18th Feb 2020 09:01
(Alliance News) - essensys PLC on Tuesday reported "good" progress across the entire business in the first half of its current financial year.
essensys, which provides software-as-a-service platforms and cloud services to the flexible workspace industry, posted a 19% increase in revenue for the six months to January to GBP11.4 million. Recurring revenue rose 29% to GBP9.7 million, and makes up 85% of total revenue.
London-based essensys said performance was boosted by "strong growth" in the company's US business.
Adjusted earnings before interest, tax, depreciation, and amortisation for the year is set to meet expectations at GBP1.8 million, though this will be a 10% fall year-on-year. essensys said this decline is expected due to investment in sales & marketing, product development, and the expansion of the US arm.
The company's net cash at the end of January was GBP1.7 million, slightly ahead of internal expectations.
Chief Executive Mark Furness commented: "I am pleased to report continued good progress across our business, with strong sales momentum and a rapidly expanding US business underpinning our long-term growth ambitions.
"This strong first half performance, supported by the number of contracted new Connect sites currently in delivery and a healthy pipeline underpins the board's confidence that full-year results will be in line with market expectations."
essensys will report interim results on March 24. Shares in the company were 3.9% higher on Tuesday morning in London at 239.00 pence each.
The company joined the London Stock Exchange in May last year, raising GBP28 million in an initial public offering at 151p per share, meaning the stock has risen 58% since then.
By George Collard; [email protected]
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