Brady posts interim results

INTERIM RESULTS

For the six months to 30 June 2017

Brady plc, the leading global provider of trading, risk management and settlement solutions to the energy, commodities and recycling sectors, is pleased to announce its interim results for the six months to 30 June 2017.

Operational Highlights

The business continues its transition from a one-off licence revenue model to a recurring revenue model;

  • Four new licence deals signed on a recurring revenue basis in H1;
  •  Two new energy licence deals signed following strategic decision to build connectivity to the important renewables sector via the Irish Single Integrated Market (“I-SEM”);
  • Recurring revenue represented 68% of total sales in H1 (H1 2016: 60%).

Outlook

  • Full year results expected to be in line with market expectations;
  • Visibility over 93% of expected full year revenue; and
  • Cost base in line with management’s expectations to the half year.

Financial Summary (Unaudited)

(Unaudited)

(Audited)

6 months to 30 June 2017

6 months to 30 June 2016

12 months to 31 Dec 2016

£’000

£’000

£’000

Revenue

13,182

14,758

30,269

Recurring revenue

9,027

8,914

18,906

EBITDA before exceptional items

(880)

2,043

4,527

Operating result before exceptional items

(2,902)

123

533

Dividend paid (pence per share)

nil

nil

nil

Adjusted earnings per share (pence) 1

(2.49)

1.05

2.40

Basic earnings per share (pence)

(3.97)

(0.32)

(2.23)

Cash

5,038

6,402

7,343

 

Ian Jenks, Executive Chairman, commented:

“We have continued to take actions this year to move the business towards a solutions model focussed on growing recurring revenue to improve the quality of our earnings. Brady successfully secured a number of recurring revenue contracts during the period, and I am pleased to report that recurring revenue now represents 68% of total sales.

Whilst our H1 results reflect the natural consequence of our transition process away from the legacy licence model, the actions we have taken in the first half of the year coupled with the actions we will undertake in the second half will allow the business to scale efficiently and deliver significant improvements in profitability in 2018 and beyond.

With a high visibility of over 93% of our full year revenue and control of our cost base we continue to expect full year results to be in line with market expectations.”

Source: https://www.ctrmcenter.com/news/vendor-news/brady-posts-interim-results/

Brady posts interim results