(Sharecast News) - Information management software provider Ideagen reiterated its full-year guidance and final dividend on Tuesday, stating it had continued to perform well despite the Covid-19 pandemic.
Ideagen expects to report a 21% jump in revenues to approximately £56.6m, while adjusted underlying earnings were pegged to be up 29% to roughly £18.5m on an IFRS16 basis and 22% to about £17.5m on a like-for-like basis.
Annual recurring revenues recognised was projected to be £43.1m, representing an increase to 76% year-on-year.
Cash generated by operations was ahead of expectations at over 95% of adjusted EBITDA, resulting in a gross cash balance of £8.2m and gross bank borrowings of £25m at the period end. Net bank debt at the year-end of £16.8m was lower than anticipated and comfortably within banking covenants.
As a result, the AIM-listed group believes it has "the right financial model" to meet market expectations for the current year and continue to pay a dividend in line with its progressive policy.
Chief executive Ben Dorks said: "We are pleased to report that despite the impact of Covid-19, the group has continued to perform well in delivering yet another year of quality earnings growth underpinned by strong cash generation.
"The group has now successfully transitioned to primarily a recurring revenue model and has quickly responded to the new and challenging business backdrop we all face."
As of 1015 BST, Ideagen shares were up 0.93% at 163p.
7 Nov 2016 08:42
Ideagen signals significant first half growth
(ShareCast News) - Information management software provider Ideagen posted an update on trading for the six months to 31 October on Monday, with its board reporting that trading had remained strong in the first half of the financial year. The AIM-traded company said revenue and adjusted EBITDA were
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