Proactiveinvestors Australia Corero Network Security PLC Proactiveinvestors Australia Corero Network Security PLC RSS feed en Thu, 20 Jun 2019 01:50:36 +1000 Genera CMS (Proactiveinvestors) (Proactiveinvestors) <![CDATA[RNS press release - Appointment of Vice President Worldwide Sales ]]> Wed, 12 Jun 2019 16:00:06 +1000 <![CDATA[RNS press release - Result of AGM ]]> Tue, 21 May 2019 20:18:09 +1000 <![CDATA[RNS press release - Posting of Annual Report and Notice of AGM ]]> Thu, 25 Apr 2019 16:00:09 +1000 <![CDATA[RNS press release - Full year results ]]> Thu, 11 Apr 2019 16:00:05 +1000 <![CDATA[RNS press release - First Juniper resale customer win ]]> Tue, 02 Apr 2019 17:00:22 +1100 <![CDATA[RNS press release - Notice of Results ]]> Mon, 04 Mar 2019 18:00:08 +1100 <![CDATA[RNS press release - $1.6 million of customer orders secured ]]> Tue, 26 Feb 2019 18:00:06 +1100 <![CDATA[RNS press release - Grant of Options ]]> Mon, 07 Jan 2019 18:00:05 +1100 <![CDATA[RNS press release - Directorate Changes ]]> Thu, 03 Jan 2019 18:01:02 +1100 <![CDATA[RNS press release - Trading Update ]]> Thu, 03 Jan 2019 18:00:10 +1100 <![CDATA[RNS press release - Corero secures orders totalling over $1.0m ]]> Wed, 19 Dec 2018 18:00:03 +1100 <![CDATA[RNS press release - Issue of Equity ]]> Tue, 30 Oct 2018 01:18:38 +1100 <![CDATA[RNS press release - Customer wins ]]> Tue, 23 Oct 2018 17:00:02 +1100 <![CDATA[RNS press release - Grant of Options ]]> Mon, 22 Oct 2018 17:00:07 +1100 <![CDATA[RNS press release - Holding(s) in Company ]]> Fri, 19 Oct 2018 22:06:53 +1100 <![CDATA[RNS press release - Holding(s) in Company ]]> Fri, 19 Oct 2018 18:58:47 +1100 <![CDATA[RNS press release - Completion of Subscription and Total Voting Rights ]]> Fri, 19 Oct 2018 18:40:24 +1100 <![CDATA[RNS press release - $2.0 million investment from Juniper Networks ]]> Mon, 15 Oct 2018 17:00:04 +1100 <![CDATA[News - Corero Network Security is turning things around ]]> It’s about two years since Corero Network Security PLC (LON:CNS), a specialist in cyber-threat blocking, changed tack after suffering order delays.

In common with a number of software companies, it is moving away from the “one licence per user” model, with its lumpy revenues, to an “as a service” (AaS) model, which traditionally results in an initial hit to revenues, as there are no more big up-front payments when a new customer signs up or an existing one renews.

WATCH: Juniper deal opens big market for Corero, says CEO Stephenson

On the plus side, an AaS model is generally regarded as being better for recurring revenues.

The argument goes that because AaS customers stump up on a pay-as-you-go basis, the monthly bite-sized payments are less likely to make a customer’s chief financial officer have a fit than an annual or bi-annual big licence renewal.

Legacy product revenue on the decline – as expected

It is early days, still, but trading in the first half of 2018 confirmed the expected pattern, with recurring revenue forming 47.7% of the total, compared to 40.7% in the first half of 2017.

Group revenue rose to US$5.0mln from US$4.8mln the year before, with the flagship SmartWall software responsible for almost all of the increase, with an 11.9% year-on-year increase to sales of US$4.9mln.

The network security services provider reported an underlying earnings (EBITDA) loss for the period of US$1.4mln, 50% narrower than the US$2.9mln loss reported a year ago.

Adjusted operating costs for the group were also lower, down 18% on the year-ago period to US$5.3mln, with Corero ending the first half with net cash of US$5mln compared to US$5.1mln previously.

In its outlook, Corero said its pipeline of new business opportunities in the second half was growing, adding that it expected revenues for the year to be in line with market expectations with “significantly reduced losses”.

The firm also said that its partnership agreement with Juniper Networks (NYSE:JNPR), which it signed this week, was expected to “materially contribute” to revenue growth in 2019.

