These half-year results from marketing analytics specialist, Alterian, were easily overshadowed by news that language translation software company
Meanwhile, at the operating level, the group's half-year figures demonstrate that its ongoing review and restructuring was beginning to bear fruit - even though there remains some distance to go before Alterian can return to profitability. In particular, some £10.6m of costs have been cut after the group's global offices were consolidated into six main centres. And Alterian will also enter 2012 with £23.3m of deferred revenue and renewals to look forward to, as well as more than 800 active customers - including 200 new customers secured this year. Although £15m of one-off costs - including a £12.7m goodwill impairment - explain the sizeable pre-tax loss.
|ORD PRICE:||109p||MARKET VALUE:||£67.8m|
|TOUCH:||109-110p||12-MONTH HIGH:||210p||LOW: 48p|
|DIVIDEND YIELD:||nil||PE RATIO:||na|
|NET ASSET VALUE:||30p*||NET DEBT:||£1.9m|
|Half-year to 30 Sep||Turnover (£m)||Pre-tax profit (£m)||Earnings per share (p)||Dividend per share (p)|
*Includes intangible assets of £28.8m, or 46p a share
Analysts believe that Alterian should make a decent fit with SDL, while the bid premium looks like an attractive enough exit for shareholders - especially after a fairly prolonged period of uncertainty. What's more, the offer - which is being pursued through a scheme of arrangement - has already received 64 per cent acceptances. Expect the scheme documents to be posted by around 14 December. Bid situation.
Last IC view: Sit tight, 80p, 25 October 2011