FDM Group posts solid results for 2016

IT-focussed professional services provider FDM Group announced its results for the year to 31 December on Wednesday, with revenue rising 18% during the period to £189.4m.

The London-listed firm said revenue from its professional contractors and employees - dubbed ‘Mounties’ by the board - surged 40% to £167.3m.

Adjusted operating profit improved 20% to £37.6m during the year, with profit before tax 20% firmer at £35.3m.

Basic earnings per share were up 19% to 24.4p, while adjusted basic earnings per share were 23% higher at 25.8p.

The company’s net cash position at the end of the year was £27.8m, a 24% improvement on its position at the start.

FDM generated £39.4m cash flow from its operations in 2016, up 8% on 2015, while its adjusted cash conversion fell 14 percentage points to 104.9%.

The board confirmed ordinary dividends per share for the period were up 19% at 19.6p.

“2016 saw the group perform well against a backdrop of political surprises, growing Mountie revenues by 40% on a reported basis and over 34% on a constant currency basis,” commented chief executive officer Rod Flavell.

“We have made a positive start in 2017 and I believe the Group is well placed to continue to deliver operational and financial progress this year and beyond.”