Newmark Security (AIM:NWT) told investors it expects to report year-on-year revenue growth in its core human capital management (HCM) business for the six months to 31 October.
The London-listed company, which develops cloud-connected workforce management and cash-handling technology, said HCM annualised recurring revenue (ARR) rose 13% year-on-year to £4.3m in September, up from £3.8m a year earlier.
Stripping out the phasing-out of a short-term Mexican services contract disclosed previously, underlying ARR growth was 26%.
Newmark flagged several HCM wins during the first half, including a first large order from a US airline customer secured in FY26, a further sale via Legion to a global home furnishings company, and its first Workday customer through a direct-to-end-user sale in the US. It also extended its relationship with its largest HCM customer, securing what the company described as a significant clock supply agreement expected to be delivered by the end of the financial year.
On product development, the first version of an AI agent embedded in the company's cloud-based GT Connect platform went live in May, and Newmark is developing AI-enabled hardware for an existing clock product targeted for release by mid-2027, alongside a new lower-cost clock, GT1, due to launch to the HCM market in 2027.
The disposal of Safetell, the group's physical security and cash-handling business, was completed on 30 September following a review required under the National Security and Investment Act; Newmark's factfile shows the board had pursued an accelerated strategic review after Safetell posted losses in the second half of the last financial year, with roughly £1.2m of installations slipping into FY27.
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Access Control is now also in the process of being sold following its own strategic review, with management in discussions with a prospective buyer, and the board is reviewing further cost savings at group level as Newmark narrows its focus to HCM.
"Following the recent disposal of Safetell and the sale process of Access Control having commenced, we are now firmly focused on HCM and realising our sales pipeline and the growth opportunities we see ahead," said chief executive Marie-Claire Dwek.
As in previous years, the company said it expects revenue to be weighted towards the second half of the year.