23 May 2018 – interim results

Solid interim results have been released covering the period to 31 March 2018.  Revenue increased by 34% to £14.61m (2017: £10.90 m) and like-for-like revenue excluding Anisa rose to £11.08m (2017: £10.90m).  Pre-contracted recurring revenue increased to £8.25 (2017: £5.40 m)and like-for-like recurring revenue grew by 11% to £5.99m (2017: £5.40m).  Basic earnings per share increased by 44% to 2.3p (2017: 1.6p).  Cash generation was in line with operating profit leading to a net cash balance as at 31 March 2018 of £1.39m.  An increased interim dividend of 1.25p per share has been declared (2017: 1.10p).  The share price has had a very strong run but appears to have momentum.  We keeep our BUY rating but would be wary of chasing the price higher in the near term as many holders must be sitting on significant paper gains.