Prophecy International Holdings Limited (ASX: PRO) is a leading Australian software developer, specialising in innovative business solutions. With two key products, Snare and emite, Prophecy serves global markets in Cloud Data Management, Contact Centre Analytics, and Cyber Security. Emite is a SaaS-based analytics platform that enhances customer experience in contact centres by providing real-time operational insights. Snare offers scalable log management and security analytics to detect cyber threats in real-time, ensuring regulatory compliance. Headquartered in Adelaide and Sydney, Prophecy operates globally, with offices in London and Denver, providing solutions to businesses worldwide.

Growth Pipeline: Strategic Global Expansion

Prophecy International Holdings Ltd has announced a significant global reseller agreement with US-based cybersecurity leader, Securonix, Inc. The partnership, which spans three years, will see Securonix resell Prophecy’s cybersecurity solutions, including its renowned Snare product suite, to their global customer base. This collaboration is

expected to generate over $1M in new annual recurring revenue (ARR) in the first year alone. Prophecy’s decision to enter this strategic alliance marks a major milestone in its growth journey and is set to significantly boost its global reach and financial performance.

The partnership with Securonix strengthens Prophecy’s growth pipeline and accelerates its global expansion. Securonix, a leader in cloud-native Security Information and Event Management (SIEM), has a broad customer base of over 1,000 clients, including more than 10 Fortune 100 companies. These customers span various industries and regions, offering Prophecy a unique opportunity to tap into new markets and scale its cybersecurity solutions globally.

The agreement allows Securonix’s customers to access Prophecy’s Snare products, which enhance endpoint data collection and visibility through Securonix’s AI-powered cloud SIEM platform. This collaboration opens up new avenues for revenue growth as it allows Prophecy to leverage Securonix’s extensive customer network and partner ecosystem of more than 150 partners and Managed Security Service Providers (MSSPs).

Strategic Fit: Snare and Securonix Synergy

The strategic partnership aligns perfectly with Prophecy’s vision of providing cutting-edge, innovative cybersecurity solutions. Snare, which includes agents, agent management, and reflector tools, has been designed to improve the detection and management of cyber threats in real-time, an area in which Securonix excels with its unified defense SIEM capabilities. By integrating Snare into Securonix’s platform, customers can benefit from enhanced endpoint data collection, improved visibility into security events, and increased automation.

The subscription model adopted for this partnership is based on endpoints managed, rather than the volume of data ingested, presenting Prophecy with a unique revenue model that benefits from immediate sales rather than waiting for deployment and utilisation to ramp up. This provides Prophecy with a more predictable and recurring revenue stream, enhancing its financial stability.

Financial Performance: Strong Revenue Growth Prospects

The collaboration with Securonix is expected to have an immediate and positive impact on Prophecy’s financial performance. With the reseller agreement, Prophecy anticipates generating over $1 million in new ARR within the first year, providing a solid foundation for future growth. This is a significant development for a company that has historically focused on building a reputation for delivering high-quality cybersecurity solutions in Australia and select international markets.

The partnership offers the potential for continuous revenue generation as Securonix transitions its existing customers from third-party solutions to Snare, with many of these

subscriptions expiring over the next 12 months. This creates a recurring and expanding revenue stream for Prophecy, as Securonix offers Snare as an option for new customers as well.

Cybersecurity Market Trends: Leveraging Growing Demand

The global cybersecurity market is expanding rapidly, driven by increasing threats and the growing complexity of cyberattacks. As businesses and governments invest heavily in cybersecurity solutions to protect their sensitive data, solutions like Prophecy’s Snare are in high demand. By partnering with Securonix, Prophecy gains immediate access to a larger customer base and a more prominent position in the global cybersecurity landscape.

Moreover, the increasing focus on cloud-based security solutions aligns well with Prophecy’s product offerings, particularly Snare, which is designed for real-time monitoring and compliance. The partnership enhances Prophecy’s competitive position in the rapidly growing cybersecurity space, where businesses are looking for scalable, efficient, and robust solutions to safeguard their operations.