(Alliance News) - Alfa Financial Software Holdings PLC on Thursday declared a higher dividend as it reported revenue and profit growth amid a higher total contract value.
The London-based software developer said pretax profit rose 2.4% to GBP29.6 million in 2023 from GBP28.9 million in 2022. Revenue climbed 9.3% to GBP102.0 million from GBP93.3 million.
Alfa Financial said its total contract value climbed 16% to GBP165.3 million in 2023 from GBP142.9 million in 2022.
The company proposed a special dividend of 2.0 pence per share, up 33% from 1.5p a year prior. Further, it proposed an ordinary dividend of 1.3p, up 8.3% from 1.2p.
Looking ahead, Alfa Financial said: "We expect 2024 revenue growth to be mid to high single digits driven by continuing strong growth in subscription. Within this performance, we anticipate a greater weighting in the second half of the year as new sales come fully on stream. Our encouraging new business pipeline, confidence in the outlook and our strategy means that Alfa will continue to invest in our technology and people, whilst continuing to return cash to shareholders through our sustainable, progressive dividend."
Chief Executive Officer Andrew Denton said: "We have built a resilient business with reduced customer concentration, operating across diverse markets both geographically and by asset class. The business is supported by a growing subscription revenue base and the conversion of the late-stage pipeline points to a strong second half in 2024 for our services. This alongside the inherent robustness of the asset finance software market and our continued investment in high-quality people, underpins our strong confidence in the outlook for the business."
Alfa Financial shares rose 1.5% to 172.00 pence each on Thursday afternoon in London.
By Tom Budszus, Alliance News slot editor
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Alfa Fin (ALFA)