Tracsis sees full year results in line with market views

Tracsis, a provider of software and technology led products and services, expects full year results to be in line with market views, with pre-tax profit lower than the previous year but revenue and earnings ahead.

Revenue for the six months ended 31 January came in at over £14m from £12m in the first half of 2015, thanks to organic growth and the contribution from the acquisitions of SEP and Ontrac.

The company said adjusted earnings before interest, taxes, depreciation and amortisation from continuing operations are expected to be slightly ahead of the previous year’s £3.3m.

However, statutory pre-tax profit will be weaker due to the exceptional costs incurred in relation to the acquisitions made, the disposal of the Australian operations, and the seasonality of the acquired businesses

Tracsis said the seasonality bias only relates to the specific timing of the acquisitions made and will be reversed in the second half of the financial year where profit is expected to be significantly stronger than the first half.

“Given a good start to the financial year, the board is confident the group is well placed to deliver full year results in line with market expectations and remains vigilant to changing market conditions.”

At 0926 GMT, Tracsis shares were down 5.8% to 463.95p.