READ: Corero Network Security jumps after networking products titan Juniper Networks adds SmartWall to its products list Growing the top line is vital

As the above figures demonstrate, Corero is still in the loss-making stage where revenue growth is deemed more important than profits.

Crank the revenue up high enough, and the profits will follow.

In that regard, average new customer order intake value of $0.35mln, unchanged from the first half of 2017, kept the pot boiling but might have been a source of disappointment in some quarters.

Corero is hopeful that the deal with network equipment giant Juniper, which will sell Corero's SmartWall DDoS protection software and services alongside its own products and services, will prove the breakthrough the company needs.

"We anticipate our go-to-market partner relationships will deliver incremental revenue in H2 2018. The partnership with Juniper Networks is expected to materially contribute to revenues in 2019 as the relationship expands and their worldwide sales team is engaged,” chief executive, Ashley Stephenson, told investors.

Another day, another cyber-crime

The stream of contract wins reflects a growing realisation of the threat posed by cyber-crime and the commercial opportunities the threat presents for a company such as Corero, which specialises in combating it.

The recent contract awards, plus others, have underlined Corero's market leadership in the field of preventing distributed denial of service attacks, where one or more malevolent agencies bombard a company's website or network with requests, with the intention of causing a kind of cyber gridlock.

Such attacks can be highly damaging financially, not to mention reputation-wise, so companies are keen to be bang up to date on providing the latest protection.

"The demand from digital enterprises for real-time DDoS mitigation solutions is being driven by the increasing number and severity of DDoS attacks and the growing awareness of the threat of cyber-attacks brought about by high profile attacks such as the crippling DDoS attack on Dyn in 2016 and recent WannaCry ransomware attacks,” said Andrew Lloyd, president and executive vice president of sales & marketing at Corero.

“In addition, new cyber security regulatory requirements such as the European Network Information Security (NIS) Directive, General Data Protection Regulation and the revised Payment Services Directive (PSD2) are requiring companies invest in appropriate cyber security defences,” he added.

Corero's chief executive, Ashley Stephenson, sees hundreds of further opportunities for new business.

The UK’s National Crime Agency (NCA) warned in 2016 that businesses and law enforcement agencies were losing the “cyber arms race” with online criminals, as the technical capabilities of criminal syndicates outpaced those of security services.

The report, published in July 2016, found 2.46mln incidents of cyber-crime in 2015, including 700,000 cases of fraud.

Following the report, the government announced it planned to spend £1.9bn over the following five years on cyber-defences.

The NCA found that the accelerating pace of technology and criminal cyber-capability development currently outpaced the UK's collective response.

More recently, UK defence giant BAE Systems PLC (LON:BA.) claimed that the average cost of a cyber-attack was at least £330,000. The figure was arrived at after it had surveyed 100 bosses that lead businesses that each employ more than 1,000 people.

"Businesses need to ensure they have the right people, process and tools in place, so when a major incident occurs they are equipped to understand, contain and remediate," said Julian Cracknell, managing director for UK Services at BAE.

Far better, of course, to prevent the major incident in the first place and this is what Corero is all about.

Mon, 01 Oct 2018 15:16:00 +1000
<![CDATA[RNS press release - Interim results ]]> Wed, 26 Sep 2018 16:00:03 +1000 <![CDATA[RNS press release - Global resale partnership with Juniper Networks ]]> Tue, 25 Sep 2018 16:00:08 +1000 <![CDATA[RNS press release - Trading Update ]]> Thu, 06 Sep 2018 16:00:05 +1000 <![CDATA[RNS press release - Customer Win ]]> Mon, 02 Jul 2018 16:00:03 +1000 <![CDATA[News - Corero bags order from North American service provider ]]> Corero Network Security PLC (LON:CNS), the global network security company, has won a U$500,000 order from a North American service provider.

The order consists of multiple SmartWall 100 gigabytes per second products with supporting SecureWatch services for one year. SmartWall is Corero’s flagship platform that heads off distributed denial of service (DDoS) attacks in real-time.

READ: Corero signs US$0.7mln order for its SmartWall Threat Defence System technology

The deployment of SmartWall will enable the customer to protect its customers from malicious DDoS traffic launched from across the internet globally, Corero said. This will provide the customer with further competitive differentiation from its peers.

A DDoS attack is when external agents swamp a network with more input-output requests than it can cope with, thus bringing response time to a crawl. Corero observed that while its SmartWall deals with such threats in real-time, many of its competitors’ products can take up to 20 minutes or even more to detect and successfully defeat an attack.

