PROACTIS has released a positive H1 trading update. This indicates that trading in the first six months is in line with management expectations on the back of new customers wins and increased cross-selling, strong growth from the Perfect Commerce acquisition (c£13.5m of revenue and c£3.7m of EBITDA), and the realisation of £3.3m of the targeted £5m of cost synergies post acquisition. This is a reassuring statement given that there was some concern over assets (Hubwoo) within Perfect Commerce and the impact that integration of two geographically diverse businesses could have on trading. Dollar strengthening remains a risk to our revenue estimates, but we believe there is sufficient headroom within our cost assumptions to offset this. Based on this evidence, the shares look undervalued versus peers.
