1 March 2021 - Craneware (AIM: CRW.L), the market leader in Value Cycle software solutions for the US healthcare market, announces its unaudited results for the six months ended 31 December 2020.
Financial Highlights (US dollars)
· Revenue increased 6% to $38m (H1 2020: $35.9m)
· Adjusted EBITDA1 increased 5% to $13.3m (H1 2020: $12.7m)
· Profit before tax increased 3% to $9.9m (H1 2020: $9.6m)
· Adjusted basic EPS2 increased 5% to 32.5 cents per share (H1 2020: 31.1 cents per share)
· Cash position of $50.7m (H1 2020: $45.0m)
· Interim dividend increased 4% to 12p per share (H1 2020: 11.5p per share)
· Further investment in R&D and innovation of $11.6m (H1 2020: $10.3m), of which $4.5m capitalised (H1 2020: $4.0m), to take advantage of the growing market opportunity
1. Adjusted EBITDA refers to earnings before interest, tax, depreciation, amortisation, share based payments and acquisition and share transaction related costs.
2. Adjusted Earnings per share (EPS) calculations allow for the tax adjusted acquisition costs and share related transactions together with amortisation on acquired intangible assets
· Continued operational and financial progress despite ongoing COVID-19 backdrop
· New Sales* more than 30% ahead of strong comparable period in the prior year
· Strong growth in Trisus® metrics:
o More than 500 hospitals now using the Trisus platform
o Trisus solutions accounted for c. 16% of New Sales (H1 2020: 10%)
o Over 90m anonymised aggregated patient encounters included within data on the platform, an increase of 30% in the last three months
· Remaining core solutions, Chargemaster Toolkit and Pharmacy ChargeLink, on track to be migrated to the Trisus platform within the next twelve months
· Strong customer retention rates above 90% with dollar value of renewals returned to c.100%
· Strong sales pipeline for the current financial year and beyond
· As at end of December 2020, total visible revenues of $206.4m for the three-year period to June 2023 (H1 2020 same three-year period: $189.6m)
· The Board is cognisant of the challenges presented by the macro environment but remains confident in the continued positive performance of the business
· The Board's expectations for the full year ending 30 June 2021 remain unchanged
* New Sales refers to the total value of contracts signed in the period with new customers or the sale of new products to existing customers
Keith Neilson, CEO of Craneware plc commented,
"The positive performance in the first half of the year provides a strong foundation for future growth. We are making considerable progress on our Trisus expansion strategy and seeing accelerated adoption of this cloud-platform by our existing and new customers.
"Managing the impact of the COVID-19 pandemic has clearly been the top priority for all healthcare-related organisations over the past year and will continue to be the case for many months to come, providing front-line care while adjusting to new methods of healthcare delivery and ensuring their financial operations can respond. Our customers continue to take steps to create further resilience across their financial operations and we are committed to providing them with the tools and insight to do so.
"The first half's positive sales performance has continued with ongoing pipeline growth, a growing Trisus customer base, expanding offering and clear market need. While cognisant of the challenges presented by the macro environment, we are confident in the continued positive performance of the business and accelerated growth rates moving forward."