Craneware shares up on positive interim numbers

8th Mar 2016 15:25

(ShareCast News) - Automated healthcare solutions specialist Craneware reported on a solid start to its 2016 financial year on Tuesday, with revenue and profits both achieving good growth in the firm's interim results.Revenue at the AIM-traded company climbed 7% to $23.1m (£16.28m) during the period, from $21.6m, as the value of new sales contracts signed in the period increased 15% compared to the previous first half.Adjusted EBITDA rose 12% to $7.1m, and profit before tax increased 15% to $6.1m. Craneware's adjusted basic earnings per share rose 14% to 18.8 cents, from 16.5 cents in the prior period.The company claimed to have cash of $45m at the end of the period, a 24% increase on the $36.4m at the end of 2015's first half."Major changes in reimbursement and care delivery models have made understanding and reducing the cost of care, while providing quality patient outcomes, mission-critical for every healthcare provider in the US," said Craneware CEO Keith Neilson, commenting on the results.He said that, with half of healthcare payments anticipated to have a value-based component by 2018, Craneware's offerings were expanding to meet the challenges of a value-driven healthcare market and pioneering the 'value cycle'."We are confident that our position as a trusted financial performance partner will strengthen and provide us with the opportunity for accelerated long term growth, Neilson explained."The strong sales performance in the first half of the year, and our high levels of recurring revenues coupled with a record sales pipeline provide us with confidence for the second half of the year and beyond."Craneware's board proposed an interim dividend of 7.5p, a 19% increase on the previous 6.3p per share.At 1535 GMT, shares in the company were trading up 2.13% at 766p.