New Risk • Oct 15
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 55% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (38% average weekly change). Earnings have declined by 35% per year over the past 5 years. Shareholders have been substantially diluted in the past year (55% increase in shares outstanding). Market cap is less than US$10m (€8.19m market cap, or US$8.62m). Minor Risk Less than 1 year of cash runway based on current free cash flow (-US$2.5m). Reported Earnings • Sep 25
First half 2023 earnings released: US$0.017 loss per share (vs US$0.032 loss in 1H 2022) First half 2023 results: US$0.017 loss per share (improved from US$0.032 loss in 1H 2022). Revenue: US$4.42m (up 56% from 1H 2022). Net loss: US$2.85m (loss narrowed 31% from 1H 2022). Revenue is forecast to grow 30% p.a. on average during the next 2 years, compared to a 7.1% growth forecast for the Software industry in Germany. Announcement • Jul 31
BrandShield Systems Plc, Annual General Meeting, Aug 23, 2023 BrandShield Systems Plc, Annual General Meeting, Aug 23, 2023, at 12:00 Coordinated Universal Time. Location: Edwin Coe LLP, 2 Stone Buildings, Lincoln's Inn, WC2A 3TH London United Kingdom New Risk • Jul 28
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 21% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (24% average weekly change). Earnings have declined by 38% per year over the past 5 years. Minor Risks Less than 1 year of cash runway based on current free cash flow (-US$4.1m). Shareholders have been diluted in the past year (21% increase in shares outstanding). Market cap is less than US$100m (€11.9m market cap, or US$13.1m). New Risk • Jul 06
New major risk - Revenue and earnings growth Earnings have declined by 38% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (25% average weekly change). Earnings have declined by 38% per year over the past 5 years. Minor Risks Less than 1 year of cash runway based on current free cash flow (-US$4.1m). Market cap is less than US$100m (€12.2m market cap, or US$13.2m). Reported Earnings • Jul 04
Full year 2022 earnings released: US$0.04 loss per share (vs US$0.054 loss in FY 2021) Full year 2022 results: US$0.04 loss per share. Revenue: US$6.40m (up 55% from FY 2021). Net loss: US$7.34m (loss widened 16% from FY 2021). Revenue is forecast to grow 32% p.a. on average during the next 2 years, compared to a 6.9% growth forecast for the Software industry in Germany. Board Change • Nov 16
Less than half of directors are independent There are 5 new directors who have joined the board in the last 3 years. Of these new board members, 1 was an independent director. The company's board is composed of: 5 new directors. 1 experienced director. No highly experienced directors. 2 independent directors (4 non-independent directors). Independent Non-Executive Director John Taylor is the most experienced director on the board, commencing their role in 2019. Independent Non-Executive Chairman Uzi Moscovich was the last independent director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Lack of experienced directors. Announcement • Nov 16
BrandShield Systems Plc has completed a Follow-on Equity Offering in the amount of £1.656383 million. BrandShield Systems Plc has completed a Follow-on Equity Offering in the amount of £1.656383 million.
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 27,606,385
Price\Range: £0.06
Transaction Features: Regulation S; Subsequent Direct Listing Announcement • Oct 20
BrandShield Systems plc Unveils NFT ShieldTM BrandShield Systems plc unveils NFT ShieldTM, a bespoke AI solution aimed at the $3 billion NFT economy. NFT ShieldTM is the industry's first cybersecurity product to bring real-time intelligence and enforcement capabilities to combat digital asset fraud across major NFT marketplaces. Using AI/ML capabilities to detect a wide array of threats like fake listings, trademark infringements, scams, impersonations and more, the Company is offering the service as a free service to new and existing customers for a limited time. In 2022 alone, Web3 projects have reportedlosses of over $2 billion1to hacks and cyberattacks. With the market's growth, analysts predict that the crypto and NFT space will be valued at $13.6 billion in the next five years2,and the proliferation of digital asset fraud poses a high risk to brands, marketplaces, and customers. NFT ShieldTM,when combined with BrandShield's website and social media monitoring solution, delivers a comprehensive approach that protects against all external threats. The product is designed for brands selling NFTs and others that need to protect their brand and trademarks across NFT marketplaces, so they can defend themselves against scammers and impersonators looking to deceive consumers into purchasing counterfeit products. Features and benefits of the platform include: AI-based threat mapping- BrandShield uses AI to automatically prioritise threats and provide efficient and quick takedowns as they appear. Comprehensive threat detection- NFT ShieldTM works across all NFT trading channels to stop attacks at every stage they may occur. Real-time trademark and fake listings enforcement- BrandShield proactively searches for and