Aveva swings to FY loss despite 'solid' revenue growth

8th Jun 2022 07:01

(Sharecast News) - Information technology consultancy Aveva delivered "solid" full-year results on Wednesday, with annual recurring revenues up 10.2% at £768.7m and statutory group revenues up 44.5% year-on-year at £1.18bn.

However, Aveva also reported a full-year pre-tax loss from operations of £6.5m, primarily due to the amortisation of £226.1m in intangible assets - a marked difference when compared to the pre-tax profit of £36.6m recorded in FY21.

The FTSE 100-listed group reported a diluted loss per share of 20.8p, dropping from the prior year's earnings per acre of 11.3p, but still proposed a final dividend of 24.5p per share, up 4.3% year-on-year.

Aveva noted that its full-year revenue growth came principally as a result of the group's recent acquisition of OSIsoft, with both revenue and cost synergies in line with internal plans.

Chief executive Peter Herweck said: "Aveva delivered a solid set of results in FY22 as the business recovered following disruption caused by the Covid pandemic. During the year we made good progress with the integration of OSIsoft and have recently launched integrated products that will drive further revenue synergies.

"I am excited about the opportunities ahead of us as Aveva enables the connection and digitalisation of the industrial world. We are focused on accelerating growth in annualised recurring revenue and expect Aveva's growth rate on this metric to significantly improve."

Reporting by Iain Gilbert at Sharecast.com