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InfoWave delivers solid first-half results

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InfoWave has reported solid interim results for the first half of the 2007 fiscal year, ended 31 August 2007. The company has reported top-line growth of 5,5%, with revenues climbing to R27,4-million compared with R25,96-million in the comparable period in fiscal 2006.

 Headline profit for the six-month period was R3,1-million, up 16% from R2,6-million for the same period last year, while headline earnings per share grew from 3,05 cents to 3,55. The company has a strong balance sheet, and has paid out its fifth successive annual dividend. It will continue to focus on a combination of organic and acquisitive growth.
ApplyIT, in which InfoWave acquired a majority share 18 months ago, registered a minor loss for the reporting period. It is very close to profitability, and having secured half a dozen new blue-chip clients in the first half year, it is expected to be a positive contributor to the group in the future.
Associated company Adapt-IT, a public sector specialist, had its best year to date, growing profits by 24% and adding R370 000 to group profits. It is expected to maintain this momentum as the imperatives in the public sector mandate using software to assist with delivery. Adapt-IT won eThekwini Municipality’s IT Hub, SmartXchange Company of the Year award last week.
"We have a strong pipeline of work," says InfoWave CEO Tiffany Dunsdon. "However, we are constrained by the ongoing IT skills shortage. Accordingly, we are working hard on resourcing solutions to fulfil our clients' requirements as a top priority."
During the reporting period, InfoWave also secured an independent BEE rating for the first time, and was rated as a Level 4 contributor which allows InfoWave’s customers to recognise 100% of their procurement spend for their BEE scorecard purposes. “We have long been committed to genuine transformation and are pleased with our progress in this regard,” Dunsdon says.
Prospects for InfoWave are positive and promising, adds Dunsdon. "Our existing and prospective pipeline is healthy, and we will continue to actively seek growth in organic and acquisitive areas."