Leeds-based transport data analytics firm Tracsis plc published a trading update for the six months ended January 31, 2023, saying revenue is expected to have increased to over £39 million from the £29.2 million achieved in the same period of the prior year, with strong underlying growth in both its divisions.
First-half EBITDA is expected to have increased by more than 20% from last year’s £6.2 million.
“Trading for the first half of the year has been in line with the board’s expectations …” said Tracsis.
“We continue to invest in integrating the group’s activities, technologies and operating model to accelerate future growth.
“In the first half of the year, we have taken a series of actions to restructure the group and accelerate technology investment.
“Both of these will continue throughout the remainder of this financial year as we respond to a growing pipeline of opportunities.
“Cash balances remain strong at c.£17m (H1 2022: £25.1m; FY 2022 £17.2m) which enable the group to continue to invest in organic and acquisitive growth.
“The Rail Technology & Services Division has delivered further growth in rail technology software licence usage and annual recurring revenue.
“In the UK the group has won new contracts for the deployment of its Pay-As-You-Go smart ticketing technology across smartcard, EMV (debit or credit card) and mobile app platforms; delivered the second full deployment of TRACS Enterprise; completed the roll-out of a large RailHub enterprise software contract; and saw strong demand for its remote condition monitoring technology.
“In North America, RailComm is performing well and has successfully delivered several projects in the period including a large software licence deployment with a transit customer. We continue to see good growth opportunities in this large and growing market.
“The Data, Analytics, Consultancy and Events Division saw high activity levels across all business areas supported by several large contract wins, many of which are multi-year in nature.
“Importantly both the Events and Traffic Data businesses have now completed a full post Covid lockdown recovery.
“The board’s expectations for the year ending 31 July 2023 remain unchanged.”