It may have only been trading on AIM for a few days, but software developer GetBusy PLC (LON:GETB) has already given its new shareholders cause for celebration with a solid set of maiden interim results.
The company – which was formed through the demerger of Aussie-listed Reckon’s document management and software business – swung to a profit in the first half thanks to a healthy improvement at the top line.
Revenues and profits rise, costs fall
In the six months ended 30 June, GetBusy saw revenues climb by 24% to £4.56mln (H1 2016: £3.68mln) which helped it to turn a small profit of £71,000 (H1 2016: £15,000 loss).
Just over 80% of those total sales came from recurring revenue subscriptions, giving the group good visibility of future income.
GetBusy said it had enjoyed strong growth across all its international revenue streams during the period, with UK sales up 9%, USA up 37% and other territories up 88%.
A cost efficiency drive is also paying off, as development costs lowered by 12% year-on-year to £1.1mln, which helped the operating margin rise to 17% (H1 2016: 10%).
CEO ‘delighted’ with maiden interim results
“We are extremely pleased with the financial results for the first half of the year,” said chief executive Daniel Rabie.
“Our key focus for the second half of the year remains streamlining our operations, continuing to meet customers' product demand and identifying new growth opportunities through R&D, additional acquisition channels or new verticals.”
He added: “GetBusy is in an excellent position to exploit the opportunities in the market. The strong trading results continue to validate our strategy and business model and our mission to create productive and happy customer and increase shareholder value.”
Only listed on Friday
GetBusy only joined the junior market on Friday (4 August), when it had a market capitalisation of just under £14mln having raised £3mln through a rights issue at 28.3p apiece.
The group’s key assets are two document-management software products – SmartVault and Virtual cabinet – both of which added more customers in the first half of the year.
GetBusy added that there is no reason why its two flagship assets can’t keep on adding to their current combined user base of 56,000 customers at the same rate.
Shares gained 8.5% on Tuesday Morning to trade at 38p.