Hi, and apologies about that. We had a technical glitch, which kicked us out of the presentation. So I'll start again, just in terms of just the to get us back into the run of things. So welcome to Datalex H1 2024 results call. In terms of the running order for today, I'm gonna start just highlighting some of the key initiatives and developments for 2024. And Steven, our CFO, is also joining the call, and he will delve into some of the first half of 2024 and the results in a bit more detail. And then I will come back and touch on some of the future plans and enablers for growth. So before I hand you over to Steven, in terms of the key developments, we that we look at during the first half of the year, one of the key ones is the migrations of our airlines to a new product. So in 2023, we signed a number of new contracts and deals with our existing airlines. What is particularly pleasing within that was the investment by a number of airlines to move to the new Datalex product. And this investment is both where the capabilities of Datalex stand today, but also it is a confidence vote on where we plan to bring the product in the future. So when we look at those airlines in terms of Aer Lingus, Edelweiss, and Air China, we continue to migrate those airlines to the new platform during the first half of the year, which is a very, very positive development, which I'll touch on again later on in the presentation. Additionally, at the start of the year, we looked at our delivery model, and we looked at what we wanted to achieve at the back end of 2024 and what we wanted to achieve in 2025, and we asked ourselves, "Is the way we are building product the most efficient and effective way for ourselves and for our airline partners?" On the back of that, we made a, I suppose, a restructure in terms of actually how we develop our products. The main aim here is to streamline the product development and to remove some of the hurdles on relearning which was going on during the initial delivery model which we had. And I'm happy to say that we've completed that review and we initiate those changes in Q2, and we went live with the new model in July. So we're still looking to embed down that new model, and we'll continue to make changes, but it's definitely a step in the right direction of where we want to bring the delivery process within Datalex. Additionally to that, and when we talk about the migration of kind of key airlines to the new product, we are also activating some new airlines onto that product. So, in terms of easyJet, we had our first activation in November 2023 with cabin bags. During the first half of the year, we had the kickoff of our second, I suppose, key activation, which was the start of flight search and capabilities, which we'll be doing for easyJet, and that will ramp up throughout 2024, but easyJet, of course, is a key component for the future growth of the business. Additionally, Air Macau, again, we signed them in December 2022, and we are actively activating them on our latest product suite, and again, we hope to have some announcements on the developments of that during Q3. Additionally, when I joined the business back in November 2023, one of the key goals which we had set ourselves was actually creating a capital structure and a funding position, which supported the growth ambitions of the organization. I'm really happy today that we have announced that we will be kicking off that equity raise in terms of the EUR 25 million capital raise, and that'll be in two aspects. There'll be EUR 17 million placement, and then there will be a follow-on EUR 8 million open offer to the shareholders of Datalex. So this is a key component for the future growth of the business, and again, it is something which I'll touch on in terms of enablers for growth. At this stage now, I'll hand over to Steven, who will bring us through some of the 2024 first half numbers. Thanks, Jonathan. We're pleased to share the interim half year 2024 financial results for Datalex PLC. Attached is a snapshot of our key financial metrics for H1 2024, and a comparison against H1 2023. Let me take you through how we performed against each of these metrics. Revenue in H1 2024 was EUR 13.2 million, a 3% increase versus the same period in 2023. Continued growth in platform revenue was partially offset by a decline in services revenue due to prior year customer terminations. Platform revenue of EUR 7.2 million increased by 14% year on year. The increase in platform revenue is attributable to the ongoing activation of product capabilities of recently acquired customers. We expect to see continued platform revenue growth through H2 2024, as we complete further activations and benefit from the migration of customers to our license and transaction fee model. Services revenue of EUR 5.5 million decreased by 11% year on year. While we saw positive momentum with existing customers, year-on-year decline is due to revenue from Scandinavian Airlines and Virgin Australia not recurring this year. As noted in our FY23 annual report, our contracts with these customers ended last year. These contracts represented EUR 3.5 million of total revenue recognized in full year 2023 that will not recur this year. This will continue to create a drag on year-on-year growth through the remainder of 2024. Moving on to gross profit. Gross profit for H1 2024 was EUR 3.8 million, an increase of 25% year on year. Year-on-year growth is primarily driven by gross margin expansion. A gross profit margin of 29% in H1 2024 grew by five percentage points year on year. This was due to higher margin on services projects. Looking ahead, we would expect to see the gross profit margin percentage to continue to improve through H2, albeit the impact of losing SAS and Virgin Australia will continue to create more of a drag on year-on-year growth in this period. Moving on to operating expenses. Operating expenses for the first half of 2024 amounted to EUR 5.7 million, decreasing 6% year on year, mainly due to a positive FX benefit. We're continuing to manage our operating expense base tightly, driving efficiency in our project delivery and customer activations, and creating capacity to invest further in our technology platform. Adjusted EBITDA. This is defined as earnings before interest, tax, depreciation, amortization, and exceptional items. The group saw an adjusted EBITDA loss of EUR 2 million in H1 2024. This represents an improvement of 37% year on year. The reduction in the EBITDA loss is attributable to gross profit growth and some positive FX gains. Our ambition