Netcall posts strong annual results as cloud solutions revenue soars

Wed, 09th Oct 2024 10:32

(Alliance News) - Netcall PLC on Wednesday announced increased annual profit and revenue, driven by a rising demand for cloud solutions.

Netcall is a customer engagement software provider based in Bedford, England. The company is currently undergoing a transition to a digital cloud business.

Netcall reported a 58% rise in pretax profit to GBP6.3 million for the 12 months that ended June 30 from GBP 4.0 million the year before, as revenue increased by 8.6% to GBP39.1 million from GBP36.0 million.

Netcall attributed this to a growing demand for cloud solutions due to "favourable" long-term macroeconomic trends for cloud computing, automation and customer experience.

Cloud services revenue rose by 19% to GBP19.8 million in the recent year from GBP16.6 million in financial 2023, with cloud subscriptions accounting for 90% of new bookings during the period.

Netcall declared a final dividend of 0.89 pence per share, up 7.2% from 0.83p a year previously. Netcall pays no interim dividend, so the final dividend represents its annual payout.

Netcall shares were up 2.9% at 88.00p each in London on Wednesday morning.

Looking ahead, Netcall remains confident in its success, and said it is "well-positioned" for growth and enhanced profitability.

Chief Executive James Ormondroyd commented: "This year has been another period of strong performance for Netcall. Our cloud services continue to receive growing demand from new and existing customers, driving increased revenue visibility and strong cash flow".

He continued: "Positive sales momentum has continued into the new financial year. Our robust pipeline and product roadmap, together with a growing base of recurring revenue and a healthy cash position, leaves us well-positioned to capitalise on the market opportunities ahead."

Netcall noted that in August it acquired Govtech Holdings Ltd and, in September, Parble. It expects both acquisitions to be "immediately earnings enhancing".

Additionally, the company added that it appointed James Platt as its Independent Non-Executive Director in September. He will join the board on October 24.

By Lydia Doye, Alliance News news reporter

Comments and questions to newsroom@alliancenews.com

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