- Sports and leisure software company MSL Solutions (MPW) says despite the COVID-19 crisis, it was business-as-usual over April
- The company said annual recurring revenue was barely affected by the virus as the company's golf software arm keeps thing steady
- While MSL admitted non-recurring revenues were subdued, this type of revenue was still higher than the company predicted
- MSL says as sports centres begin to reopen, there are several business opportunities on the way
- Shares in MSL gained a hefty 51.43 per cent today, closing worth 5.3 cents each
Shares in sports and leisure software specialist MSL Solutions (MPW) soared today after the company revealed a solid month of trade over April.
The company said in March it was yet to feel the impact of COVID-19, but April was a dire month for economies around the globe as communities went into lockdown to stem the spread of the virus.
For MSL, however, it seems to have been business-as-usual despite the virus crisis.
The company explained 46 per cent of its recurring revenue comes from the MSL Golf Business, which involves scoring, booking, and tournament software. Revenue from this arm of the business was "virtually unaffected" by COVID-19 throughout April, according to MSL.
Further, the company recorded no material change to recurring revenue across its Venues business and minimal impact to its U.K. stadium market accounts.
While MSL admitted non-recurring revenue has been held down over the past few months, this type of revenue actually came in higher than the company originally forecast.
Thus, given the strong recurring revenues and what the company calls some "stringent" cost management, MSL said it won't need to raise any capital soon.
Looking ahead, MSL said it has a range of opportunities approaching as sports venues re-emerge from COVID-19 hibernation.
The company said it still needs to closely monitor the coronavirus situation and adapt accordingly, but as it stands, MSL has weathered the virus well.
Shareholders seemed pleased with the surprisingly strong month of trade for MSL, with shares gaining a hefty 51.43 per cent today to close worth 5.3 cents each. The company has a $17.08 million market cap.