6th Sep 2013 09:19
LONDON (Alliance News) - EMIS Group PLC Friday reported a slight decrease in pretax profit for the first half, as higher costs due to the recruitment of new staff to help future growth offset an increase in revenue, buoyed by strong sales of its medical information portal.
It said it expects profitability to improve in the second half of the financial year, buoyed by growth of EMIS Web among GPs, after starting the period in line with its own expectations.
The supplier of clinical software to GP practices and healthcare practitioners posted pretax profit of GBP12.0 million for the six months ended June 30, down from GBP12.1 million last year, despite an 11% increase in revenue to GBP47.1 million, from GBP42.3 million.
The company attributed the revenue increase to rising hosting revenues of GBP6.3 million, compared with GBP3.9 million in 2012, driven by incremental recurring revenues from its information portal, EMIS Web.
Licences and software support revenues increased to GBP19.1 million, from GBP17.8 million principally due to additional revenues in the deployment of EMIS Web and the growth of the pharmacy estate.
EMIS said last month it completed the acquisition of healthcare information technology business Digital Healthcare.
"So far 2013 has been one of the busiest periods ever for EMIS Group. We expect this to continue as the accelerated roll-out to GPs of EMIS Web, our transformational healthcare system, is maintained," Chief Executive Chris Spencer said in a statement
"We will also be redoubling our efforts to join up GPs, other clinicians and pharmacists engaged in healthcare in the community and extending our reach into ophthalmology-related solutions and beyond that into specialist and acute care."
The board declared a 13% increase in the interim dividend to 8.0 pence, from 7.1 pence.
EMIS shares were trading at 745.00 pence Friday morning, up 15.00 pence or 2.1%.
By Anthony Tshibangu; [email protected];
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