Tracsis sees H1 profits rise 24% on organic growth

Software group Tracsis remains on track to deliver full-year earnings in line with expectations after it posted an increase in revenues and profits during the first half of the year.Revenues were up 22% to £12m while pre-tax profits increased 24% to £3.2m. As a result, earnings per share rose to 8p from 6.72p same time last year.Tracsis' software division performed well during the period, thanks to the acquisition of rail management systems group Datasys last May and good levels of organic growth.Its consultancy and services division reported "slightly adverse" revenues, but added that the rail refranchising activity in the UK will help its full year results.Showing confidence in the business, Tracsis increased its dividend by 14% to 0.4p.Chief executive John McArthur said: "We remain focused on driving organic growth and continue to appraise acquisition opportunities from a strong pipeline of qualified targets. The Board expects full year trading to be in line with expectations and remains confident about our forward growth prospects."WH Ireland analysts maintained their 'buy' recommendation and said that the results were "supportive of our FY forecasts rather than accretive although upside could come from any material new contract news via TRCS' new technology partner in the US or another acquisition".Shares in Tracsis fell 4.52% to 390.5p on Wednesday at 09:49.