D4T4's interim revenues leap almost 200% as trading normalises

D4T4 on Tuesday reported a jump in unaudited interim profits and revenues as its trading cycle returned to normal following a heavily H2-weighted 2017.

Unaudited results for the six months ended 30 September showed a 194.5% jump in revenue to £14m, including an IFRS15 adjustment of positive £1.7m, while gross profit increased from £2.1m to £7.1m when including an adjustment of an added £1.1m.

The IT service management company’s net cash position increased from £3.9m to £12.1m and it lifted its interim dividend by 12% to 7p per share

The AIM traded company also said it had strengthened relationships with Teradata, Pegasystems, SAS and Dell Technologies through strategic partnerships.

Peter Kear, chief executive of D4t4, said: "The first six months of the year have continued our acceleration into the data platform software space, this combined with our private cloud data platform solutions has enabled us to deliver strong growth during the first half. This marks a return to a more normal trading cycle following the unusual (H2 weighted) business phasing seen last year."

With contracts forecast to close before the year end, recent new business wins and the depth and quality of prospects identified for both hybrid data platform solutions and software licence sales, the company said confidence was high that there will be a "solid" finish to the year.

"Overall, our business is in a good position and together with a strong pipeline of opportunities makes this an exciting time for the group and we look forward to the rest of FY19 with a high degree of confidence," said Kear.

D4T4’s shares were down 3.42% at 197.50p at 1200 GMT.