"We are delighted to have secured another customer for our new 100Gbps SmartWall DDoS mitigation technology, having only introduced it in late 2017, following a multi-year development programme. To secure this order after a rigorous selection process is also highly gratifying and highlights the key competitive advantage of our solution,” said Andrew Lloyd, the president and executive vice president of sales and marketing at Corero.

"We anticipate demand for our technology to accelerate during 2018 as we benefit from the combination of growth in adoption of faster 100Gbps links and increasing end-user service-level expectations resulting in the requirement for Service Providers, Cloud Providers and Enterprises to instigate a DDoS mitigation technology upgrade," he added.

Shares in Corero were up 1.7% at 8.75p in early deals.

Mon, 02 Jul 2018 08:13:00 +1000
<![CDATA[RNS press release - Corero to present at Mello South ]]> Thu, 07 Jun 2018 19:06:18 +1000 <![CDATA[RNS press release - Cancellation and Grant of Options ]]> Tue, 05 Jun 2018 22:08:40 +1000 <![CDATA[RNS press release - Result of AGM ]]> Tue, 05 Jun 2018 22:05:18 +1000 <![CDATA[RNS press release - Customer Win ]]> Mon, 04 Jun 2018 16:00:06 +1000 <![CDATA[News - Corero signs US$0.7mln order for its SmartWall Threat Defence System technology ]]> Corero Network Security PLC (LON:CNS) has announced a US$0.7mln order for its SmartWall Threat Defence System technology from an existing digital enterprise customer.

The AIM-listed global network security company said the order is part of the undisclosed customer’s ongoing deployment and includes multiple SmartWall products with supporting SecureWatch services for three years.

READ: Corero raises fresh capital to support SmartWall sales push

The company said it has generated orders of US$1mln from this customer in 2018, and further additional orders are expected in the second half of 2018 as part of the customer’s ongoing global expansion and SmartWatch deployment plan.

Andrew Lloyd, Corero president and EVP sales and marketing, said: “The delivery of real-time DDoS protection is fast becoming the critical component in the defence against large-scale cyber breaches and this expansion order provides further confirmation that SmartWall and our SecureWatch service combine to deliver on our protection promise.”

He added: “With many digital enterprise organisations now adopting a zero-tolerance approach for any degraded performance or service downtime from a DDoS attack, the resulting potential loss of revenue, reputation or regulatory breach continues to fuel our new business momentum.”

Mon, 04 Jun 2018 07:25:00 +1000
<![CDATA[RNS press release - Second Price Monitoring Extn ]]> Thu, 10 May 2018 23:07:12 +1000 <![CDATA[RNS press release - Price Monitoring Extension ]]> Thu, 10 May 2018 23:02:25 +1000 <![CDATA[RNS press release - Notice of Annual General Meeting ]]> Thu, 10 May 2018 16:00:10 +1000 <![CDATA[RNS press release - Holding(s) in Company ]]> Sat, 28 Apr 2018 00:46:21 +1000 <![CDATA[RNS press release - Total Voting Rights ]]> Sat, 28 Apr 2018 00:39:28 +1000 <![CDATA[RNS press release - Director/PDMR Shareholding ]]> Fri, 27 Apr 2018 17:08:15 +1000 <![CDATA[RNS press release - New Debt Facility and Result of General Meeting ]]> Thu, 26 Apr 2018 20:35:42 +1000 <![CDATA[RNS press release - Posting of Circular and Director's Subscriptions ]]> Thu, 05 Apr 2018 20:53:27 +1000 <![CDATA[RNS press release - Placing & Subscription, Debt Facility & GM Notice ]]> Thu, 05 Apr 2018 16:01:01 +1000 <![CDATA[RNS press release - Full year results ]]> Thu, 05 Apr 2018 16:00:03 +1000 <![CDATA[News - Corero raises fresh capital to support SmartWall sales push ]]> Hot on the heels of its announcement of contract wins earlier this week, Corero Network Security PLC (LON:CNS) has raised fresh capital.

The network security specialist has conditionally raised around £4mln through a placing of shares and a share subscription while it also revealed it is in the final discussions in respect of a new debt facility to provide additional funds of up to £3.0mln.

READ: Corero Network Security secures new orders for computer security systems

In all, the company intends to issue 69.57mln new shares at 5.75p. The funds raised will support the development of the company’s SmartWall sales and marketing activities in the US and Europe and will also be invested in the development of the product.

