Aptitude Software Group Plc · LSE:APTD
Aptitude Software — Microgen — H1 2014 Earnings Presentation
11 slides from Aptitude Software's earnings presentation, Jul 21, 2014
Slide 1: Microgen plc Interim Results for the six months ended 30 June 2014
microgen plc Interim Results for the six months ended 30 June 2014 Martyn Ratcliffe Chairman Philip Wood Group Finance Director To be read in conjunction with the interim results 21 July 2014 announcement released on 21 July 2014
Slide 2: Group Interim Results 2014
Group Interim Results 2014 • Aptitude Software • Software revenue growth of 13% to £4.5m (H1-13: £4.0m) • Increase in sales activity with paid proof of concept exercises underway in the telecommunications and other sectors • Financial Systems • Substantial increase in ROCE following capital restruct
Slide 3: Group Strategy
Group Strategy • Group Strategy to “Acquire, Enhance and Realise Value” • Strategies set for each of the Group’s current two business units • Businesses now operated as independent business units • Overall reduction in corporate/central costs with some costs transferred into the business operations
Slide 4: Aptitude Software
Aptitude Software • Software revenue growth of 13% to £4.5m (H1-13: £4.0m) • Recurring revenue now represents 55% of revenue (H1-13: 54%) • Overall revenue of £7.6m (H1-13: £7.4m) • Operating margin lower at 11% (H1-13: 20%) due to increased investment in the business as outlined in Strategic Review
Slide 5: Aptitude Software revenue and operating margin
Aptitude Software 8 40% 7 35% 6 30% Operating Margin (%) Revenue (£ million) 5 25% 4 20% 3 15% 2 10% 1 5% 0 0% H1 2013 H2 2013 H1 2014 Service revenue Initial licence fees Recurring software revenue Operating margin 5
Slide 6: Financial Systems
Financial Systems • Wealth management revenues of £3.9m (H1-13: £3.9m) representing 54% (H1-13: 52%) of overall revenue • Revenue from payment software products remains stable • Application Management business, now incorporating the minor financial services product categories, continued to decline a
Slide 7: Financial Systems revenue and operating margin
Financial Systems 10 100% 8 80% Operating Margin* (%) Revenue (£ million) 6 60% 4 40% 2 20% 0 0% H1 2013 H2 2013 H1 2014 * Operating margin is stated Other Wealth Management Operating Margin * before goodwill impairment, intangible amortisation and other exceptional items 7
Slide 8: Group Income Statement
Group Income Statement Six months Six months Year ended ended 30 ended 30 31 June June December 2014 2013 2013 £000 £000 £000 Revenue Aptitude Software 7,560 7,376 14,676 Financial Systems 7,151 7,569 15,148 Total revenue 14,711 14,945 29,824 Operating costs (excl. Group overheads) (10,263) (9,369)
Slide 9: Group Balance Sheet
Group Balance Sheet As at As at As at 30 June 2014 30 June 2013 31 Dec 2013 ASSETS £’000 £’000 £’000 Non-current assets Goodwill 41,774 41,774 41,774 Property, plant and equipment 4,964 5,277 5,022 Deferred income tax asset 742 1,016 752 47,480 48,067 47,548 Current assets Trade and other receivable
Slide 10: Group Cash Flow
Group Cash Flow Six months Six months Year ended 30 ended 30 ended June 2014 June 2013 31 Dec 2013 £’000 £’000 £’000 Cash flows from operating activities Cash generated from operations 2,037 1,416 8,103 Interest paid (304) - (119) Tax paid (630) (633) (1,728) Net cash generated from operating activi
Slide 11: microgen
microgen www.microgen.com