remains to continue to reduce the EBITDA loss and achieve positive EBITDA in FY 2025. The company recorded a loss after tax of EUR 6.1 million in H1 2024, a slight improvement on the loss for the same period in the prior year. Costs below EBITDA amounted to EUR 4.1 million and are made up of depreciation and amortization, interest, share-based payments, and exceptional costs. These costs increased from EUR 3 million in the prior year due to higher finance costs as a result of a higher debt balance than at the same time in the prior year. Now, moving on to our balance sheet. Attached is a snapshot of our balance sheet. We won't talk through in detail, but we wanted to draw your attention to a number of key pieces. The first one is cash. Our cash on 30 June 2024 totaled EUR 3.5 million. We saw a decrease in cash of EUR 2.3 million during the first half of the year. The second piece is current borrowings. As of 30 June 2024, the group has drawn down EUR 13 million from the Tireragh Limited loan facility. The total facility granted is EUR 15 million. There was accumulated interest of EUR 3.2 million, bringing the total balance on the loan to $17.6 million. In July, we drew down the remaining EUR 2 million associated with this loan facility. As indicated at the beginning of this presentation, our intention is to raise equity capital to repay this debt facility and fund the near-term working capital needs of the business. The key metrics that I've walked through are summarized on this slide. While year-on-year revenue growth of 3% has been hampered by the loss of customers in the prior year, we saw strong growth in gross profit of 25% due to margin expansion and a positive reduction in the EBITDA loss of 37% year on year. With that, I'll hand over to Jonathan to talk through the runway for growth. Thank you. Thank you, Stephen. It's really encouraging to see some of those green shoots in terms of our financials start to impact the P&L, particularly when we look at platform growth and growth, gross margin percentage uplift. While they will be beneficial in 2024, we expect the growth will be more evident when we look at the years ahead. I think when we look at the business as a whole, there's a number of enablers for growth, which we need to, I suppose, act on in order to create a sustainable growth at both top and bottom line. Firstly, one we've already touched on is the funding for growth. We are in a position that we have a very supportive shareholder base. And in particular, the IIU G roup, who have supported us with both debt and continued equity support during the period. I think as Datalex tackled the difficulties associated with COVID, and the support from all the shareholders has been unwavering. Without the support, we wouldn't be in a position today to talk about our H1 results or even talk about the future growth of business. We are also conscious that the current capital structure is not a sustainable model for Datalex, and as I touched on at the top, that is the reason why we have kicked off an equity raise, which will be released to the market today. The details will be. The benefit of this equity raise will be to repay the loans provided by Tireragh, in addition to provide some near-term working capital to grow our product development capabilities. We are delighted that our main shareholders are again supportive of this approach and have confirmed their participation in the equity raise. On the operational front, there are a number of aspects which we are looking at, and areas of, I suppose, legacy hurdles, which we need to address. When we look at that, I've touched on the delivery model. So the delivery model, again, this is a key aspect in terms of our ability to go to market and activate our product solutions in an efficient manner as possible. But aligned to that, we are also looking at our technology stack, and as we migrate customers and activate new customers on our new product, it is really important that we look at what is the, I suppose, the best setup of that tech stack. And we are investing to, I suppose, continue to modularize that tech stack in order for us to enhance our ability to activate our products. So combined with the delivery model and the modularization of our tech stack, where we should see an easier activation of our product solutions. And additionally, we touched on the customer platform migrations. Again, this is a key, key growth and enabler for us, because what this, in essence, creates for the first time in Datalex, where we have a core group of customers who are on the same platform. The benefit of this is we can build product once, but activate it across the whole product, the whole airline product, suite and portfolio. This means that, as Steven touched on, when we see gross margin increase within the P&L, that is something that we should expect to continue to see, in the years ahead. Additionally, as we look at, the customer migrations, the activation of new airlines, we are also looking at, I suppose, complementary capabilities which we can bring to market, and for that reason, we will look at, an additional capital raise when we get into twenty twenty-five to support those future growth ambitions. So as we look ahead and we say, we have a strategy in terms of what we're looking to do with our key airlines and the complementary capabilities we're trying to bring out, there are a couple of, I suppose, financial milestones which we'd expect to see over the coming years. Obviously, 2024, we're looking to strengthen our balance sheet in terms of that capital raise, with a subsequent smaller raise in 2025 to support the product development. The benefit of this and the investment which we have is ongoing with our existing airlines, is we should expect to see product and platform revenue growth, which will be supported by the gross margin percentage growth, during particularly in 2025, with accelerated revenue and margin growth as we continue to develop the business over the years ahead. This will lead to our ambition to be EBITDA positive in 2025, followed by in 2026, our ambition to be cash flow positive for the organization. So in essence, that is the presentation for today, complete. I think I would just like to thank again everyone who works in Datalex for their hard work throughout the half. And I'd also like to thank the shareholders for their continued support and the conversations which we're having and will be having in terms of the equity raise over the coming weeks. But that is it for today. So thank you for joining.
Loading workspace