Vitec Software Group AB: Continued growth, increased profit and stronger cash flow
Continued growth, increased profit and stronger cash flow
Summary for January-December 2017
* Net sales MSEK 855 (675)
* Profit before tax MSEK 98,1 (81,9)
* Operating margin 12,5 % (13,1)
* Earnings per share before dilution SEK 2,70 (2,27)
* Cash flow from operations MSEK 187,6 (158,5)
* The Board of Directors proposes increased dividend to SEK 1.10 per share
Summary for October-December 2017
* Net sales MSEK 247 (193)
* Profit before tax MSEK 28,6 (24,3)
* Operating margin 12,6 % (13,3)
* Earnings per share before dilution SEK 0,86 (0,71)
* Cash flow from operations MSEK 29,4 (34,7)
* Personnel convertible bond subscribed for MSEK 20,8
Vitec is growing and the progress for 2017 is sound and in comparison with
previous years development. It is especially the cash flow that develops
strongly. Profit is also developing well, but is currently behind cash flow
due to deliberately aggressive amortization.
Major events during the year includes our move to the OMX Stockholm Mid Cap
list, the expansion of the acquisition facility by MSEK 200 and the
acquisition of MV Nordic in Denmark. The Groups risk diversification has
continued to improve during the year. Sales of MSEK 855 are currently
distributed to 15 operating units of which the largest represents 18 percent
of total sales.
With 600 employees in 4 countries and nearly 20 offices, our internal
communication has increasingly become a high priority. With persistent
dialogue about our key performance indicators, focus on the development of
standardized products, forums to share best practices, and our core values;
Our products - our foundation, Keep it simple and Trust and transparency;
work on company culture has become a central part of the Group governance.
Our branding promise; To rely on - today and tomorrow; along with our core
values and key performance indicators, gives us good opportunities to build a
strong Vitec culture. It also provides opportunities to decentralize
decisions in daily operations, which is necessary for commitment, increased
efficiency and, in the long run, increased competitiveness. Therefore - with
a strong culture, decentralized decisions, motivated employees and a
well-defined business model, we are strengthening our competitiveness for the
The number of active acquisition dialogues remains high, and we continuously
put resources in place to maintain and further develop these dialogues.
Vitecs financial position and readiness for future acquisitions is good,
which provides for continued acquisition-based growth. With the acquisition
of well-established companies and a high proportion of recurring revenues,
Vitec continues on the path to act in several independent and specialized
niches, to achieve sustainable profitable growth. And we will raise the
dividend, for the 16th consecutive year.
Lars Stenlund, CEO
For more information, please contact
Patrik Fransson, Investor Relations
This information is of such a kind that Vitec Software Group AB (publ.) is
legally required to disclose pursuant to the EUs Market Abuse Regulation.
The information was submitted for publication at 08:30 CET on Wednesday,
February 14, 2018.
Vitec is market leader for Vertical Market Software in the Nordic region. We
develop and deliver standard niche software. Vitec grows through acquisitions
of well-managed and well-established software companies. The Groups overall
processes together with the employees in-depth knowledge of the customers
local market enables continuous improvement and innovation. Our 600 employees
are based in Denmark, Finland, Norway and Sweden. Vitec is listed on Nasdaq
Stockholm and had net sales of MSEK 855 in 2017. Find more
Vitec Year End Report 2017
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Source: Vitec Software Group AB via Globenewswire