Enlarged AVEVA Group trades in line at year-end

Engineering and industrial software AVEVA Group updated the market on its financial year ended 31 March on Thursday, based on unaudited results, with revenue for the enlarged group expected to be in-line with the board's expectations.

The FTSE 250 company combined with the Schneider Electric industrial software business on 1 March.

It explained that, provide a better understanding of the combined trading performance and to improve transparency, non-statutory results would be given for the combined enlarged group on a 12 month pro-forma basis when AVEVA reports its full year results.

Additionally, summary standalone results for the 12 months to 31 March would be shown for each of the heritage AVEVA Group and Schneider Electric businesses.

As it previously said, AVEVA’s statutory results for the financial year were required to be presented on a reverse acquisition basis.

That would represent 12 months of trading for the heritage Schneider business and the results of the heritage AVEVA Group for the one month of trading following the completion of the combination on 1 March.

“Trading for the heritage AVEVA Group was strong during the year ended 31 March,” the AVEVA board said in its statement.

“A sharp focus on sales execution, combined with a stabilisation of conditions in our oil and gas, and marine end markets, drove an acceleration of revenue growth in the second half, such that full year revenue grew at a comfortable double digit rate on a currency neutral basis, up from 5.9% in the first half.

“This included the benefit of increased initial licence fees relating to marine contracts and the impact of a substantial three-year contract renewal with one of our key global account EPC customers.”

Trading for the heritage Schneider business was said to have been “solid” during the year ended 31 March.

Trends seen during the first half largely continued, leading to low single digit revenue growth on a currency neutral basis.

Further details would be provided when AVEVA announces its results for the financial year, due on 14 June.