5th Mar 2020 12:10
(Alliance News) - Market data software firm Arcontech Group PLC on Thursday reported a double-digit profit rise as revenue climbed, but warned that the coronavirus "may reduce new business" should its spread persist.
In the six months to December 31, revenue edged 7.5% higher year-on-year to GBP1.5 million from GBP1.4 million. Pretax profit rose 22% to GBP551,847 from GBP452,756.
The company said it is trading in line with expectations and is on track to meet full-year market forecasts.
Arcontech added: "As we repeatedly note in our statements to shareholders we remain mindful of the long and unpredictable sales cycles we often face and the challenges this brings in predicting the timing of contract wins. The board is also currently monitoring the coronavirus and assessing the possible impact on the group's business. While there has been no impact to date, if the spread of the virus is prolonged it may lead to companies delaying capital expenditure, which may reduce new business.
"There is expected to be no impact on existing revenues. That said, the board views the long term future for the business with optimism and in the short term expects results for the full year to be in line with market expectations."
Shares in the company were 7.2% lower at 180.00 pence each in London on Thursday morning.
By Eric Cunha; [email protected]
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