3rd Sep 2018 08:56
LONDON (Alliance News) - Gamma Communications PLC on Monday said it looks forward "enthusiastically" as profit grew in the first half of 2018 on improved products sales.
Shares in Gamma were trading 6.1% higher on Monday morning at 906.00 pence each.
The communications services provider said pretax profit grew to GBP15.5 million in the six months to the end of June from GBP12.1 million reported for the same period a year earlier, as revenue climbed 18% to GBP137.6 million from GBP116.3 million.
Gamma upped its interim dividend by 11% to 3.1 pence per share from 2.8p paid the year before.
During the period, the company said its revenue from its Indirect business, which includes data, mobile, SIP and Cloud PBX products sales, increased by 24% to GBP78.7 million from GBP63.7 generated a year ago, helped by the higher margin and rising number of subscribers.
Meanwhile, in the Direct business, revenue rose 30% year-on-year to GBP34.5 million from GBP26.5 million, as the company continues to transition from selling to smaller customers to larger enterprise businesses on multi-years deals. Gamma said the order book remains strong and it anticipates significant customer wins in the second-half.
"The board looks forward enthusiastically to the remainder of 2018 and beyond," said Chairman Richard Last. "We continue to focus on growth and on building on an already strong reputation for operational excellence and service quality."
Related Shares:
Gamma Communications