27th Apr 2018 09:32
LONDON (Alliance News) - Scientific Digital Imaging PLC said Friday it expected full-year revenue and profit to be "moderately" ahead of previous expectations and "significantly" ahead of its last financial year as organic growth and acquisitions boost performance.
For the year ending April, SDI now expects revenue and pretax profit to be "moderately" ahead of its previous expectations. The company also expects post-tax profit to benefit from a reduced tax charge which includes research and development tax credits accrued in financial 2017 and 2018.
For the year ended April 2017, SDI generated GBP903,000 pretax profit on GBP10.8 million revenue.
SDI expects to report "significant" revenue growth compared to financial 2017. This will reflect both organic growth and its GBP4.8 million acquisition of Astles Control Systems Ltd in December 2016. Its smaller USD350,000 of Quantum Scientific Imaging Inc in February will also contribute to this.
Organic growth has been driven by sales of Sentek single-use electrodes and new astronomy and life science products from Atik Camera.
Gross margins are also expected to be ahead of financial 2017 when they stood at 64.3%. This is chiefly a result of a one-off retrospective licensing payment for the sale of Auto-Montage imaging software earlier in the year.
"SDI is benefitting from its acquisitions as well as from the improvements management continue to make across the whole group," SDI Chairman Ken Ford said. "We look forward to further growth in the new financial year."
Shares in SDI were 9.0% higher at 38.70 pence on Friday.
Related Shares:
SDI Group