ULS Tech's half year profits in line with expectations

ULS Technology, a provider of online platforms for the conveyancing and financial markets, reported that half year profits were in line with expectations against a downturn in the housing market in wake Brexit vote.

In an update for the six months ended 30 September, revenue is expected to be marginally up from last year to £9.78m with underlying pre-tax profit rising about 4% to £1.93m and continued cash generation.

The AIM-listed company said the growth was gained against the backdrop of a difficult market environment as UK house transaction volumes were down 9% compared to last year.

Although, the company said market activity has increased since early September as it saw improvement in the volume of instructions received.

Chief executive Ben Thompson said: "Regulatory changes to the buy to let market and uncertainty caused by the EU referendum led to a well-publicised slowdown in the housing market in the first half of the year, but the market appears to have stabilised and be improving since the end of the summer.”

During the first half of the year the company won contracts with new businesses and gained a pipeline of prospects, which the could lead the company to increase its market share and meet the expectations for the year.

Shares in ULS Technology were down 2.11% to 69.50p at 1104 GMT.