Big Technologies Expects Sales to Fall in 2023

Big Technologies, a remote personal-monitoring company, has announced that its performance for 2023 aligns with both board and market expectations. However, it anticipates a decrease in sales this year due to the conclusion of a major contract.

Revenue for 2023 is projected to reach approximately £55 million ($69.9 million), compared to £50.2 million reported in 2022. This estimate exceeds the company-provided market consensus forecast of £54.3 million.

The company's preferred metric, adjusted earnings before interest, taxes, depreciation, and amortization, is expected to rise to £33 million from £30.5 million, surpassing the market consensus of £32.7 million.

While revenue from a contract with one of Big Technologies' largest customers is expected to terminate in the first half of 2024, the company has secured recent new contracts that are anticipated to partially offset the potential revenue loss.

As a result, Big Technologies predicts that its sales in 2024 will at least match the level achieved in 2022.

"We have significantly expanded our business development efforts in the U.S. market, the largest market in the world for electronic monitoring and substance detection. We expect this investment to accelerate sales growth in the medium term, but the additional costs are expected to reduce operating profit margins in the U.S. in 2024 until new sales are realized," stated the company.