The debt facility, if agreed, is conditional on the company raising no less than £3mln through a share issue. It is currently expected to run for a four-year term with a one-year repayment holiday, with interest payable quarterly at 7.5 percentage points per annum above the three-month London interbank offered rate (LIBOR).

The placing is not conditional on the debt facility but those who have committed to take shares have the option of withdrawing their commitment to take shares should the facility not be agreed by April 25.

Corero directors Jen Montanana, Andrew Lloyd and Richard Last intend to subscribe for 17.17mln new shares (in aggregate), with Montanana taking the lion’s share, subscribing for 16.4mln shares, which will take his stake in the company just above 40%.

In a separate announcement, the company revealed results for 2017 that showed revenue from the flagship SmartWall product was up 43%.

Reflecting the discontinuation of a legacy product, group revenue eased to US$8.5mln from US$8.8mln in 2016.

The underlying loss (LBITDA) narrowed to US$5.1mln from US$6.4mln the year before.

Revenue and earnings were both affected by delays in the worldwide implementation schedules for a large digital enterprise customer that came on board in the third quarter of 2017 and delays in an existing customer’s ongoing deployment.

The majority of the revenues from these two customers is now expected in the first half of 2018.

Net cash at the end of 2017 stood at US$1.4mln, down from US$2.9mln a year earlier.

"2017 proved to be a year of progress across our business highlighted by the strong revenue growth in our SmartWall product, which secured multiple US$1.0 million plus customers, in addition to several disruptive contract wins against key competitors. We also introduced an enhanced product portfolio alongside expanding our ecosystem of world class partners, which we believe will bolster our sales footprint in the current year,” said Ashley Stephenson, the chief executive officer of Corero.

“Corero enters 2018 with renewed confidence for the prospects of the business,” he added.

Thu, 05 Apr 2018 07:48:00 +1000
<![CDATA[RNS press release - Customer Wins ]]> Tue, 03 Apr 2018 16:00:09 +1000 <![CDATA[Media files - Corero Network Security bags significant new wins and contract renewals ]]> Tue, 03 Apr 2018 14:56:00 +1000 <![CDATA[News - Corero Network Security secures new orders for computer security systems ]]> Corero Network Security PLC (LON:CNS) said it has secured several new orders for its cybersecurity technologies to the tune of US$1.2mln.

The AIM-listed cybersecurity firm said the orders included two for its SmartWall Threat Defense technology with a cloud-based web development customer and a digital enterprise customer, worth US$0.3mln and US$0.2mln respectively.

WATCH: Corero Network Security bags significant new wins and contract renewals

Corero added that it had received a US$0.2mln follow-on order from an existing government customer in the UK for the expansion of its Distributed Denial of Service (DDoS) mitigation capacity.

The group also announced a US$0.5mln renewal of its SecureWatch services for a top 10 US cloud hosting provider, delayed from 2017.

Andrew Lloyd, President of Corero and executive vice president of sales and marketing, said: "March 2018 has been an unprecedented month for the global DDoS sector with the record for the largest reported attack having been broken twice.  We are seeing zero tolerance for service downtime due to cyber-attacks from many digital enterprises and the operators of essential services for critical national infrastructures and are delighted that our customers continue to recognise that SmartWall delivers real-time protection from DDoS cyber-attacks.

He added: "Our service provider customers are at the sharp end of these attacks and continue to face ever increasing service level demands from their customers.  Our recent new contracts and renewal success further validates the effectiveness of SmartWall and our customers' ongoing satisfaction with our SecureWatch service."

Corero shares were up 8.7% to 6.2p in early morning trading Tuesday.

Tue, 03 Apr 2018 08:02:00 +1000
<![CDATA[RNS press release - Customer Wins ]]> Wed, 14 Mar 2018 18:00:04 +1100 <![CDATA[News - Corero unveils new orders for cybersecurity system from new and current customers ]]> Corero Network Security PLC (LON:CNS) has received two new orders for its SmartWall Threat Defense System technology and said two additional incremental orders are expected later in 2018.

The AIM-listed cybersecurity provider said the new contract wins, with a combined value of US$0.9mln, consist of a new deal with a UK-based multi-brand media company and an ongoing development for an existing customer.

WATCH: Two big new signings for Corero

Corero added that further material orders were expected in 2018 from its existing customer as part of the client’s global expansion and SmartWall deployment plan.

The group said new cyber-security regulatory requirements are driving companies to invest in appropriate defences, such as Corero's Smartwall solution, to reduce their compliance risk.

