E-services provider Aqua Online Holdings has reported a sparkling set of results for the six months to 31 December 2000, increasing headline earnings per share more than 140% from the corresponding period in 1999.
Joint-CEO Brent Shahim says the performance is despite a background of negative sentiment towards companies in the IT sector.
"The significant growth in demand for Aqua`s e-services has translated into results which reflect strong organic growth from operations," he adds.
"With 81% of pre-tax profits being annuity in nature, the group has built a solid foundation of repeat and predictable cash flows."
Revenue rose 308.7% to R36.25 million (1999: R8.87 million), significantly higher than the R27.62 million turnover for the entire 1999/2000 financial year.
Earnings before interest, taxation and depreciation increased to R11.06 million (R2.62 million), while attributable earnings soared by 416.3% to R10.44 million (R2.02 million).
Headline earnings per share increased 140.6% to 3.97c (1.65c).
The net asset value increased to 14.32c (2.03c) per share at the end of the six months.
Shahim says 66% of total group revenue and 91% of income before tax is derived in foreign currencies, mainly dollars and sterling.
He notes that the group has cash of R32 million, up from R24.8 million in June last year.
"Management will continue to operate within a framework of strict financial discipline, focusing on Aqua`s core competencies in the e-services market.
"The six months ahead look positive for the group with a substantial order book in the enablement division, and increased clients and client performance on the administration side of Aqua`s business."
He adds that the group is confident of sustained future success.
Aqua Online`s share, which lost 1c on the JSE yesterday, slipped another 3c or 2.17% by mid-morning to trade at 135c today.
The group`s shares are scheduled to be dematerialised from 5 March, with electronic trading beginning on 26 March and settlement starting on 2 April.
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Aqua continues to exceed expectations
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