(Alliance News) - Gamma Communications PLC shares rose on Tuesday after the cloud communication services provider tipped annual results to land in the "upper half" of market consensus estimates.
Shares in Gamma were up 4.9% at 2,000.00 pence each in London on Tuesday morning.
Gamma, which serves markets in the UK, Germany, Spain and the Netherlands, said it performed well in the six months ended June 30.
"Growth in the first half has been in line with the rate associated with market expectations for the full year. This is despite the first half again being characterised by lockdowns in all of our territories which restricted sales activities for both Gamma and our partners," the company said.
"Current management expectations for the full year ending 31 December 2021 are that results will be in the upper half of market consensus estimates."
Gamma noted the revenue consensus range is between GBP442.4 million and GBP460.0 million, so at best, a 17% hike from GBP393.8 million in 2020. According to market consensus, adjusted earnings before interest, tax, depreciation and amortisation are expected to land between GBP86.0 million and GBP95.0 million, potentially a 20% rise from GBP79.0 million.
Back in March, Gamma acquired Mission Labs Ltd for GBP40.2 million, with up to an additional GBP6.0 million deferred consideration payable over the next three years.
"Integration of the business has gone well and its early performance has been slightly ahead of expectations," Gamma added.
By Amrit Sahota; newsroom@alliancenews.com
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Gamma Communications (GAMA)