Ondo ‘brimming with confidence’ after revenue growth

London-based insurtech Ondo, formerly known as Leakbot, has revealed that it increased its revenue by £1.5m in under two years.

In a trading update yesterday (3 August 2023), Ondo said it secured £2.4m in the 18 months to 31 March 2023, compared to £900,000 in the 12 months to 30 September 2021 when it was known as Leakbot.

Ondo also reported that its gross profit before expenses had increased from £550,000 to £850,000 in the same period.

Its results came after chief executive Craig Foster said Ondo will have “additional firepower” to grow after raising £815k from an overfund capital raise and subscription earlier this year (16 May 2023).

And after publishing its results, Foster said that the management team and board was ”brimming with confidence about the future”.

“This first audited accounts illustrate fast year-on-year growth in unit sales, registered customers, and revenues and yet we have penetrated only 3% of the addressable households from our already signed contracts due to recent contract wins,” he added.

‘Contract wins’

In March 2022, Spinnaker Acquisitions completed the purchase of Leakbot from HomeServe Plc and renamed the company to Ondo.

Ondo said that since the acquisition fell outside of the scope of IFRS 3, reverse takeover accounting (RTO) had been applied for its latest results.

IFRS 3 means that an acquirer measures the cost of an acquisition at the fair value of consideration paid.

Identifiable assets and liabilities are then cost allocated on the basis of fair value and the rest via goodwill.

Ondo also revealed that in the 12 months to 31 March 2023, LeakBot units sales grew 299% year-on-year, while registered customers on the platform increased 75% in the same period.

Foster added: “We look forward to demonstrating more contract wins and further progress in the next interims to end September 2023.”