SysGroup 1H Pretax Profit Doubled on Lower Costs – MarketWatch

By Michael Susin


SysGroup PLC said Monday that its pretax profit for the first half of 2022 doubled, driven by lower costs.

The U.K. information-technology services and cloud-hosting provider posted a pretax profit for the period ended Sept. 30 of 250,000 pounds ($336,175), compared with GBP125,000 a year earlier.

Revenue fell to GBP7.6 million from GBP9 million, it said.

Adjusted earnings before interest, taxes, depreciation and amortization–a key metric that strips out exceptional and other one-off items–was GBP1.3 million, compared with GBP1.4 million, and in line with management’s previous expectations.

The company said it remains confident about achieving adjusted Ebitda expectations for the full year, driven by continued strong cash generation.

“The timing of a wider recovery is outside of our control but we have a strong customer base with high levels of recurring revenue. We have a strong balance sheet with a very healthy cash balance which we expect to improve further in the second half of the year as our capex requirements were the first half weighted,” the company said.


Write to Michael Susin at michael.susin@wsj.com