Trading Update

Journeo plc (AIM: JNEO), a leading provider of information systems and technical services to transport operators and local authorities, is pleased to report an update on trading for the year ending 31 December 2023 ("FY 2023").

As a result of both organic and acquisitive growth and a strong second half, the Group expects to deliver revenue for FY 2023 of approximately £46m, ahead of market expectations.

Strong sales order intake in Journeo's core Fleet Operator Systems and Passenger Information Systems businesses continues and has surpassed the £27m achieved for FY 2022 giving good forward earnings visibility into FY 2024. Whilst no comparative numbers are available, sales activity for the recently acquired businesses, Infotec and MultiQ, is in-line with management expectations.

Sales of lower margin products were higher than expected in H1 2023 and, as reported in the H1 2023 trading update announced on 1 August 2023, this has continued throughout most of H2 2023.

As a result, the Company expects adjusted profit before tax for FY 2023 to be ahead of current market expectations at approximately £3.9m, further demonstrating the Company's resilience and ability to maintain its performance despite the challenging macro-economic environment.

Margins are expected to increase in FY 2024 as the effect of component shortages in supply chains improves, delivery of delayed rail contracts and associated SaaS revenues commence, and the overall business mix changes as the Group's integration programme starts to deliver consolidated products design, unified software and integrated services to its growing international marketplace.

Russ Singleton, Chief Executive of Journeo plc commented:

"Our continued strong performance in FY 2023 is reflective of a carefully laid strategy to work closely with our customers to develop leading technology products and services that encourage the use of public transport, while reducing emissions and traffic congestion. Journeo's acquisitions in 2023 are supporting domestic and international growth while creating more opportunities to integrate systems across transport modes. We have an increasingly compelling offering, which combined with continued government support and investment in the sector is delivering our growth plans together with ever more advanced solutions for our customers."

A digital copy of this announcement will be available on the Group's website: www.journeo.com.