Software firm eg solutions predicts break-even for 2015

STAFFORDSHIRE back office optimisation software supplier eg solutions has predicted its full-year results will achieve break-even.

In a trading update for the year ending January 31, 2016, the Dunston-based said the performance was in line with current expectations.

“However, as a result of a number of sales which will not now close before January 31, 2016, this will be achieved with lower than expected revenues. The sales remain in our pipeline and under negotiation,” it said.

Turnover is expected to increase by approximately 13% to around £4.0m (2015: £3.55m) for the second half of the year and the firm said it expected the full year would reflect sales of approximately £7.6m (2015: £7.54m).

It said that as previously disclosed, the 2015 full year figure would benefit from one-off sales of approximately £1m. Excluding these, underlying sales growth is approximately 16% over the last 12 months.

“The company has returned to profit in the second half of the year as a result of costs being broadly in line with the first six months and the sales improvement outlined above. Our balance sheet remains strong and we expect cash to be approximately £3m at the year end,” adds the update.
 
“We are continuing to focus on multi-year hosting deals and we are pleased to report that our contracted order book, as at December 31, 2015, has risen by a further 11% since September 2015 from £15.4m to £17.1m. Our growing order book provides greater security to the business over the medium term.”
 
The company will announce its results for the year ended January 31, 2016 on March 23.