Concurrent Technologies rallies on ‘excellent sales’

Concurrent Technologies rallies on ‘excellent sales’

Computer Integrated Systems Design company Concurrent Technologies PLC (LON: CNC) saw its share price rise on progress in its fundamentals.

The Group’s turnover rose from £7.9 million to £9.5 million in a year-on-year comparison for the first half. This led growth in its operating profits, up from £1.1 million to £1.6 million on-year, and a hike in profit before tax from £1.1 million to £2.7 million, in a comparison of the same period.

Its shareholders saw similar progress, with adjusted EPS for the first half up from 1.50p to 2.21p for the first half, and its H1 interim dividend per share up from 0.95p to 1.05p.

The Company said its increased order intake resulted in a record order book, with defence making up 58% of Concurrent Technologies turnover and exports making up 90% of Group revenues.

It added that it had appointed two senior managers during the period and that its investment in R&D had increased from £1.2 million to £1.4 million during the first half. Going forwards, the Company said it remained committed to further investment in its UK manufacturing facility.

Concurrent Technology

Michael Collins, Chairman, stated,

“The operational performance during the first half of the year has been strong with excellent sales, good cost control and successful recruitment into the senior management team.”

“Whilst the turnover of the first half may not reach the same level in the second half, the increased order intake has resulted in a new record order book, the majority of which is expected to ship within the next 12 months. As such, the Board is confident that the Company will deliver a successful performance for the full financial year.”

Investor notes

The Company’s shares rallied 8.65% or 5.45p during Tuesday trading, up to 68.45p a share 10/09/19 13:06 BST. The Group’s p/e ratio is 15.44, their dividend yield stands at 3.36%.

Elsewhere in the tech sector, there were updates from; Midwich Group PLC (LON: MIDW), ProPhotonix Ltd (LON: PPIX), Frontier Developments PLC (LON: FDEV), Gamma Communications PLC (LON: GAMA), Maintel Holdings plc (LON: MAI), Bigblu Broadbend PLC (LON: BBB) and Avanti Communications Group PLC (LON: AVN).