Digital and communication services group Hasgrove reported a 16 per cent like-for-life (LFL) increase in revenue for the half year ended June 30th, boosted by an improved performance by both Amaze and Interact.
Gross profit rose 11% on a LFL basis to £9.1m (H1 2011: £8.2m) on revenues of £12.2m (H1 2011: £10.5m). Pre-tax profit came in at £0.7m (H1 2011: £0.1m), with basic earnings per share at 2.0p, up from 0.5p the previous year.
The group's net debt at June 30th was £1.0m (December 31st 2011: £1.5m).
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Get 6 issues 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 first half of 2012, in comparison with the second half of last year, has seen a significant improvement in the performance of Amaze and Interact with improved efficiencies and greater control of projects.
Amaze, a full-service marketing and technology company, delivered a gross profit of £6.6m during the period partly on the back of successful new business activity.
Interact, the firms intelligent intranet software supplier, made a gross profit of £1.5m and recorded its highest ever figure for new business sales of its flagship software, Interact Intranet, including three intranet sales each in excess of £100,000. The average sales value for an intranet continues to increase and support revenues should now exceed £0.8m on an annualised basis.
Hasgrove's creative design consultancy delivered a gross profit of £1.0m. It had a difficult start to the year due to delayed spend from a major client for the second consecutive year. However, there has been an increased effort in new business development and cost reduction to manage this temporary situation, it said.
Based on the improved performance of both Amaze and Interact, the company is confident of achieving its full year targets.
Paul Sanders, Group Chief Executive, said: "The first half of 2012 has seen a significant improvement on the second half of last year. Our focus on the provision of digital solutions for global organisations, along with our restructuring, has paid dividends resulting in improved efficiency, better delivery of projects and good new business wins.
"The pipelines of both Amaze and Interact are strong, having secured wins with prestigious clients, giving us confidence in achieving our full year expectations."
The share price rose 4.17% to 37.50p by 14:10.
NR
Review: Eden Roc Cap Cana – fun, sun and golf in the Caribbean
Reeves delays cash ISA reform, but savers are not out of the woods yet
