London, 16 January 2012: Commodities Now

Brady plc expects to report revenue growth in 2011 of approximately 70%, ahead of market forecasts. The leading global provider of trading, risk management and settlement solutions to the energy, metals and commodities sectors, announced today an update on trading performance for the full year to 31 December 2011. Brady is the largest, European headquartered, energy and commodity trading and risk management (ECTRM) software provider in the commodities space, following the acquisition of Brady Energy.

Of highlight, the Group’s recurring revenues increased by approximately 145% and represented approximately 52% of total 2011 revenues compared to 36% for 2010.

The Group was pleased to secure 14 substantial new licence contracts in the year, compared with 10 in 2010 and expects to report EBITDA growth of approximately 70%, in line with market forecasts.

Over the past year, the Group has continued to invest significantly in its product offering, routes to market and infrastructure in order to support the growth which has been achieved and the further growth which is anticipated. Brady has enlarged its product offering in line with the prevalent market drivers, including risk, heightened regulatory requirements, European Energy Grid Initiative (EEGI), green certificates, electronic trading and technical innovation.

The acquisition of Viz Risk Management AS, since renamed Brady Energy, in December 2010 has continued to trade ahead of expectations. The Group remains active in seeking further complementary acquisition opportunities.

Gavin Lavelle, CEO of Brady, commented: “I am delighted with the continued strong growth in Brady, with record sales and continuing strong momentum. Above all, our success can be attributed to the excellent service our employees have delivered to our 150+ clients. The trading update further demonstrates the strength of our solutions for the commodity and energy market needs. The financial performance is particularly pleasing given the backdrop of challenging general market conditions in 2011. I am also pleased by the results of the first year and successful integration of Brady Energy, formerly known as Viz.”

Brady selected by Man Brothers Group

Geneva based Man Brothers Group has selected Brady to handle their trade finance operations. The Brady solution which was chosen offers the ability to integrate the bank’s financial instruments, reduce operational risk, improve transparency and support decision making and governance, which are essential functionalities in today’s climate.

Gavin Lavelle commented, “The interest from banks shown in the recently launched Brady Collateral Management solution has been overwhelming, enabling banks to follow every relevant detail of the trading operation which may affect the collateral and underlying risk for the bank, coupled with the ability to value the collateral on a real time basis.” Continuing, he stated, “Since the collapse of Lehman Brothers and the following financial crisis, in which we still find ourselves today, Collateral Management has received much attention from regulators and banks. We are delighted we are able to help Man Brothers Group with a commodity trade finance solution which meets the individual requirements of both.”

As of 31 December the Group continues to enjoy a strong financial position with net cash increasing to £10.5 million, equivalent to 19 pence per share. The Group has no debt.

Full details of the Group’s financial performance, together with an outlook for 2012, will be provided in the preliminary results, which are expected to be announced on 12 March 2012.

Ends --

Commodities Now