If you are working from home, earning the same salary as last year, and not commuting, holidaying abroad or eating out, then you’ve probably saved a great deal of disposable income since the COVID-19 lockdowns began in March. The same is true for corporates, especially those who haven’t been materially impacted by the pandemic, or incurred significant extra costs (eg social distancing, cleaning, PPE). Take BuildTech software developer Elecosoft, who said today that although revenues declined 3% April YTD (2% constant currency: ED Est split -14% month vs +2% Q1’20). PBT had jumped an impressive 25% YoY – as tradeshows were postponed and less money was spent on travel, hotels, marketing & other discretionary items. Altogether lifting YTD EBIT margins to circa 20% (ED Est) vs 16.8% H1’19, and closing April with net cash of £3.1m vs £1.1m in Dec’19.
04 Jun 2020
Profits jump 25% April YTD
Sign up for free to access
Get access to the latest equity research in real-time from 12 commissioned providers.
Get access to the latest equity research in real-time from 12 commissioned providers.
Profits jump 25% April YTD
Eleco Plc (ELCO:LON) | 92.5 0 0.0% | Mkt Cap: 77.0m
- Published:
04 Jun 2020 -
Author:
Paul Hill -
Pages:
9
If you are working from home, earning the same salary as last year, and not commuting, holidaying abroad or eating out, then you’ve probably saved a great deal of disposable income since the COVID-19 lockdowns began in March. The same is true for corporates, especially those who haven’t been materially impacted by the pandemic, or incurred significant extra costs (eg social distancing, cleaning, PPE). Take BuildTech software developer Elecosoft, who said today that although revenues declined 3% April YTD (2% constant currency: ED Est split -14% month vs +2% Q1’20). PBT had jumped an impressive 25% YoY – as tradeshows were postponed and less money was spent on travel, hotels, marketing & other discretionary items. Altogether lifting YTD EBIT margins to circa 20% (ED Est) vs 16.8% H1’19, and closing April with net cash of £3.1m vs £1.1m in Dec’19.