11th Nov 2014 09:34
LONDON (Alliance News) - AdEPT Telecom PLC Tuesday lifted its interim dividend by 50% as it saw pretax profit rise slightly in the half year to end-September, as a result of higher revenues.
The company upped its interim dividend to 2.25 pence from 1.50 pence in the previous year. AdEPT said there is "considerable scope" for it to continue a progressive dividend policy whilst it continues to identify and integrate earnings-enhancing acquisitions.
AdEPT posted a pretax profit of GBP1.1 million, up from GBP1.0 million a year before, as revenue rose to GBP11.3 million from GBP10.2 million, although this was somewhat offset by higher operating costs.
Revenue growth was driven by new contract wins, particularly in the public sector, and acquisitions. The company said it was continuing to "successfully" transition from a traditional fixed line service provider to a "complete communications integrator."
Revenue from what it calls its "next generation" services, including data connectivity and cloud-based contact centre services rose 29%, and now accounts for 26.8% of total revenue compared to 23.2% a year before.
AdEPT said it has gained new contracts with more than 20 local councils over the last year and a half as a result of its various public sector framework agreements.
Shares in AdEPT are trading up 4.2% at 125.00 pence Tuesday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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