TRCS saw revenues jump 30%, with EBITDA and PBT increasing markedly
Companies: Tracsis plc
Transport software provider Tracsis plc (LSE: TRCS), reported its audited full-year results this morning, saying it had beaten expectations with £32.6m in revenue (+29% Yoy), resulting in £7.6m adj EBITDA (+17% Yoy), and £6.9m in pre-tax profit.
The AIM-listed firm held cash balances of more than £11m on 31 July, and is reportedly debt free, showing signs of a highly cash generative business. Today's announcement included a 20% increase in the total dividend, now at 1.2p a share.
During the period TRCS acquired events traffic management specialist SEP Ltd and software development and hosting firm Ontrac Ltd, and today’s results show the new companies are bedding in well and providing a positive contribution to Group revenues in the period.
Part of the revenue jump was also attributed to a significant order secured with a North American Class 1 railroad operator, announced in August, that the company said illustrated its capability to address the large overseas market opportunity.
CEO John McArthur, said whilst solid foundations were put in place at the start of this year in regards to transactions and investments, H2 was now a time for delivery.
"As a result the Group has achieved another set of positive results with strong growth in revenue and profitability. These results include our most active transactional period to date with the acquisitions of SEP and Ontrac, both of which are trading well and have further bolstered our positive performance, and a further two investments completed.
The result of these acquisitions made during the period, combined with good progress on new software development, has led to the Tracsis offering being significantly enhanced in terms of breadth and depth."
Tracsis’ share price opened relatively flat today, as the market had priced in the forecasts and a contract win in North America in August.
