Micro Focus International plc ("Micro Focus", "the Company" or "the Group", LSE: MCRO.L) announces interim results for the half-year to 31 October 2007.
Key financial highlights
* Revenue up 38% to $108.9m (2006: $79.0m)
* Adjusted operating profit* up 34% to $41.0m (2006: $30.4m)
* Adjusted EBITDA up 34% to $41.8m (2006: $31.3m)
* Adjusted profit before tax up 31% to $41.7m (2006: $31.8m)
* Adjusted earnings per share 14.58 cents (2006: 12.17 cents)
* Cash balance as at 31 October 2007 of $50.7m (2006: $68.2m)
o $45.9m cash utilised during H1 to fund the acquisition and restructuring of Acucorp, Inc. ("Acucorp")
* Cash generated from continuing operations $29.8m (2006: $21.2m)
* Interim dividend increased 20% to 3.6 cents per share (2006: 3 cents per share)
* Expect second half revenues to be broadly similar to those of the first half
* Expect to maintain EBITDA margin at a consistent level in the second half (38.4%)
* Expect continuing double digit near term growth from the core business at constant currencies
* Operating profit $31.9m (2006: $30.0m)
* EBITDA** $34.7m (2006: $30.9m)
* Profit before tax $32.6m (2006: $31.4m)
* Basic earnings per share 11.40 cents (2006: 12.03 cents)
Business Highlights:
o 21% organic revenue growth achieved for the half-year o 17% organic revenue growth at constant currencies for the half-year o 38% total revenue growth including the positive impact of recent acquisitions o Total North American organic revenue growth of 13% o Direct sales into Global 2000 targets progressing well with larger value licence fee transactions ahead of expectations in the first half o Integration of Acucorp now complete
Stephen Kelly, Chief Executive Officer of Micro Focus, commented:
"Over the past six months, we have delivered a strong set of financial results and made our second acquisition to further our strategic aims. We have again successfully executed ahead of our initial expectations.
Micro Focus benefits from having a business model with a high proportion of predictable and recurring revenues. This robust model, together with the motivation on the part of CIOs and company boards to get more out of their existing IT assets, means we should be well positioned either side of the economic cycle.
Over the past five years our second half-year revenue performance has typically been above that achieved in the first half-year. However, after such a positive start to the year it is appropriate to assume that second half-year revenues will remain broadly similar to those achieved in the first half-year. We aim to achieve profitable revenue growth and, as such, we will look to maintain EBITDA margins at a consistent level for the second half-year.
Following the 2006 strategic review we were confident of achieving single digit organic growth and our stated aim has been to drive for consistent double digit growth. We can now see continuing double digit near term growth at constant currencies from the core business.
A robust and sustainable market exists to support our growth strategy and our key focus remains on organic growth although we continue to review the potential for acquisitions in support of this strategy."
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Over Micro Focus
Micro Focus, lid van de FTSE 250, levert innovatieve software die ervoor zorgt dat bedrijven de waarde van hun bedrijfsapplicaties kunnen vergroten. Micro Focus Enterprise Application-software voor modernisering en beheer zorgt ervoor dat de applicaties van klanten snel zijn aan te passen aan marktveranderingen. Tevens ondersteunen Micro Focus-oplossingen moderne architecturen die lagere kosten en minder risico met zich meebrengen. Voor meer informatie:
www.microfocus.com.
Voor meer informatie:
Lammers van Toorenburg Benelux PR
Anja Breunis
Tel.: +31 (0)30 656 50 70
E-mail:
anja@lvtpr.nl