Revenues and Profit Before Tax for FY17 are both expected to be see "significant" year-on-year growth.
Companies: Eleco Plc
Elecosoft (LON: ELCO) has released a brief Trading Update which has given the stock a boost in Tuesday morning trading.
The AIM-listed construction software company announced today its FY17 Revenues and PBT were both expected to be "significantly higher" compared to FY16's numbers.
The results, it said, were in line with expectations and sent shares up 11% to 46p at the time of writing.
Management said the strong performance was driven by:
"...the success of its sales strategy of securing new direct customers, backed up by providing strong customer training and support reflected in continued high renewal rates, and continued growth in our software reseller programme."
It also acknowledged the integration of ICON, which the Group acquired in 2016 as well as favourable exchange rate movements as playing their part in its growth.
John Ketteley, Executive Chairman was keen to praise the Company's employees in his comments:
"2017 was a year in which Elecosoft employees again maintained Elecosoft's growth momentum. They did so by delivering significant profit growth and cash generation; by unifying the Elecosoft Brand in all our markets; and by developing a number of significant, award winning technical innovations for the benefit of our customers."
Before today's update consensus was forecasting ELCO to report a Net Profit of c. £1.7m from Revenues of c. £21m, representing YoY growth of 37% and 18% respectively.
