Arcontech raises dividend despite annual profit and revenue fall

(Alliance News) - Arcontech Group PLC on Monday reported its annual profit and revenue falling on contract losses but increased its dividend by 18%.

Arcontech is a London-based provider of real-time financial market data and services.

Pretax profit in the year to June 30 fell 27% to GBP758,573 from GBP1.0 million a year prior, as revenue declined by 6.7% to GBP2.8 million from GBP3.0 million. "Turnover and profit [was] impacted by earlier announced contract losses," the company explained.

Despite weaker results, Archontech proposed an 18% raised dividend of 3.25 pence per share from 2.75p a year ago.

Looking ahead, the firm cited pent-up demand which was held back by "several years of inactivity".

"Although conditions remain uncertain, as economies globally face well documented challenges, we are confident that we can convert some of the current interest to orders and start to build back the revenue we lost during the pandemic," Chair Geoff Wicks said, as he described the firm's pipeline as robust.

Arcontech shares were 5.7% higher at 83.00 pence each in London on Monday morning.

By Tom Budszus; tombudszus@alliancenews.com

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Arcontech Group