Netcall expects 20% profits growth as acquisition pays off

In a trading update for the year ended 30 June, the company said the complementary fit of MatsSoft and Netcall’s offerings resulted in revenue growth from initial cross and up-sales, alongside new international sales and partnership deals.

Chief executive Henrik Bang said: "We are delighted with the success of MatsSoft which, in the year of its acquisition and integration, performed well. Low-code is accelerating digital transformation by putting the power of software creation into the hands of business users and organisations are still in the early stages of adopting this technology."

After a strong order inflow and ongoing transactions relating to SaaS contracts, the firm said its means adjusted EBITDA is expected to be 20% higher than last year’s £4.5m.

The AIM traded company also reported that renewal of its largest customer resulted in a four-year contract worth £3.7m and that it is the only UK vendor recognised in the newly published Gartner Magic Quadrant for high productivity platforms.

At 30 June Netcall’s net debt stood at £0.7m comprising £5.8m of cash less £6.5m of loan notes.

Netcall’s shares were up 1.94% at 76.20p at 1146 BST.