Results beat heightened expectations
7 November 2011
Tracsis plc (“Tracsis” or the “Company” and with its subsidiaries the “Group”) (AIM: TRCS), a leading developer and aggregator of resource optimisation software, remote condition monitoring technology, and consultancy services to passenger transport industries, is pleased to announce its audited final results for the year ended 31 July 2011.
Highlights:
•Record revenues – revenue increased to £4,083k (2010: £2,647k) due to a combination of 14% organic growth, and £1,068k in respect of the acquisition of MPEC Technology Limited. Overall revenue growth of 54% achieved in the year
•Record profits – adjusted EBITDA* increased to £1,242k (2010: £701k) – an increase of 77%. Profit before tax increased to £1,115k (2010: £584k) – an increase of 91% – representing strong contributions from both the continuing business and acquired operations
•Strong balance sheet maintained, with cash balances at 31 July 2011 of £4.7m (2010: £2.5m), representing the share placing that took place in the year, and also significant cash generation in spite of significant outflows for the acquisition. The business remains debt free
•Acquisition of MPEC Technology Limited completed – the fourth acquisition in four years – its contribution to the enlarged Group has been immediate and significant
•Oversubscribed Share Placing successfully completed – £1.95m raised to broaden the shareholder base and provide a platform for further growth
* Earnings before finance income, tax, depreciation, amortisation, exceptional items and share-based payment charges
John McArthur, Chief Executive Officer, commented:
“Tracsis has performed extremely well in the year, achieving record levels of organic revenues and profits, and the contribution of MPEC Technology Limited (“MPEC”) has also been significant. The MPEC acquisition is Tracsis’s fourth in four years and represents a slight diversification into embedded software, but I believe it still sits well underneath the Tracsis transport umbrella. The Company’s balance sheet remains debt free and strong, with significant levels of cash in the bank as a result of continued growth and also a successful share placing. Looking ahead, whilst we are cautious about the challenging economic climate, we are excited by the prospects for the enlarged Group and are targeting further growth going forwards.”
