28th Jul 2016 08:59
LONDON (Alliance News) - Network security services provider Sophos Group PLC said Thursday the first quarter of its financial year saw strong trading, and it is placed well to deliver full-year mid-teens revenue growth.
Sophos' first quarter, ended June 30, saw billings up 25% year-on-year across all major regions and product categories. There was a strong growth in European billings, up 35% from its first quarter last year, assisted by a material contract with an existing customer.
Revenue grew by 12% year-on-year in the quarter to USD127.4 million from USD113.5 million. Cash earnings before interest, taxation, depreciation and amortisation was up by 55% to USD25.6 million from USD16.5 million in the first quarter of the previous financial year.
For its financial year ending March 2017, Sophos expects to deliver billings growth in the mid-teens on a like-for-like basis, while also delivering Ebitda margin growth. Billings growth is expected to contribute to mid-teens revenue growth.
"We are encouraged by our strong start to the year, which underpins our confidence in the outlook for the full financial year. Our compelling strategy of targeting the under-served mid-market with a complete security offering, through the channel that serves them, continues to drive positive performance," said Kris Hagerman, Sophos' chief executive.
Shares in Sophos were up 6.2% Thursday at 242.70 pence. Sophos is marking a year on the London Stock Exchange, having floated in July of last year.
By Lucy Heming; [email protected]
Copyright 2016 Alliance News Limited. All Rights Reserved.
Related Shares:
Sophos Group