GB Group eyes better than expected profit

19th Apr 2010 08:52

Identity management business GB Group said it expects to report profits significantly better than the revised market expectations despite difficult market conditions.Profit before interest, tax and share-based payments for the year ended 31 March 2010 is expected to be approximately £1.2m, unchanged from the year before.Like for like revenues are expected to be around £22.2m, down slightly from £23.5m the same time last year. "The better than expected profitability came principally from increased gross margins in the DataSolutions business and effective cost control across the group," GB explained.Net cash balances were £5.3m at 31 March 2010 compared to £4.5m after the payment of a dividend during the year of 1.15p per share, up from 1.0p."Towards the end of the last quarter of the financial year, the market for Identity Management has shown some signs of improvement and underlying growth. Whilst it is too early to determine if this will be sustained, our business... remains very well placed to benefit from the recovery in the economy as a whole," the group said.