Castleton Technology PLC (LON: CTP) have announced their six month trading figures. Performance has slipped since the last update as stock prices fall drastically.
They provide software and managed services to the public and not for profit sectors. Working alongside 600 social housing providers in the UK, Australia and Ireland, the shares of Castleton have seen a decline of 40.86%.
The company reported revenues of not less that £11.6 million in six months to September 30th, significantly less than sales of £12.9 million in the same period in 2018.
Adjusted EBITDA of not less than £2.9 million and cash generation of of not less than 79% EBITDA.
Dean Dickinson, CEO of Castleton said “The second quarter of the financial year has been significantly weaker than we expected particularly compared to the strong comparable period last year. This is primarily due to revenues of a one -off nature. Whilst this is difficult in the short term it highlights the importance of transitioning away from one – off revenues and focusing our efforts on growing our recurring revenues. In the first quarter of the year we reorganised the Group to streamline our sales and delivery functions . Embedding this has both taken longer and been more disruptive than we anticipated, however it positions the Group well for the longer term. Despite these short term challenges, we are confident that the move to ‘One Castleton’ will enable us to offer customers better service and drive future growth.