IMImobile PLC, a cloud communications software and solutions provider, today announces its consolidated unaudited interim results for the six months ended 30 September 2019.
The Group is pleased to report it has continued to maintain strong momentum and has now achieved a five-year gross profit compound annual growth rate (CAGR) of 21%.
Key financial highlights
· Performance in line with Board expectations, with on-going positive momentum
· Revenue up 24% to £83.0m (2018: £67.2m)
o Organic1 revenue growth of 18%
· Gross profit up 21% to £35.2m (2018: £29.2m)
o Organic1 gross profit growth of 12%
· Adjusted EBITDA2 up 27% to £9.8m (2018: £7.7m)
· Adjusted profit after tax2 up 12% to £5.2m (2018: £4.7m)
· Profit after tax on a statutory basis of £0.7m (2018: loss of £0.1m)
· Adjusted diluted EPS2 up 5% to 6.9p (2018: 6.6p)
· Adjusted cash generated from operating activities2 of £12.5m representing operating cash conversion3 of 127% (2018: 80%)
· Net debt4 at 30 September 2019 of £21.8m (31 March 2019: £7.5m) following the increase of debt facilities by c£15m to fund the acquisition of 3Cinteractive for initial consideration of $43.2m
Operational highlights
· Organic growth in all regions and business units
· Milestone strategic acquisition of 3Cinteractive Corp. (“3Cinteractive”) being integrated, strengthening position in North America and establishing a global leadership position in Rich Communications Services (“RCS”) Business Messaging
· Strong period of new client wins – multiple new contract wins across all regions, renewals of all major contracts falling due in the period with strong pipeline of new opportunities
· Various new launches utilising new richer messaging channels, Apple Business Chat, RCS and WhatsApp Business
Subsequent events
· Post period end acquisition of Rostrvm, a UK-based contact centre software provider, for up to £3.5m to provide the Group with additional voice channel and contact centre capabilities
1 Excluding acquired business of Impact Mobile and 3C.
2 See note 5 for details of adjusted performance measures, adjusting items and a reconciliation of statutory results to adjusted results.
3 Cash conversion is defined as adjusted cash generated from operations (see note 5) as a percentage of adjusted EBITDA
4 Net debt is defined as cash and cash equivalents less bank borrowings and reflects cash paid to acquire Impact Mobile in July 2018.
Jay Patel, Chief Executive Officer of IMImobile PLC, commented:
“89% of companies are now competing primarily on the basis of customer experience1, meaning demand for customer communication software has never been greater. Our enterprise-grade offering, and comprehensive set of applications addresses the needs of the largest complex global organisations. With the introduction of new, richer communication channels, we are excited about the possibilities for dramatically improving customer experience.”
“We have made strong organic progress throughout the first half of the year and expect the positive momentum to continue through to the year end and beyond. The acquisition of 3Cinteractive provides a solid foundation in the US and we are very confident of success in this market. The outlook for the year is positive and we are trading in line with Board expectations.”
imimobile
