15th Apr 2020 11:20
(Correcting that final dividend is not being withdrawn, as none was declared for financial 2019.)
(Alliance News) - IDOX PLC on Tuesday said it plans to introduce a final dividend for its current financial year, after the company's loss significantly narrowed in financial 2019, following a sharp fall in administrative expenses.
For the financial year to the end of October last year, the management services provider reported a pretax loss of GBP25,000 compared to GBP30.2 million the year before, even as revenue declined by 1% to GBP65.5 million from GBP66.4 million.
IDOX's profit performance was helped by the non-repeating of a GBP33.3 million impairment on intangible assets the year before.
Meanwhile, the company's weaker revenue performance was caused by a drop in Public Sector Software revenue by 2% to GBP41.6 million, and Engineering Information Management by 8% to GBP9.2 million.
Looking ahead, IDOX said it has made a "great start" to the new financial year, with strong trading in the first quarter, and improved revenue visibility with the annualised recurring run rate up 30% to GBP38.9 million.
In addition, the order book for contracted software and services up 29% to GBP12.1 million.
"This has been a turnaround year for IDOX. We enter financial year 2020 on a sound footing having secured new financing arrangements, reduced debt, improved recurring income and overhauled our governance structures, addressing the material legacy issues impacting the group over the previous 18 months," said Chief Executive David Meaden.
"Following the improvements seen in financial year 2019, the board has full confidence in the group's future prospects and currently intends to introduce a final dividend in respect of the year ending October 31, 2020," Meaden added.
Shares in IDOX were down 0.3% at 35.40 pence on Wednesday in London.
By Dayo Laniyan; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
Idox Group