We are a group of data-driven businesses
that unlock the value of insight, hindsight and foresight
to drive organizations forward.
2,500+
Employees
15 Locations
Across 4 Continents
Founded in 1996, First Derivatives plc initially focused on the capital markets sector providing mission-critical support for core systems. The experience gained working for some of the world’s leading investment banks led to the formation of a software business, utilising the kdb+ database from Kx Systems as the foundation for applications such as market surveillance and liquidity management.
The acquisition of Kx Systems in 2014 and the rebranding of our software as KX was the springboard to target other markets, including telecoms, automotive, manufacturing and energy.
Our Growth Story
1996-2009
Deep Capital
Markets Knowledge
2009-2014
Significant Growth
in Software Offering
2015-Present
Expansion into
New Verticals
1996-2009
Deep Capital
Markets Knowledge
2009-2014
Significant Growth
in Software Offering
2015-Present
Expansion into
New Verticals
2021 FINANCIAL YEAR HIGHLIGHTS
Financial progress
Financial year 2021 saw robust performance despite the impact of COVID-19, as we maintained our revenue and gross profit and continued to invest in technology, product and people, reflecting our confidence in our business and the market opportunity.
-
10% growth in KX recurring software revenue
-
5% growth in KX software license revenue
-
Profit before tax down 39% to £11.1m
-
Diluted EPS down 41% to 32.0p
A robust performance with continued investment
Revenue
£237.9m
+0%
Adjusted EBITDA
£40.5m
-11%
Robust performance
As we continued to invest in technology, product and people
Focused strategy
Clear strategy, strengthened leadership, and improved systems and operations
Significant opportunity
Driven by focused investment in large growth markets
Robust performance
As we continued to invest in technology, product and people
Focused strategy
Clear strategy, strengthened leadership, and improved systems and operations
Significant opportunity
Driven by focused investment in large growth markets
Central to our clients’ success
“We’ve proven that we can operate with effectively no footprint. That’s a remarkable testament to our tech and ops team.”
James Gorman, CEO, Morgan Stanley
Acceleration of Growth Strategy and Change in Group Structure
New Group structure and focus
Proposed renaming of the Group as FD Technologies plc, comprising three businesses – KX, First Derivative and MRP – to enable each brand to communicate its distinct value proposition for its respective market and maximise its growth opportunity.
Accelerated growth strategy based on growing demand for real-time continuous intelligence and increased ability to deliver following advances in our technology, leadership and commercialization capabilities.
KX at the heart of our propositions
Targeting growth in KX exit annual recurring revenue (ARR)* of at least 25% for the current financial year
KX will be the focus of investment and our goal is to enable KX to become the market-leading technology for real-time streaming analytics, which represents a $39bn addressable market by 2025 growing at 30% per annum.
Greater focus in First Derivative
Targeting a return to double digit revenue growth during the current financial year
First Derivative, which comprises our managed services and consulting business plus elements of our software services revenue, will benefit from sharper focus on target markets where it has the greatest in-depth expertise, and which are areas of key focus for our clients.
Driving returns in MRP
Targeting 20% growth in platform revenue for the current financial year
MRP will seek to consolidate its position as a market leading digital platform in Account Based Marketing offering the only enterprise class, predictive ABM solution.
Strategic investment
Increased investment in the coming years focused on KX, funded through internally generated cash, to accelerate our technology development, increase sales and marketing spend and scale the Group.
Rationale
This evolution of the Group strategy will maximise the potential opportunity addressed by each division and significantly accelerate our growth potential over the medium term, targeting a doubling of revenue by FY25 with a significant bias in growth to recurring software revenue.
