Global security pass specialist Intercede said sales have dropped 9 per cent partly due to delays in closing large new opportunities.
The business, based in Lutterworth, south Leicestershire, reported revenues of £9.9 million for the year to March 31, down from £11 million last year.
In annual results the business said: “A return to normalised trading has taken longer than previously expected against a backdrop of continued Covid-19 restrictions.” But it said the outlook for the year ahead looked positive.
Intercede has provided staff security clearance systems for clients including the US Department of Homeland Security, Boeing, Wells Fargo, Deutsche Telekom, Kuwait Public Authority for Civil Information, Airbus, the US Nuclear Regulatory Commission, Lockheed Martin and the UK Ministry of Defence.
The business said it saw profits of £700,000 last year, compared to £1.5 million a year before, with staff costs remaining the biggest company expense at 84 per cent of all costs.
It said 16 new deals were signed during the year, double the number for the year before, which was “clear evidence of underlying momentum in the context of growing market demand for cybersecurity”.
Chairman Chuck Pol said: "I would like to take this opportunity to thank all our colleagues, customers, partners and stakeholders for their efforts and understanding during what has continued to be a challenging and uncertain period for everyone.
“Furthermore, I extend my thanks to Klaas [chief executive Klaas van der Leest] and his management team for their leadership and invaluable assistance.
“It has been a promising year of financial and operational progress and Intercede is now very well positioned for further growth.
“We enter FY23 with positive momentum and lots of opportunities.
“When I look at the various elements of this business, particularly the experienced management team, the high growth cybersecurity market, the blue-chip customer base, the pipeline and the resilient response to market conditions in the last two years, I remain confident of the group's future prospects.
“Significant progress was made in FY22 and I am excited for the year ahead."
Intercede's MyID software is accredited by the US and UK Government, meaning it can be used in regulated markets.
Traditionally it was delivered to check employee ID on-site, but it is now also used for transport workers and national ID programmes.
