21st Jul 2015 08:37
LONDON (Alliance News) - Escher Group Holdings PLC Tuesday said it is trading in line with the board's expectations in the current financial year and expects revenue and earnings before interest, tax, depreciation and amortisation to rise in the first half of 2015.
Escher, which provides software services to the postal industry, said it expects revenue in the six months to end-June to grow 7% to USD11.9 million from USD11.1 million in the same period a year before, while its adjusted Ebitda is expected to increase by more than half to USD2.7 million from USD1.6 million.
Escher said it has continued to invest significantly in new products and operations and had a net debt of USD2.7 million at June 30, down from USD5.3 million at December 31, 2014.
It added that it completed the roll-out of its software for a Malaysian client in the period, while the roll-out to its major US client is ongoing.
"We are delighted to have completed important project phases with two major customers which allows us to move to recognising maintenance revenue for these customers. This steady increase in recurring revenue gives us confidence about medium-term growth," Chief Executive Liam Church said in a statement.
Shares in Escher were untraded on Tuesday, last trading at 188.00 pence.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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