In the space of a few years, artificial intelligence has evolved from an advanced concept to a mission-critical tool that is reshaping how governments and enterprises operate. From streamlining operations to enhancing customer experiences, AI technologies have become omnipresent, driving efficiency gains, unlocking new revenue streams, and fostering innovation.
The rapid adoption of AI to analyse data is reflected in the growth in the market for AI, with IDC estimating that global spending on AI including software, hardware, and services reached $154 billion in 2023, and will double to more than $300 billion in 2026.
The take-off of AI is creating unprecedented opportunities for the organisations that deploy AI solutions, and for the companies such as Presight that are developing AI and big data analytics solutions. This month, Presight announced our first quarterly results for the year, with revenue up 15.9 per cent and pre-tax profits up 45.8 per cent on last year’s first quarter.
Our share price has increased by one-third (33.9 per cent) in the past three months. Demand for our AI-enabled solutions is coming from many different areas, and in the first quarter, we signed new agreements and partnerships in public safety, smart cities and government including several multi-year contracts. Presight also saw a 37 per cent increase in revenue from international markets, demonstrating not only how the demand for advanced technology solutions is global, but also that UAE companies including Presight are exporting our best-in-class AI expertise to the rest of the world.
Indeed, Presight is a combination of diverse talents and experts from many countries and fields, working together towards our strategic goals. The strength of our team and our focus on ensuring client success have been the key to developing solutions that deliver real value for our clients. We also benefit from the support of the leaders of the UAE and Abu Dhabi, and we could not have achieved so much without their belief and trust in Presight.
Our product line-up continues to expand as we explore new possibilities with AI-enabled analytics, and we are developing solutions in some of the most promising areas for technology, including smart and cognitive cities, public safety, and sports. Building on our successful projects including Expo2020, our solutions support governments in addressing the complex challenges they face. For example, we are working with Emirates Talent Competitiveness Council to use AI analytics to identify and align Emirati talent with the needs of the UAE employment market. We are also partnered with the National Emergency Crisis and Disaster Management Authority, to develop AI-assisted responses to critical incidents such as the flooding that hit the UAE last month.
Our partnerships are an essential component of our success. The potential of AI is universal, and Presight is building international relationships with nations keen to tap that potential. We have opened offices in Kazakhstan and Azerbaijan and formed strategic partnerships and joint ventures in Central Asia, South-East Asia, and the United States; and signed MOUs with customers in the Maldives, Angola, Senegal, Zambia and Mauritania.
Building on our strong performance, Presight’s growth entered a new stage this month when we announced our next strategic move - the acquisition of AI for energy specialist AIQ. This landmark deal marks our first major acquisition and the expansion of our presence in the vitally important energy sector.
With the addition of AIQ to Presight, energy will become our second biggest business vertical. This expansion of our energy business could not come at a more critical time. Presight is dedicated to using big data analytics and generative AI to address the challenges facing the world and make a positive impact on society. The energy industry faces the difficult challenge of meeting ever-increasing global energy demand, while also addressing the need to transition to cleaner, more sustainable operations and energy sources. AI offers a unique opportunity for the energy sector to increase production, while also meeting targets for decarbonisation and emissions reductions, and now Presight and AIQ will take these solutions to energy sector players around the world.
In short, Presight has a clear direction and ambition, we have the talent and the resources, and with the momentum we have demonstrated so far in the first few months of 2024, we firmly believe that Presight is on track for exceptional future growth.
