Mediazest shares fell 7.1% to 0.07p in late afternoon trading on Tuesday following a 66% growth in revenue to £1.4 million compared to £846,000 in HY1 2022 as a result of easing Covid-19 restrictions and client projects recommencing.
The firm reported a gross profit increase of 84% to £756,000 compared to £410,000, along with a gross margin rise of 54% against 48% the last year.
Mediazest mentioned a climb in administrative expenses of 35% to £618,000 from £459,000 the year before linked to the furlough scheme ending and staff returning to the office as hybrid working kicked off.
The company announced a EBITDA of £138,000 against a loss of £49,000 year-on-year, alongside a net post-tax profit of £40,000 compared to a loss of £160,000 in the previous year.
The group noted cash and cash equivalents of £46,000 from £16,000 as of 31 March 2022.
Mediazest highlighted a strong outlook for FY 2022, with its long-term clients expanding the range and number of deployments with the firm and new opportunities emerging in Europe, with the board currently in the process of establishing an office in mainland Europe to better capitalise on new opportunities and facilitate project delivery post-Brexit.
The company confirmed strong recurring revenue streams, alongside the addition of new clients as it eyes potential acquisitions in a bid to unlock shareholder value.
Mediazest commented it remained aware of macroeconomic headwinds, however it reported strong demand across its sectors and estimated growth in FY 2022.