EMIS ends first half in 'strong' financial position

11th Jul 2023 14:01

(Sharecast News) - Healthcare software and service provider EMIS Group said in an update on Tuesday that its first-half performance was in line with the board's expectations, reflecting its anticipated growth pattern with a heavier focus on the second half of the year.

The AIM-traded firm said it maintained its prominent positions in specialist markets, and experienced the benefits of substantial recurring revenue.

It said it remained in a robust financial position, with net cash of £48.5m at period-end on 30 June, compared to £53.6m at the same time last year

"In EMIS Health, the group is continuing to invest in its technology and cloud refresh strategy to support its customers across the NHS," the board said in its statement.

"Modest revenue growth was held back by the ongoing steady planned reduction in lower margin resale partner activities."

It said that encouragingly, the delivery run rate of previously-secured digitisation contracts increased towards the end of the half-year.

"In EMIS Enterprise, the group continues to grow its analytics business, and won new market share in community pharmacy for delivery in the second half.

"Performance in partners and Pinnacle remained robust, although below levels in the comparative period which benefitted from some significant one-offs."

At 1359 BST, shares in EMIS Group were up 0.44% at 1,360p.

Reporting by Josh White for Sharecast.com.