- Revenues are in line with last year at £25.2m (2019: £25.4m)
- Recurring revenues increased to 56% (2019: 53%) (includes maintenance, support, subscription and SaaS revenue)
- Reported operating profit up 9% to £4.2m (2019: £3.8m)
- Profit before tax up 12% to £3.9m (2019: £3.5m)
- Reported basic earnings per share up 18% to 3.9p (2019: 3.3p)
- Adjusted operating profit* up 12% to £5.1m (2019: £4.5m)
- Adjusted basic earnings per share* up 17% to 4.8p (2019: 4.1p)
- Free cash flow** up 36% to £5.5m (2019: £4.1m)
- Net cash £6.2m, with £10.7m cash at year end (2019: £1.1m net cash)
- Final recommended dividend of 0.40p
- Continued to expand our customer base and maintained high customer retention levels.
- Transitioned the global workforce to home working in the face of Covid-19 restrictions. Continued our daily business and customer support and training without any disruption to customers.
- Released our ShireSystem Wallboard leading performance indicator module which visually shares relevant, actionable data with a number of stakeholders.
- Continued to invest in the development of Memmo, our SaaS site management software which received a positive response with both new and existing customers in our Swedish markets.
- Released Powerproject subscription licencing.
- Released the first version of Bidcon Connect enabling customers to get read access to estimations in the cloud.
- Winner of best ‘Project Management Software of the Year’ of the seventh consecutive year at the UK Construction Computing Awards.
In light of Eleco’s resilient trading performance and cash generation in 2020, the Board has decided to recommend a final scrip dividend of 0.40 pence per share, with a cash alternative dividend of 0.40 pence per share.
Payment of the final dividend will follow approval by shareholders at the Annual General Meeting. The record date is the close of business on 14 May 2021; the ex-dividend date will be 13 May 2021.
The start to trading this year has been strong, with revenues for the two months to February 4 per cent higher than the equivalent, pre-Covid-19 period in 2020.
We are confident that our business will begin to bear the fruit of its new refined vision and strategy over the next 12 months and beyond. Market trends are in our favour, providing strong tailwinds for our future growth and, as a cash generative, IP backed, award-winning provider of software solutions to the construction and built environment sectors, we have a strong foundation for future growth. We look forward to updating the market in respect to our execution milestones, including progress with R&D, international expansion and extending our management team.
Importantly, the market opportunity for Eleco is compelling; the markets we serve are experiencing an accelerated adoption of technology due to the pandemic, rising material costs and increased regulation. The strong start to trading that we have experienced since the beginning of 2021 attests to this. With a strong customer base and a high level of recurring revenue, we look to 2021 and beyond with confidence and to building further shareholder value.