Advanced Computer Software, which provides software and services to both public and private sector organisations, has ridden out the worst of the downturn in business spending to increase full-year adjusted pre-tax profits by 13 per cent to £21.2m as NHS Trusts and private business updated their IT software to support cloud computing and smartphone applications.
The company's healthcare division grew revenues by 14 per cent to £22.7m, with mobile applications designed to improve staff efficiency the main source of growth. That performance was matched at the business solutions division after interest from local authorities in the group's shared services offering helped drive revenues up by 9 per cent to £53.6m. This segment offers mobile devices, apps and airtime in a single bundle. The company has also been benefiting from the significant investment by the public and private sectors in cloud computing. Management also noted that cross-selling between the divisions was providing leads for new customers.
Canaccord Genuity expects current year pre-tax profits to rise 10 per cent to £23.3m, giving EPS of 4.3p (4.2p in 2012).
