(Alliance News) - Yu Group PLC on Tuesday hailed a "record breaking financial performance" for 2022 and noted a "strong start" to 2023.
The Nottingham-based company, which supplies energy and utility solutions, said its revenue rose by 79% to GBP278.6 million from GBP155.4 million the previous year.
Meanwhile, pretax profit rose by 72% to GBP5.8 million from GBP3.4 million the year before.
Yu Group said its strong financial performance attributed to the enhancement of its "Digital by Default" platform, as well as the roll-out of Yu Smart, which has improved "debtor control ad profitability".
The company reinstated its final dividend with a 3p per share payout.
Looking ahead, the firm expects Yu Smart to generate a positive earnings before interest, tax, depreciation and amortisation contribution in 2023. It also said its average monthly bookings are significantly ahead of the record GBP24.5 million. Contracted revenue stood at GBP247 million as of the end of 2022.
The company has also said it will continue to improve customer cash collection performance and reduce bad debt exposure to provide potential for additional margin growth.
Chief Executive Officer Bobby Kalar said: "Our record-breaking financial performance and significant strategic progress is a testament to the strength of the group. Revenue increased 79%, Ebitda increased 359%, contracted revenue is up 57% and cash increased by GBP11.9 million. Reflecting our continued confidence in the business, we are also pleased to recommend the reinstatement of a progressive dividend policy. To achieve this despite the backdrop of a turbulent energy market is credit to the strong foundations we have in place and the ability and character of the team."
Shares were 18% lower at 579.00 pence each in London on Tuesday afternoon.
By Sabrina Penty; Alliance News reporter
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Yu Energy (YU.)