H1 results for NetDimensions (AIM: NETD, OTCQX: NETDY) were in line with the July trading update. Revenues grew 16% to $10.6m, as the group returns to more sustainable growth levels, following the 40% growth attained in FY14. We have eased our gross margin forecasts, due to the changing product mix, and our more conservative professional services assumptions, and we have eased our FY15 revenue forecast. This results in a higher FY15 loss, and we forecast the group will return comfortably to profit in FY17. Given that the company's US peers continue to trade at significant EV/sales premiums, we believe that NETD's shares could warrant a significant rerating.
