Strong revenue growth, multiple business wins and a leap in underlying operating profit would - taken alone - have made for a solid set of half-year results for Accesso (ACSO). But these figures should be viewed alongside a significant post-period deal with Merlin Entertainments . The shares have risen more than 60 per cent since it was announced in July.
The Merlin deal also represents a big investment for the ticketing software group. A large portion of the $6m (£3.9m) increase in administrative expenses so far this year will help Accesso meet the challenge of servicing over 100 Merlin venues over seven years.
Trading is historically weaker in the first half of the year due to the geographical spread of Accesso's clients. Less than a third of annual revenue tends to be booked in the six months to June, which combined with a fixed cost base and the Merlin investment explains the £0.8m post-tax loss in the period. Looking ahead to the full year, chief executive Tom Burnet is cheered by growing consumer confidence, particularly among customers of Accesso's clients in the US, where the fall in gas prices is freeing up disposable income.
Analysts at Canaccord Genuity are forecasting full-year adjusted pre-tax profit of $11.1m and EPS of 34¢, up from $8.5m and 30¢ in the 2014 calendar year.
ACCESSO (ACSO) | ||||
|---|---|---|---|---|
| ORD PRICE: | 865p | MARKET VALUE: | £189m | |
| TOUCH: | 855-875p | 12-MONTH HIGH: | 868p | LOW: 505p |
| DIVIDEND YIELD: | nil | PE RATIO: | 105 | |
| NET ASSET VALUE: | 260¢* | NET DEBT: | 33% | |
| Half-year to 30 Jun | Turnover ($m) | Pre-tax profit ($m) | Earnings per share (¢) | Dividend per share (p) |
|---|---|---|---|---|
| 2014 | 25.9 | -0.04 | 2.33 | nil |
| 2015 | 32.1 | -1.05 | -3.46 | nil |
| % change | +24 | - | - | - |
*Includes intangible assets of $70.9m, or 324¢ a share £1=$1.54 | ||||
