17th Sep 2015 07:47
LONDON (Alliance News) - Software and services company Elecosoft PLC Thursday said it remains positive in its outlook for 2015 and beyond, as it reported a small rise in pretax profit for its first half.
For the half year to end-June, the company reported a pretax profit of GBP502,000, up from GBP423,000 a year before, as revenue was flat at GBP8.6 million. Revenue was hit by the strength of sterling, and at constant exchange rates, revenue would have risen 10% to GBP9.5 million.
The company attributed its higher pretax profit to significantly lower borrowing costs.
Software licence sales rose 17% as the company won new a new customer in the US, and recurring revenue was broadly in line with the previous year.
Software development expenditure was GBP1.2 million, slightly down from GBP1.4 million a year before.
"I am pleased to report an overall positive performance for the six months to 30 June 2015, despite the adverse impact of exchange rate movements. Elecosoft's transformation into a specialist international provider of software to the construction industry is beginning to bear fruit," said Executive Chairman John Ketteley in a statement.
Shares in Elecosoft were down 2.1% at 23.00 pence Thursday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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