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16 Aug 2011 07:00
For immediate release 16 August 2011
Electronic Data Processing PLC (EDP)
Interim Management Statement
EDP, an IT solution provider to the UK wholesale distribution industry and a supplier of Sales Intelligence software more widely, today publishes an Interim Management Statement covering the period from 1 April 2011 to 15 August 2011.
Material Events and Transactions
There were no material events or transactions during the period under review.
Business Performance
Trading conditions remain similar to those experienced in the first half of the financial year. Continued uncertainty in the economy means that businesses operating in the sectors we address remain cautious with regard to IT spending decisions. As described in our interim statement we have been able to maintain our activity levels by refining our pricing model and charging lower upfront licence fees but with increased ongoing fees.
Financial Position
Our contracted recurring revenues remain strong and, consistent with the first half, represent approximately 80% of turnover.
The relocation of our head-office in Sheffield was completed on schedule in June generating cost savings in excess of £60,000 a year with effect from 1 August 2011. In addition we have ceased to pay £10,000 a month of one-off temporary rental costs on our former premises with effect from the same date.
EDP continues to have a strong, debt-free balance sheet with cash balances of £4.6 million at 15 August 2011.
Outlook
We expect our customers to remain cautious whilst significant uncertainty remains in the economy generally. However, with our strong recurring revenues, carefully managed cost base and strong product offering, we are well positioned for the future.
For further information please contact:
Julian Wassell Chief Executive 0114 2622010 | Toby Mountford Citigate Dewe Rogerson 020 7638 9571 07710 356611
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www.edp.co.uk | |
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