iomart Group: Half Year Results
iomart (AIM:IOM), the cloud computing company, is pleased to report its consolidated half yearly results for the period ended 30 September 2016.
- Revenue growth of 16% to £42.1m (H1 2016: £36.4m)
- Cloud Services organic growth of 10% (H1 2016: 10%)
- Adjusted EBITDA* growth of 13% to £17.6m (H1 2016: £15.5m)
- Adjusted profit before tax** growth of 23% to £10.6m (H1 2016: £8.7m)
- Adjusted diluted earnings per share*** from operations increased by 19% to 8.03p (H1 2016: 6.75p)
- Cashflow from operations increased by 22% to £16.7m (H1 2016: £13.6m)
- Operating cash conversion rate increased to 95% of adjusted EBITDA (H1 2016: 88%)
- Ongoing investment in all forms of cloud skills
- Continuing to develop relationships with major Public Cloud suppliers leading to growth in Public Cloud revenues
- Consultancy division, SystemsUp, gains AWS Public Sector Partner for Government status
The above highlights are based on adjusted results. A full reconciliation between adjusted and statutory results is contained within this statement. The statutory equivalents of the above results are as follows:
- Profit before tax growth of 26% to £7.1m (H1 2016: £5.7m)
- Basic earnings per share from operations increased by 19% to 5.43p (H1 2016: 4.57p)
Angus MacSween, CEO commented,
“Trading in the first half of the year has been very good and we remain focussed on building our recurring revenues in line with our business model. We are uncovering an increasing breadth of opportunities to constantly grow that recurring revenue and remain confident in our future prospects.”
* Throughout this statement adjusted EBITDA is earnings before interest, tax, depreciation and amortisation (EBITDA) before share based payment charges and acquisition costs. Throughout this statement acquisition costs are defined as acquisition related costs and non-recurring acquisition integration costs.
** Throughout this statement adjusted profit before tax is profit before tax, amortisation charges on acquired intangible assets, share based payment charges, mark to market adjustments in respect of interest rate swaps, interest charges in respect of contingent consideration due, acquisition costs and in the previous period the accelerated write off of arrangement fees on the restructuring of our bank borrowing facility.
*** Throughout this statement adjusted earnings per share is earnings per share before amortisation charges on acquired intangible assets, share based payment charges, mark to market adjustments in respect of interest rate swaps, interest charges in respect of contingent consideration due, acquisition costs and in the previous period the accelerated write off of arrangement fees on the restructuring of our bank borrowing facility including the taxation effect of these.
This interim announcement contains forward-looking statements, which have been made by the directors in good faith based on the information available to them up to the time of the approval of this report and such information should be treated with caution due to the inherent uncertainties, including both economic and business risk factors, underlying such forward-looking information.