Elecosoft's jump in profits overshadowed by board changes

12th Sep 2018 09:09

(Sharecast News) - Construction software specialist Elecosoft saw its shares dip on Wednesday after news of finance director Simon Morgan's resignation overshadowed the release of strong interim results.Morgan, who has served in senior finance positions at MeteoGroup, Elsevier and RELX Group, will be replaced by Benjamin Moralee, who has been interim deputy finance director of the company since March, with immediate effect.Elecosoft's shares were down 8.19% at 78.04p at 0910 BST.John Ketteley, executive chairman of Elecosoft, said: "I would like to thank Simon Morgan for his contribution in his time with the company and wish him the best for the future, and welcome Ben to the board. In light of the company's first half performance, we look forward to the remainder of 2018 with confidence."Aside from this personnel change, the firm's results appeared strong with a 5% increase in revenue to £10.6m and a 15% jump in operating profit to £1.2m.At 30 June the AIM traded company had cash and cash equivalents of £5.3m, up by 50% on the same point last year.Consequently, the company increased its interim dividend by 40% to 0.28p per share."Elecosoft has performed well in the first half of 2018. Our revenue growth has accelerated, cashflow remains strong, we have made good progress with our software development and the acquisition of Shire Systems has broadened and strengthened our product portfolio," said Ketteley.Computerised maintenance management software firm Shire was acquired for £6.3m in July and boasts 800 customers, 3,500 users, profit before tax of £0.7m and unaudited revenues of £1.9m across 2017.