Interim Results for the six months to 30 June 2011

Tikit, a leading independent provider of IT consultancy, services and technology to legal and accounting firms in the UK, North America and mainland Europe, today reports interim results for the six months to 30 June 2011.

Highlights

  • Profit before tax, amortisation of acquired intangibles and share-based charges increased 36% year-on -year to £2.3 million (H1 2010: £1.7 million)
  • Strong improvement in operating margin, increasing to 17.1% (H1 2010: 12.6%)
  • Recurring support and outsourcing services revenues up 11% to £7.7 million (H1 2010: £7.0million), now contributing 58% (H1 2010: 53%) of total Group revenues
  • Earnings per share before amortisation of acquired intangibles and share-based charges up 41% to 11.8p (H1 2010: 8.4p)
  • Interim dividend up 25% to 2.5p per share (H1 2010: 2.0p)
  • Cash generated from operations in the first half increased 4% over the previous year at £2.4 million (H1 2010: £2.3 million)
  • Net cash at period end increased year-on-year by £2.0 million to £4.1 million (H1 2010: £2.1 million)

Commenting on the results, Mike McGoun, Chairman, said; “The Board is very pleased with the progress made in the first half and the Group remains in a strong position to benefit from the gradual improvement in market conditions.  The recent launch of a new cloud-based service, Tikit Legal Office, positions the Group well as the trend towards IT outsourcing in the legal industry is beginning to gain acceptance.  The fundamentals of our business are strong, and we look toward to the future with optimism.