Crimson Tide rose 7.3% to 88.5p after reporting a return to profitability for the year ended 30 April.
Revenue for the year was £5.9m, broadly in line with the prior period on a 12‑month pro‑forma basis, but monthly recurring revenue fell from £468k to £397k, and overall gross revenue churn was approximately 28%.
The company said the MRR decline primarily reflected one customer exercising a break clause (c.£61k MRR), the end of several lower‑value contracts and residual disruption from three takeover approaches over the prior two years, with roughly 70% of recurring revenue subject to renewal during the period.
Commercial progress included a landmark three‑year renewal with a major retailer worth TCV £3.88m (MRR £108k), early US traction with new customer 3Z Brands and sustained uplifts from existing clients via additional modules and deployments.
The Board said FY27 will start from a lower revenue base reflecting FY26 churn, but it expects churn to be below 10%, has realigned the cost base and is investing in sales and marketing to drive new business and a return to revenue growth.
Management highlighted a more scalable operating model, strengthened customer success functions and AI‑driven productivity gains as the levers to secure lower churn and improved margins.
"The path to growth is clear and we are pursuing it on three fronts: significantly reduced churn, new business growth and expansion within our existing customer base," said Jon Clarke, Chief Executive Officer.
