Trading Update

Intercede, the leading cybersecurity software company specialising in digital identities, today announces the following trading update for the financial year ending 31 March 2025 (FY25).

As highlighted in the announcements dated 8 January 2025, 12 March 2025 and 2 April 2025, Intercede's underlying trading performance has continued to show strong momentum for the year, compared to market forecasts. The Group is pleased to announce that, subject to the completion of the year end audit, revenues for FY25 are expected to be approximately £17.7m (2024: £20m), 11.4% lower than FY24, with the previous year benefiting from an exceptional perpetual licence and associated support and maintenance order of c£6.3m. The Group's revenues are 9.6% lower on a constant currency basis. Recurring support & maintenance and subscription revenues of c£10.2m represented c58% of total revenues, reflecting the continued progress in licence wins and low churn rates.

The combination of strong revenues and high operational gearing is expected to result in improved forecasted profitability, subject to completion of the year end audit.

As at 31 March 2025, gross cash balances totalled £18.7m (2024: £17.2m), even after the Group had exceptional cash outflows of c£0.9m, relating to Share Buy Backs (£0.42m) and change in R&D tax election resulting in a repayment of £0.44m from the FY23 R&D cash claim and foregoing a FY24 forecasted R&D cash claim of c£0.5m-£0.6m. The key purpose for the R&D tax election change is to ulitise R&D expense deductions against the Group's future taxable profits. The Group has no debt.

Further details will be provided within Intercede's final preliminary results which are expected to be published in June 2025.

596/2014) which is part of UK law by virtue of the European Union (Withdrawal) Act 2018.