First Derivatives forecasts full year revenue, earnings ahead of expectations

Provider of software and consulting services First Derivatives plc (LON:FDP) has just published an update regarding its financial performance, saying it continued to see strong trading in the second half of its financial year to February 29, 2016.

As a result the Board of the company now anticipates the financial performance for the full year to be ahead of current consensus forecasts of £109.5 million of revenue and £22.1 million of EBITDA.

The company notes growth across its consulting and software divisions in the second half of the fiscal year. It adds that it makes good progress with potential customers and partners for its Kx technology products especially for digital marketing and sensor analytics applications.

Brian Conlon, Chief Executive Officer of FD, says:

“We have made strong progress over the course of the past year and are well placed to continue to do so. In consulting our increasing scale and breadth of expertise is enabling us to get involved earlier in the change lifecycle within our clients, leading to deeper and more strategic relationships. In software, our market-leading capability in analysing large volumes of data in real time is increasingly understood and as a result we have experienced an acceleration of contract wins during the past year. We look forward to updating shareholders further when we announce our full year results.”

First Derivatives posted a 44% year-on-year rise in revenues in the first half of the year at £53.8 million, of which 27% was organic. Software revenue surged 87% to £18.3 million, whereas consulting revenue increased by 28% to £35.5 million.

For the full announcement from First Derivatives, click here.

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