CRANEWARE, which supplies billing software for the US healthcare market, has returned to revenue growth in the first half in the six months ended December 31, against a backdrop of the pandemic and “volatile” dollar exchange rate.
The Edinburgh-based group said increased sales momentum has resulted in growth in revenue and adjusted earnings before interest, taxes, depreciation, and amortisation (Ebitda) levels of greater than five per cent compared to the first half of the previous year with revenue at $35.9 million and adjusted Ebitda of $12.7m.
The group secured new sales at a “significantly higher level” than in the first half of the year before, it said, which paved the way for a return to double-digit percentage growth in future.
It said the majority of the revenue resulting from sales and existing contract renewal will be recognised over future periods, “providing the group with long term visibility of revenue under contract”.
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It continues to invest in the expansion of its cloud-based financial and operational performance platform, Trisus, and sees “significant new opportunities entering the sales pipeline”.
Keith Neilson, chief executive, paid tribute to its healthcare-based customers working on the front line of the pandemic. “I am immensely proud of the efforts of our team, who have ensured we have delivered for our customers when they have needed us the most,” he said.
“We are pleased to report a return to growth at both the revenue and Ebitda levels, following the continued positive sales momentum. We remain cognisant of the ongoing macro uncertainties, but with a strong balance sheet, high levels of recurring revenue, expanding product offering and healthy sales pipeline, we are in a strong position as we enter the second half of the year.”
Full year revenue estimates are at $74m and adjusted Ebitda expected to be $25.3m. Shares closed up 2.3% at 2,240p.