2nd Feb 2021 11:39
(Alliance News) - Idox PLC on Tuesday said it remains confident that its "high levels" of recurring revenue will continue to be "resilient" in spite of the ongoing impact of the Covid-19 pandemic and national lockdowns.
The Reading, England-based management software provider reported a swing to a pretax profit for its financial year ended October 31 of GBP2.7 million from a GBP25,000 loss in 2019.
Revenue for the year increased by 3.9% to GBP68.0 million from GBP65.5 million the year prior, while recurring revenue in the period rose by 5% to GBP37.4 million from GBP35.7 million in 2019. Idox said this was due to order intake across the group growing "significantly", helping to support the development of the future orderbook for software and services, which grew by more than 31%.
Adjusted earnings before interest, tax, depreciation and amortisation increased by 36% to GBP19.6 million from GBP14.4 million the year prior, while the adjusted Ebitda margin improved to 29% from 22% in 2019.
After not paying a dividend in 2019, Idox said it has restored dividend payments with a final dividend payout of 0.3 pence per share.
Net debt at October 31 was down 39% to GBP16.1 million from GBP26.4 million in 2019.
"We have achieved the objectives we set out for our financial year 2020 and continue to operate within our four pillars framework of revenue expansion, margin improvement, simplicity and communication. Our financial performance has further strengthened, as we remained disciplined in managing costs and generating cash across our group," said Chief Executive David Meaden.
Looking ahead, Idox said its financial 2021 year-to-date trading is in line with expectations.
"We look forward to our financial year 2021 with both ambition and energy. We have a full programme of continued organic expansion from the stable platform we have created, and will look to scale our group further through carefully selected bolt-on acquisitions to bring public sector software businesses into our portfolio," Meaden added.
Shares in Idox were down 0.6% at 53.20 pence in London on Tuesday.
By Zoe Wickens; [email protected]
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