11th Mar 2014 10:11
LONDON (Alliance News) - Craneware PLC raised its interim dividend for the half year ended December 31, 2013, as it saw pretax profit rise, driven by revenue growth.
Craneware produces software for the US healthcare industry. It posted an interim dividend of 5.7 pence per share, up 9.6% from 5.2 pence.
The company posted a pretax profit of USD4.8 million, up from USD4.5 million in the previous year, as revenue rose to USD21.1 million from USD20.1 million. Revenue was driven by incremental increases in the number of deals, the size of hospital groups that are its customers, overall deal size, and number of longer-term contracts, it said.
Craneware expects these increased level of sales, and sales to larger customers, to continue.
The company noted that the US healthcare market seemed to be settling as strategies are developing to support the Affordable Care Act. It noted that US healthcare spending in 2012 had shown its fourth year of growth, although it had been at a "modestly slower" rate than the economy as a whole in 2012.
Craneware is continuing to develop a set of combined software services, integrating some of its core products which allow the services to be implemented at smaller hospitals that do not have their own internal revenue-integrity teams. It expects to release these services in the second half of the year.
The company expressed its confidence for future growth, citing trends in US healthcare and its growing prominence in the market.
Craneware shares were off 1.6% at 575.50p Tuesday.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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