15 Jan 2018 07:00
Tax Systems plc
("Tax Systems" or the "Company")
Trading Update
Tax Systems, a leading supplier of corporation tax software and services, is pleased to provide the following trading update for the year ended 31 December 2017.
As reported at the time of the Company's interim results in September, the trading performance of the business has continued to be strong and as such the Board expects to report results for the year ended 31 December 2017 in line with market expectations. Good order intake and cash conversion in the second half of the year saw a continued reduction in net debt1 which decreased from £23.6m as at 30 June 2017 to c.£20.5m as at 31 December 2017.
A significant amount of activity and progress during the year has led to a solid platform having been put in place to support the Company's growth strategy and day to day operations. The future market opportunity remains substantial, arising from the continued move towards digitising the tax system as well as the drive to improve efficiency and reduce risk within corporate tax departments.
The full results for the year ended 31 December 2017 are expected to be announced in April 2018 and the Board looks forward to updating shareholders with further details at that time.
Gavin Lyons, CEO, commented: "We are pleased with the progress achieved in the year following initiation of our investment and transformation plan. In a short space of time, we have put in place the foundations from which to pursue our organic and acquisitive growth strategy. While there is always more work to be done, our stable customer base, coupled with high levels of recurring revenue and future technology plans, leaves the Board confident of a successful year ahead."
1 Net debt is defined as bank borrowings and loan notes recognised as liabilities and the equity element of the loan notes, recognised in equity, less cash
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF EU REGULATION 596/2014
Tax Systems plc | +44 (0)1784 777700 |
Gavin Lyons, Chief Executive Officer | |
Kevin Goggin, Chief Financial Officer | |
MXC Capital Markets LLP (Financial Adviser) | +44 (0)20 7965 8149 |
Charlotte Stranner | |
finnCap Limited (Nomad and Broker) | +44 0)20 7220 0500 |
Jonny Franklin-Adams / James Thompson (Corporate Finance) | |
Tim Redfern / Richard Chambers (Corporate Broking) | |
Alma PR (Financial PR) | +44 (0)20 8004 4218 |
Hilary Buchanan / Josh Royston / Susie Hudson |
About Tax Systems Plc
Tax Systems plc is a leading provider of corporation tax software and services in the UK and Ireland. The business has a long track record of being a key supplier of corporation tax software and services to many of the largest companies and the accounting profession in the UK and Ireland.