detects infringements, including logos and visual trademarks, to remove them as they surface in real-time. BrandShield offers comprehensive identification and removal of threats across domains, marketplaces - like Amazon and Alibaba - and social media. The Company already supports dozens of companies in the cryptocurrency industry and operates as the leading digital risk protection solution for brands like Bang & Olufsen, Levi's, and The Sandbox, a leading decentralised gaming virtual world and a subsidiary of Animoca Brands. In conjunction with introducing its new product, BrandShield is also proud to announce it has joined the Blockchain Game Alliance ("BGA"). The BGA is committed to spreading awareness about blockchain technology and promoting blockchain within the game industry. Joining other leaders in the Web3 space such as The Sandbox, OpenSea, and MetaMask, BrandShield aims to further these missions whilst also establishing common standards and best practices in the gaming community. Reported Earnings • Sep 30
First half 2022 earnings released: US$0.032 loss per share (vs US$0.015 loss in 1H 2021) First half 2022 results: US$0.032 loss per share (further deteriorated from US$0.015 loss in 1H 2021). Revenue: US$2.83m (up 60% from 1H 2021). Net loss: US$4.11m (loss widened 133% from 1H 2021). Reported Earnings • Jul 02
Full year 2021 earnings released: US$0.05 loss per share (vs US$0.079 loss in FY 2020) Full year 2021 results: US$0.05 loss per share. Revenue: US$4.13m (up 59% from FY 2020). Net loss: US$6.30m (loss widened 91% from FY 2020). Announcement • Jul 01
BrandShield Systems Plc, Annual General Meeting, Jul 26, 2022 BrandShield Systems Plc, Annual General Meeting, Jul 26, 2022, at 12:00 Coordinated Universal Time. Location: Edwin Coe LLP, 2 Stone Buildings, Lincoln's Inn London United Kingdom Board Change • Apr 27
Less than half of directors are independent There are 5 new directors who have joined the board in the last 3 years. Of these new board members, 1 was an independent director. The company's board is composed of: 5 new directors. 1 experienced director. No highly experienced directors. 2 independent directors (4 non-independent directors). Independent Non-Executive Director John Taylor is the most experienced director on the board, commencing their role in 2019. Independent Non-Executive Chairman Uzi Moscovici was the last independent director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Lack of experienced directors. Announcement • Jan 05
BrandShield Systems plc Announces the Launch of BrandShield 3.0 BrandShield Systems plc announced the launch of BrandShield 3.0, the ultimate solution against external digital threats such as web fraud, phishing, social media scams, impersonations and online-counterfeiting. BrandShield 3.0 was developed in accordance with the latest market requirements and to meet the most recent digital risk protection and brand protection challenges. The Software-as-a-Service ("SaaS") technology includes a completely new and robust infrastructure and its innovative user interface is both intuitive and enables more ways to detect threat networks and carry out immediate takedowns whilst covering more threats in less time. BrandShield 3.0 will provide both new and existing customers with the following benefits: Ease of use: complete responsiveness and customisation, unification of system processes and pages, and intuitive step by step detections and takedowns. Greater speed: new technologies have been implemented, significant upgrades of databases and servers, improved coding and machine processes, which have added to a much faster solution. Superior automation: increased levels of automation for detection, analysis and takedowns. BrandShield 3.0 is currently in its alpha mode, and will soon start its Beta testing period. It is expected that customers will be onboarded with BrandShield 3.0 in the coming months. Reported Earnings • Sep 15
First half 2021 earnings released: US$0.015 loss per share (vs US$2.36 loss in 1H 2020) The company reported a soft first half result with increased losses and weaker control over costs, although revenues improved. First half 2021 results: Revenue: US$1.77m (up 17% from 1H 2020). Net loss: US$1.77m (loss widened 219% from 1H 2020). Executive Departure • Aug 04
Independent Non-Executive Director Zarthustra Amrolia has left the company On the 27th of July, Zarthustra Amrolia's tenure as Independent Non-Executive Director ended. As of March 2021, Zarthustra still personally held 1.35m shares (€324k worth at the time). Zarthustra is the only executive to leave the company over the last 12 months. Board Change • Jul 30
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 4 non-independent directors. Independent Non-Executive Director John Taylor was the last independent director to join the board, commencing their role in 2019. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Jun 23
Full year 2020 earnings released The company reported a mediocre full year result with increased losses and weaker control over costs, although revenues improved. Full year 2020 results: Revenue: US$2.59m (up 46% from FY 2019). Net loss: US$3.30m (loss widened 120% from FY 2019). 
