year's record level.
In January 2025 Cerillion secured a major new contract win worth $11.4m, which was followed up in March with a renewal worth £5.4m with a major European customer. The vendor has also confirmed that another significant European customer recently committed to use its software, with this major migration programme expected to boost revenue through into next fiscal. As a result, Cerillion appears well-placed to meet market expectations for the current financial year and beyond, despite a seemingly below par performance in H1.
Posted by: Jon C Davies at 09:33
It looks like Kainos is stabilising under returning CEO Brendan Mooney (Kainos brings back Brendan Mooney) with this morning’s trading update outlining a mixed performance for FY2025, meeting consensus forecasts despite market headwinds. The IT services provider saw business improve in the final quarter of the year achieving a low single-digit expansion in Q4, balancing growth with profitability in a pretty volatile economic environment.
The standout performer was its Workday Products division, which reached £72m in Annual Recurring Revenue, positioning Kainos well toward its £100m ARR target by 2026 and longer-term £200m goal by 2030.
Digital Services saw a recovery in public sector revenues in H2 following election-related delays, with healthcare and international segments showing growth. However, commercial sector activity remained significantly below previous year levels.
Workday Services continued to face challenges with subdued demand driving further reductions in H2, though management notes early signs of recovery, particularly in international markets including Australia and New Zealand.
The company recently completed a restructuring resulting in 190 staff departures but maintains that its market position remains strong with clear long-term structural growth drivers, including AI opportunities. Full year results will be announced on May 19th when we will report more.
Posted by: Marc Hardwick at 09:04
Tags:
IT+services
trading update
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