Unaudited Preliminary Results for the Year Ended 31 December 201828th March 2019
SCISYS Group PLC (“SCISYS” – AIM: SSY; ESM: SCC), the supplier of bespoke software systems, IT-based solutions and support services to the Media & Broadcast, Space, Government, Defence and Commercial sectors, is pleased to announce its unaudited Preliminary Results for the 12 months to 31 December 2018.
Financial and Operational Highlights:
- Adjusted operating profit up 16% to £5.1m (2017: £4.4m restated).
- Revenues up 10% to £58.4m (2017: £53.2m restated), of which the component relating to professional fees increased by 16% to £55.7m (2017: £47.9m restated).
- Record order book of £98.6m (2017: £88.2m restated).
- Net debt reduced to £3.1m (2017: £5.9m) despite exceptional cash outflows.
- Final dividend up 10% at 1.73 pence per share (2017: 1.57p) subject to AGM approval.
- Exceptional charges and amortisation arising on the acquisition of Annova in 2016 contributed to statutory operating profit of £2.5m (2017: £4.5m restated) and basic EPS of 4.9p (2017: 10.8p).
- Adjusted basic earnings per share increased to 13.1p (2017: 9.3p).
- Reported results for 2017 restated to reflect retrospective implementation of 2018’s new revenue recognition accounting standard, IFRS 15.
- Brexit contingency plans executed in November to protect ongoing business in EU-funded European satellite navigation programmes, Galileo and EGNOS.
- Subsequent Galileo contract wins by Space division approaching €20m in value, adding to earlier €3.9m EGNOS order, fully justified establishment of a new Irish Group holding company
- M&B division renewed a long-term BBC maintenance contract extension by at least 7 years and secured 6 new customers from the ARD group of German broadcasters.
- Early termination of Annova ring-fencing arrangements agreed with former owners to close out the earnout period and operate as a single Media Solutions division with M&B from 1 January 2019.
- BBC’s flagship TV news programmes now running live on Annova’s OpenMedia software.
- New customers added to OpenMedia client list, including German Hessischer Rundfunk and French L’Equipe 24.
- ESD division won a £2.4m defence-sector contract and extended its footprint in the transport and logistics domain with a c£2m subcontract win on Transport for London’s Future Bus Systems.
- Company Secretary, Natasha Laird, appointed to the board as Legal Director.
Commenting on the results and prospects, Mike Love, Chairman of SCISYS GROUP PLC said: