Adapt IT has reported a revenue increase of 10% to R721-million for the six months ended 31 December 2019.
Organic revenue declined by 1% and acquisitive growth was 11%.
Annuity revenue remains healthy and an improvement on the previous reporting period to 60%, from 58% for the same period in 2018.
Earnings before interest, tax, depreciation and amortisation (EBITDA) improved by 22% to R129-million (2018: R106-million). EBITDA margin was 18% (2018: 16%).
EBITDA, before the impact of IFRS 16, was flat at R106-million (2018: R106-million). EBITDA margin was 15% (2018: 16%).
Cash generated from operations was R74-million (2018: R54-million) representing a cash conversion ratio of 0,95 times.
Cash generated from operations, before the impact of IFRS 16 was R51-million (2018: R54-million) representing a cash conversion ratio of 0,70 times.
Earnings per share (EPS) decreased by 34% to 16,18 cents (2018: 24,48 cents). EPS, before the impact of IFRS 16, decreased by 22% to 19,18 cents (2018: 24,48 cents). Headline earnings per share (HEPS) decreased by 35% to 15,93 cents (2018: 24,47 cents) and HEPS, before the impact of IFRS 16, decreased by 23% to 18,93 cents (2018: 24,47 cents).
Normalised HEPS decreased by 19% to 28,18 cents (2018: 34,76 cents) and normalised HEPS, before the impact of IFRS 16, decreased by 10% to 31,18 cents (2018: 34,76 cents).
The board has decided not to declare a dividend and a review of the company’s capital structure is underway.