1st Jul 2021 09:28
(Alliance News) - Aveva Group PLC shares rose after it reported a positive start to its financial year and outlined ambitious future growth targets ahead of its capital markets day event on Thursday.
In the FTSE 100, Aveva was the best performer, up 3.6% to 3,843.00 pence early Thursday in London.
Aveva said it has had a good start to financial 2022, achieving 10% revenue growth in the first two months of the financial year on an organic constant currency basis.
In addition, Aveva set new five-year financial targets to the year ending March 31, 2026. Aveva is targeting a revenue compound annual growth rate of around 10% over the period. It also aims to generate more than 80% of total revenue from recurring revenue by 2026.
The company said its revenue growth will be supported by revenue synergies relating to its acquisition of software firm OSIsoft, which are expected to be at least USD100 million in 2026. Aveva also targets an adjusted operating profit margin of at least 35% in that year.
By Will Paige; [email protected]
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