Andrew Lloyd, Corero's president and EVP Sales and Marketing said: "We are delighted to have secured two significant pieces of business, further demonstrating that Corero's technology is providing an increasing number of digital enterprises with real-time DDoS mitigation solutions in response to the rampant growth of commercial and industrial cybercrime.

He added: "We are steadily building a strong pipeline of new business opportunities and believe the recent escalation in DDoS attacks globally will continue to underpin this demand."

Wed, 14 Mar 2018 07:30:00 +1100
<![CDATA[Media files - Two big new signings for Corero ]]> Fri, 05 Jan 2018 12:01:00 +1100 <![CDATA[RNS press release - Significant Contract Wins ]]> Wed, 03 Jan 2018 18:00:02 +1100 <![CDATA[News - Corero Network Security lands two new orders worth a total US$400,000 ]]> Corero Network Security PLC (LON:CNS) saw its shares jump today on news it has landed two deals worth US$400,000 in total for an Intel extension of software that prevents distributed denial of service attacks (DDoS).

In afternoon trading, Corero shares were 5.9%, or 0.38p higher at 6,75p.

The two unnamed North American customers for its SmartWall Threat Defense System 100Gbps product are described respectively as a hosting provider and a service provider.

READ: Corero's joy at record quarterly intake tempered by implementation delays at some customers

The new product, launched recently, provides real-time DDoS protection at 100 gigabits per second – hence the name.   

"These customer wins mark an important milestone for our SmartWall product,” said Corero president Andrew Lloyd.

READ: Corero surges after bagging significant contract win with North American ISP

“We see growing adoption of 100Gbps connections, which in turn is driving demand for our SmartWall NTD1100 product.”

 -- Adds share price --

Wed, 03 Jan 2018 07:29:00 +1100
<![CDATA[RNS press release - Trading Update ]]> Thu, 21 Dec 2017 18:00:05 +1100 <![CDATA[News - Corero's joy at record quarterly intake tempered by implementation delays at some customers ]]> Cyber-security specialist Corero Network Security PLC (LON:CNS) had some mixed news for shareholders in the run-up to Christmas.

On the plus side, the fourth quarter is expected to be a record one in terms of order intake for its flagship SmartWall product, but on the minus side revenue for the whole of 2017 will be lower than previously expected.

READ: Corero surges after bagging significant contract win with North American ISP

Group revenue for 2017 is now expected to be in the range US$8.5mln to US$9.0mln. It is expected that SmartWall revenue and recurring revenue will show strong growth over the prior year, despite a decline in legacy product revenue to US$0.6mln from US$3.3mln in 2016.

Corero said 2017’s revenue has been affected by delays in world-wide implementation schedules for a large digital enterprise customer win in the third quarter of this year and an existing customer's ongoing deployment. The bulk of the revenue from these two customers is now expected in the first half of 2018.

As a result of the lower-than-expected revenues, the group’s loss before interest, tax, depreciation and amortisation (LBITDA) is now expected to be in the range of US$4.8mln and US$5.3mln, versus LBITDA of US$6.4mln in 2016.

Encouragingly, thanks to the record order intake for Smartwall, the fourth quarter should see the group operating close to break-even, with the final quarter’s loss expected to be in the range of US$0.1mln and US$0.5mln.

SmartWall order intake for the whole of 2017 is expected to be between US$9.3mln and US$9.8mln, with roughly half of this representing recurring revenue in the form of support, services, and distributed denial of service (DDoS) protection as service (DDPaaS) contracts, versus 2016’s order intake of US$6.7mln including recurring revenue order intake of US$2.6mln.

READ: Corero customer renews US$200,000 SmartWall contract for third straight year

Net cash at the end of 2017 is expected to be about US$1.0mln, down from US$2.9mln a year earlier.

Corero is planning to fund its working capital requirements for 2018 via a debt financing that it expects to complete in the first half of 2018.

It is expected that Corero will enter 2018 with a recurring revenue contract base, including support, services and DDPaaS contracts, of about US$5.0mln.

"Corero enters 2018 with confidence following a year of strong growth in SmartWall order intake with proof points of multiple $1.0 million plus customers, a growing catalogue of industry awards and several disruptive contract wins against competitors,” said Ashley Stephenson, the chief executive officer of Corero.

“The group has also expanded its ecosystem of world class partners and introduced an enhanced product portfolio. We are excited about the prospects for the future of the business," he added.

Thu, 21 Dec 2017 08:02:00 +1100