Tracsis acquisitions lead full-year revenue surge

Tracsis PLC (LON: TRCS), a provider of software, hardware and services for the rail, traffic data and wider transport industries, today posted an uplifting set of full-year performance fundamentals, on the back of a series of recent acquisitions.

The headline figure was a 24% year-on-year jump in revenues, up to £49.2 million. This led hikes in the Company’s EBITDA and operating profit, which were up 12% and 13% to £10.5 million and £6.7 million respectively.

Tracsis shareholders saw similar progress, with the Company’s full-year dividend rising 13% to 1.8p per share, and their fully diluted EPS increasing 8% to 27.42p.

This came on the back of the acquisition of Compass Informatics, Cash and Traffic Management Limited and Bellvedi Limited, during the period. All of which served to enhance Tracsis’s “overall product and service offering”.

Operationally, the Company also told investors that it had secured a Five-year Framework Agreement with a ‘major Train Owning Group’, they had seen continued good performance across its software offerings, strong trading in its rail infrastructure businesses, and finally, that Chris Barnes had succeeded John McArthur as Group CEO.

Elsewhere in software, Wirecard AG (ETR:WDI) announced a new partnership, while AdEPT Technology Group PLC (LON: ADT), Intelligent Ultrasound Group PLC (LON: MED) and dotDigital Group plc (LON: DOTD) all reported strong sales.

Tracsis comments

Speaking on Thursday’s results, Chris Barnes, Chief Executive Officer, stated,

“In my first report as the new CEO, I am delighted to present these results which show good growth for the Tracsis Group compared to the previous year. The results reflect the impact of the acquisitions that we have completed in the period along with strong organic growth, something which is a key focus as we look to increase collaboration and expand our product offerings across the Group. The acquisitions we have completed in the year will have a full impact in the next year, and combined with the strong pipeline of organic sales opportunities provide a good platform for future growth of the business in the years to come. I have inherited a great business, with a wide range of compelling product and service offerings, a great team of colleagues, an excellent blue-chip client base, and I am excited about the prospects for the Group.

Investor notes

The Company’s shares have rallied following today’s update, up 3.05% or 18.45p to 623.45p per share 14/11/19 15:17 GMT. The Group’s p/e ratio is 22.97, their dividend yield stands at 0.13% and their market cap is £179.24 million.


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Senior Journalist at the UK Investor Magazine. Also a contributing writer at the Investment Observer, UK Property Journal and UK Startup Magazine. Postgraduate of King's College London with a specialisation in Business Ethics. Interested in Development Economics and David Hume.