14th Jun 2016 08:52
LONDON (Alliance News) - Eckoh PLC on Tuesday said it swung to a profit in its recent financial year as revenue grew on the back of contract wins in both the UK and US.
The secure payment products provider said it made a pretax profit of GBP2.5 million in the year ended March 31, having suffered a GBP871,000 pretax loss the year before, as revenue grew to GBP22.5 million from GBP17.2 million.
In the UK, revenue rose to GBP18.5 million from GBP17.0 million, after Eckoh secured contracts with 13 new clients. In the US, revenue multiplied to GBP4 million from GBP0.2 million, after securing nine new contracts.
Eckoh will pay a total dividend of 0.450 pence per share for the year, which is a 20% increase on the 0.375p paid the year before.
Since the year end, Eckoh has won two contracts in the US, worth USD7 million combined, and also updated its US distributor agreement for a three-year period with West Corp.
"The contracts secured recently, which will deliver significant benefit once live in the second half of the new financial year, give us the confidence that the strong growth we have consistently delivered in the past few years will continue. The board remains excited by the prospects for the company and continues to evaluate opportunities for scaling the business even further alongside our organic growth," Chief Executive Nik Philpot said in a statement.
Shares in Eckoh were trading down 2.9% at 51.00 pence on Tuesday.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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