chart & chat, page-530

The business update accompanying the 4C should be an interesting read.

I am not pinning my hopes on a set of rosy numbers due to the impact of the pandemic - for example, lengthened sales cycle which is likely to extend into early FY21. However, broader circumstances have played a big part and Alcidion is not an isolated case.

I also do not think Kate will try to sugar coat things but will just tell it as it is. That is, probably:

• adverse impact from Brexit and pandemic (e.g. lengthened sales cycle) resulting in temporary loss of revenue growth
• there will be a degree of pent up demand as the healthcare system look to technology to drive operational efficiencies (e.g. moving people through the system quicker and allowing nurses etc to focus more of their efforts on the patients rather than administrative tasks). The pandemic will likely be viewed as an important catalyst, over the longer term. The alternative option is to build more hospitals and/increase hospital beds, which has huge sunk costs and leads to excess capacity in normal times
• Alcidion continues to be in a strong financial position and remains committed growth through either mergers and acquisitions and/or further ongoing investment in sales and marketing on the basis that this growth strategy will deliver long-term value for shareholders.
• sales pipeline remains relatively stable, with the bulk of revenues derived from recurring activities