Australian risk management software vendor IT&e has rebranded as Razor Risk Technologies, taking on the name of its flagship product. The company has released its first half results, signalling robust improvements in profitability and operating cash generation despite the difficult economic conditions.
- Revenue for the six months ended 31 December 2008 of $8.9m (31 December 2007 $8.1m) up 10%
- Net profit after tax of $456,000 (31 December 2007 a loss of $625,000) up 191%
- Gross margin has improved to 34% compared to 15% for the year ended 30 June 2008
- Cash, equivalents and deposits at bank exceeded $2m as at 31 December 2008 ( 31 December 2007, $1.1m)
- New CEO appointed
- Delisted from AIM (UK)
- The Company has no external third party debt
The company says it made significant improvements in operations which resulted in a net profit for the half year and improved cash generation. During the period a new CEO was appointed, a reorganisation of the company's management team occurred together with the implementation of a global structure for client operations. This resulted in improvements in client margins and a lowering of the annualised cost base compared to June 2008.
Improved revenue was generated through enhanced management of projects, deliveries and milestonerojects, deliveries and milestones, resulting in cash generation and revenue recognition.
The Company has invested cautiously in the key markets of North American, Europe and Asia.
Ellis Bugg, chairman, commented, "Although the directors are mindful that the current economic conditions are impacting business opportunities, the company is continuing to focus on its core strengths as the global financial crisis is likely to lead to increased demand for the company's products. I look forward to updating our shareholders on our 2009 performance as the year progresses."