1st May 2018 13:04
LONDON (Alliance News) - Nasstar PLC on Tuesday reported increases in both adjusted profit and revenue in what it described as a "pivotal" 2017 as it capitalised on previous takeover activity.
Nasstar, which provides hosted managed and cloud computing services, posted a reported pretax loss of GBP1.2 million for 2017 compared to GBP1.8 million in 2017.
However, on an adjusted basis, which removes various exceptional items, Nasstar's pretax profit stood at GBP3.5 million, almost double to GBP1.9 million it registered in 2017.
Revenue was up 31% to GBP24.5 million, driven by acquisitions, but underlying growth excluding acquired businesses was 9% nonetheless.
Nasstar is paying a final dividend of 0.06 pence per share, 15% higher year-on-year.
During the year the company launched its 'Nasstar 10-19' programme aimed at delivering an increased strategic focus to create one fully-integrated business, it said, and the figures posted for the year have vindicated this strategy.
Looking ahead, Nasstar said it is well positioned with 88% of 2017 revenue generated from contract recurring services.
It is on course to increase its adjusted earnings before interest, taxes, depreciation, and amortisation margin to 25% at the end of 2019, with the figure at 23% at the end of 2017.
Shares were 3.0% higher on Tuesday at 11.85 pence each.
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