Shares in Tracsis (TRCS) motored up 9 per cent upon the release of these excellent interim results. The transport-focused software, technology and consultancy group fired on virtually all cylinders in the six months to 31 January, with three of its four business divisions showing double-digit revenue growth. The other division, condition monitoring, which involves real-time reporting on critical infrastructure assets, saw a slight decline, but should return to decent year-on-year growth in the second half thanks to a major £2.2m order signed in January.
Tracsis’s data-capture and passenger-counting division was undoubtedly the star performer: revenues climbed ten-fold to £5.4m following the £3.3m acquisition of Sky High early last year. Consultancy revenues also leapt 29 per cent to £0.9m, helped by a busy UK rail refranchising programme.
Chief executive John McArthur said “the second half has started well” and guided analysts to upgrade their figures. Broker WH Ireland points out that Tracsis benefits from a seasonal first-half bias, but still raised its full-year revenue and pre-tax profit forecasts by 5 and 12 per cent respectively, to £17m and £3.8m. This should give adjusted EPS of 12.3p, up from 11.2p last year.
TRACSIS (TRCS) | ||||
|---|---|---|---|---|
| ORD PRICE: | 259p | MARKET VALUE: | £ 66.0m | |
| TOUCH: | 255-262p | 12-MONTH HIGH: | 268p | LOW: 153p |
| DIVIDEND YIELD: | 0.3% | PE RATIO: | 26 | |
| NET ASSET VALUE: | 59p* | NET CASH: | £7.6m | |
| Half-year to 31 Jan | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2013 | 4.7 | 1.7 | 5.3 | 0.30 |
| 2014 | 9.8 | 2.3 | 6.7 | 0.35 |
| % change | +109 | +33 | +27 | +17 |
Ex-div:26 Mar Payment:11 Apr *Includes intangible assets of £5.9m, or 23p a share | ||||
