IN BRIEF: Gamma Communications expects 2023 earnings to meet consensus

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Gamma Communications PLC - London-based cloud communication services provider - Expects ‘healthy’ growth in its 2023 adjusted earnings before interest, tax, depreciation and amortisation, as well as earnings per share. Says this is in line with market consensus of a range of £113.8 million to £116.0 million for adjusted Ebitda, and 74.2pence to 77.4p for adjusted EPS, compared to £105.1 million and 71.8p a year ago respectively. Net cash balance at December 31 was £134.8 million, up 46% from £92.5 million the year before. Expects to announce its 2023 financial results on March 25.

Chief Executive Andrew Belshaw says: ‘Gamma continues to deliver high cash generation, allowing for the self-funding of bolt-on acquisitions while growing net cash by 45% to [£135 million] and is well positioned to continue to grow in 2024 with strong relationships, our evolving in-house and third-party solution set and Gamma’s resilient recurring revenue model.’

Current stock price: 1,160.00 pence, up 4.7% in London on Tuesday

12-month change: up 1.8%

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