Elixirr confident after 'robust' first half

Challenger consultancy Elixirr International reported a 39% rise in first-half revenue on Tuesday, to £33.4m, with group revenue reaching new records in four of the period’s six months.

The AIM-traded company said organic revenue growth was 8% for the six months ended 30 June, with material contributions coming from the two acquisitions made in 2021 and 2022 together adding 31%.

Adjusted EBITDA was ahead 28% to £10.4m, as the firm maintained its “strong track record” of profitability with an adjusted EBITDA margin of 31%.

Profit before tax rose 31% to £8.4m, and adjusted diluted earnings per share were 21% higher at 15.1p.

Elixirr’s board said it remained confident in the group's outlook for the full 2022 year, with revenue expected to be in the range of £70m to £75m, and adjusted EBITDA expected to be at least £20m - just above current market expectations for £19.9m.

“So far on a macro-level, 2022 has not been without its challenges, but Elixirr's ability to adapt to changing market demands has continued to be evident in the first half of the year,” said chief executive officer Stephen Newton.

“We can see the results of our profile growing in the market and have reaped the benefits of our expanding capabilities as we continue to provide an extensive range of services to our clients, while retaining our bespoke and personalised approach - a key differentiator for us in our industry.”

Newton said the company had continued to pursue each element of its four-pillar growth strategy “with rigour”, and had sustained “robust” levels of growth since listing in 2020.

“Our ambition for Elixirr is only growing, and I'm looking forward to seeing what we can achieve in the remainder of the year and beyond.”

At 0905 BST, shares in Elixirr International were down 0.58% at 691p.

Reporting by Josh White at Sharecast.com.