LONDON (ShareCast) - (Sharecast News) - Craneware reported an 111% surge in revenue in its interim results on Monday, to $80.2m (£61.44m) in its first set of figures since its acquisition of Sentry Data Systems.
The AIM-traded firm said adjusted EBITDA was 78% higher year-on-year in the six months ended 31 December, at $23.7m, while its adjusted profit before tax was ahead 68% for the first half, at $17.1m.

Profit before tax, meanwhile, decreased to $6.2m from $9.9m a year earlier, after the $8.9m amortisation of acquired intangible assets, and exceptional costs of $1.9m.

Adjusted basic earnings per share expanded 34% to 43.5 US cents per share.

Craneware said its annualised recurring revenue reached a new record of $165m at the end of the first half, compared to $64.5m at the end of June.

Cash at period end totalled $41.7m- down from $50.7m, and excluding restricted cash of $9.3m, while its net debt stood at $72.9m after the acquisition of Sentry.

The board announced a 4% increase in the interim dividend to 12.5p per share, from the 12p distribution for the first half of the 2021 financial year.

It recorded investment in research and development, and innovation, of $21.6m in the period, up from $11.6m year-on-year, of which $6.8m or 31% was capitalised, compared to $4.5m or 39% in the prior period.

"The combined scale and expertise of the enlarged Craneware Group provides the potential for acceleration in annualised recurring revenue growth over the medium term, as we unlock the considerable cross and upsell opportunities within our enlarged customer base," said chief executive officer Keith Neilson.

"Through our increased sales and marketing operations and unique breadth of offering we are also well placed to secure increased market share as the US healthcare industry continues its drive towards achieving greater value in healthcare.

"Whilst remaining cognisant of the challenges our customers continue to face - the group remains on-course to deliver results for the current year in line with management's expectations."

Neilson said that, with a "strong" balance sheet, high levels of recurring revenues, high customer retention rates and an annualised recurring revenue of $165m, the company had a strong financial foundation from which to accelerate growth and investment to fulfil its potential, increasing shareholder value.

"We are delighted to see our first cross-sales within the enlarged group, which we expect to accelerate once the Covid-19 headwinds fully dissipate.

"With an expanded opportunity we look to the future with considerable excitement and confidence as we work as one team to transform the business of US healthcare."

At 0928 GMT, shares in Craneware were up 0.29% at 1,715p.

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