8th Jul 2015 06:50
LONDON (Alliance News) - Micro Focus International PLC on Wednesday said its pretax profit fell in its 2014 financial year thanks to costs associated with the acquisition of The Attachmate Group Inc, but the same deal also helped to nearly double its revenue in the year as it said the integration of the business is ahead of plan.
The FTSE 250-listed software company said its pretax profit for the year to the end of April was USD91.4 million, down from USD147.8 million, after it booked a USD99.1 million one-off cost related to the USD2.4 billion acquisition of Attachmate, which completed in November.
But revenue for the group, which includes a contribution from Attachmate from November onward, rose to USD834.5 million, nearly double the USD433.1 million it posted a year earlier. Licence revenue rose by 52% to USD261 million, maintenance revenue rose by 87% to USD440.6 million and consultancy revenue trebled to USD34.7 million. It also added USD98.2 million in subscription revenue, having generated no revenue from this segment a year earlier.
Micro Focus said the integration of Attachmate is ahead of plan and said its revenue, underlying adjusted earnings before interest, taxation, depreciation and amortisation and earnings per share all are coming in ahead of market expectations.
Micro Focus said it would increase its final dividend by 10% to 33 cents per share, meaning its total dividend also rises by 10% to 48.4 cents.
"This has been a transformational year for Micro Focus building on the platform we have been developing since 2011. We look forward to delivering on our strategy and business model," said Executive Chairman Kevin Loosemore.
By Sam Unsted; [email protected]; @SamUAtAlliance
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