Shares in Escher Group Holdings, a provider of outsourced, point-of-service software to the postal industry, rocketed on Thursday after it revealed that it expects its revenue for the year ended December 31st to be 'materially ahead of market expectations'.
The news came as the company announced a contract win from POS Malaysia to deliver its new postal retail system following a rigorous tender process.
Under the contrat the group will deliver its Riposte licensed software, customisation, data centre hardware and deployment of the solution across Malaysia's network of postal outlets.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The contract is expected to have a material effect on its revenues for the year. The contract also makes provision for two years of maintenance.
Chief Executive Officer Liam Church said: "Escher's vision is to build on its position as the leading provider of platforms for the global postal industry. This contract win with POS Malaysia extends our growing customer base in Asia, demonstrates the strength of our team in this important market and is an endorsement of our vision. We are delighted that POS Malaysia has chosen us to be a central part of their Transformation Plan."
The company also said that earnings before interest, tax, depreciation and amortisation (EBITDA) for the year will be in line with expectations.
Escher's Riposte software is an end-to-end solution for post offices that provides a single platform for the delivery of all services including retail, postal, payments, money transfer, banking and government services.
The share price rose 17.28% to 237.50p by 13:30.
NR
-
Who is the richest person in the world?The top five richest people in the world have a combined net worth of $825 billion. Who takes the crown for the richest person in the world?
-
Top 10 stocks with highest growth over past decade - from Nvidia, Microsoft to Netflix, which companies made you the most money?
We reveal the 10 global companies with the biggest returns since 2013. One firm has posted an astonishing 9,870% return, meaning a £1,000 investment would now be worth almost £82,000.
