JSE-listed Adapt IT Group today announced its annual results for the year ending 30 June 2012, reflecting a 24% increase in revenue to R224.8 million, against R180.9 million, the annual equivalent of the last financial year. Operating profit increased by 48% to R22.2 million (2011: R15.0 million). The basic earnings per share (EPS) were 54% higher than the comparable period at 17.46 cents per share (cps) (2011: 11.36 cps), with headline earning per share (HEPS) 52% higher at 17.45 cps (2011: 11.46 cps).
The Group announced the declaration of its 10th dividend of 4.84 cps, which is 70% higher than the dividend declared last year, payable on 17 September 2012.
Over the past five years, the Group's revenue has increased four-fold, from R56.4 million to R224.8 million; operating profit from R8.5 million to R22.2 million; and HEPS from 8.17 cps to 17.45 cps. The staff complement has more than doubled from 121 to 277 employees at the end of June 2012.
The Adapt IT Group operates as a group of business divisions led by a core team of executives under a single Adapt IT Group brand. In the reporting period, the Adapt IT Group operating segments provided a variety of specialised turnkey IT solutions and services to the education, manufacturing and financial services sectors.
Sbu Shabalala, CEO of Adapt IT Holdings, says: "The Group delivered a sterling financial performance under challenging market conditions, through the implementation of the sustainable growth and diversification strategy adopted by the board. The strategy aims to deliver revenue and profits higher than average returns for the South African ICT market. Some of the key strategic achievements for the year under review included: increasing education sector market penetration; improving the manufacturing sector's operational efficiency; introducing the financial services sector competence through the BI Planning Services (BiPS) acquisition; improving customer service; and maintaining the level 3 BBBEE rating."
Shabalala says the Group is progressing with its initiative to attract new customers, led by operational management who are implementing the organisation's organic growth strategy. The Group continues to seek earnings-enhancing acquisitions.
"In spite of the global economy not being expected to experience a dramatic turnaround in the next financial year, we continue to seek growth prudently and explore diversification into higher growth sectors to hedge against any downturn. We believe the Adapt IT Group is well placed to continue its performance and that it is fast becoming a compelling investment in shareholder portfolios."
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Adapt IT
The Adapt IT Group has over 277 staff throughout SA, providing a range of specialised IT solutions and services to customers in manufacturing, education and financial services across SA, the rest of Africa, Australasia, the US and Europe.
www.adaptit.co.za
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