(Sharecast News) - EU Supply said on Friday that it swung to an annual profit as revenues rose amid growth in Lithuania, Ireland and Scandinavia.The e-procurement software provider secured revenue of £5.1m for 2018, an increase of 10% compared to the previous year, after the company won several mid-sized and larger orders for customer-paid enhancement projects in the UK, Lithuania and Ireland, prompting a swing from a loss before tax of £0.2m in 2017 to a profit of £0.4m in the year to the end of March 2018.The AIM-listed company's SaaS business also grew, with revenues of a recurring or repeatable nature now constituting 70% of total revenues, up from 66% last year.Chairman David Cutler said: "A profitable platform for growth was achieved in 2018. Our highest ever rate of increase in annual recurring revenue run rate has been secured already in 2019 with annualised values of contracts in aggregate of approximately £620k being signed this year, and this without any higher staffing levels."EU Supply had cash and cash equivalents of £0.9m at the end of the year following a successful fundraise of £0.6m, up from £0.7m at the same point in 2017.Since the end of the year, the company signed its first contract in the oil and gas sector, which it said may lead to considerable additional business in the next three years, while recurring revenues have experienced "exceptionally strong growth", representing a 17% increase in the year to date."We anticipate continued growth in annual recurring revenue during the coming months which gives us confidence in further profitable growth beyond 2019. The board is also confident of securing further revenue from both other existing contracts and new markets," said Cutler.EU Supply shares were up 13.30% at 11.50p at 0929 BST.
