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Craneware PLC on Tuesday posted much higher annual revenue, following a recent US acquisition, as profit remained virtually flat due to operating costs.
Craneware is an Edinburgh-based provider of software for the US healthcare market.
Revenue in the financial year that ended June 30 doubled to $165.5 million from $75.6 million a year prior. Operating costs, however, also more than doubled to $124.3 million from $56.5 million. Cost of sales increased to $23.2 million from $5.4 million, and finance expenses jumped to $5.0 million from $76,000.
Pretax profit was virtually flat at $13.10 million, compared to $13.17 million.
In July, Craneware had said it expected to report a robust annual performance following the acquisition of Florida-based automated pharmacy procurement focused firm Sentry Data Systems Inc in July 2021, which cost it around $400 million.
The company on Tuesday proposed a lower final dividend of 18.80 US cents per year, down 12% from 21.47 US cents. The total dividend falls 11% to 33.96 US cents from 38.10 US cents.
‘We are pleased to be reporting such positive results, which clearly demonstrate the increased scale of the enlarged Craneware Group and the breadth of our future opportunity. The addition of Sentry, which was completed and integrated during the fiscal year, represents a significant milestone for Craneware,’ said Chief Executive Officer Keith Neilson.
The firm expects continued sales momentum amid an ‘ongoing, long-term transition to value-based care provides basis for sustainable future growth’.
Craneware shares were 5.3% higher at 1,905.00 pence each in London on Tuesday morning.
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