Tribal Announces Preliminary Results for Full Year 2017
We are delighted to announce positive preliminary results for the year ended 31 December 2017.
Operationally, we have had a strong year with many new sales and customers, including new contract wins at three major universities. We have also had significant commitment from our Australian Higher Education customers with a four-year extension agreed for the Callista solution. Our Quality Assurance Solutions business continues to perform well with new customer wins in Abu Dhabi and Dubai. And our product strategy continues to progress with our investment in the next generation cloud-based Student Information System, Tribal Edge, being well received by customers.
Tribal is now on a sound financial footing as our key highlights demonstrate:
- Adjusted operating profit for the year up 82% to £8.5m* (2016: £4.7m*) on revenue of £84.9m (2016: £90.3m)
- Annual recurring revenue increased by 5% to £37.5m (2016: £35.5m)
- Return to statutory profit of £2.6m (2016: £1.2m loss); earnings per share 1.3p (2016: 0.7p loss)
- Annualised operational efficiencies achieved of £12.0m, including £3.0m in year savings; further efficiencies anticipated in 2018
- Strong operational cash inflow during the year of £11.1m (2016: £8.3m) and year end net cash of £14.1m (2016: 8.8m); operating cash conversion of 130% (2016: 115%)
- Return to dividend payments with the Board recommending 1p per share dividend to be paid annually going forwards
* Adjusted operating profit is in respect of continuing operations and is stated excluding "Other Items" charges of £4.9m (2016: £5.0m). Other Items include Share-based Payments, Deferred Contingent Consideration, Amortisation of IFRS3 Intangibles, Profit on sale of Synergy, and Restructuring and associated costs
Ian Bowles, Chief Executive, commented:
"I am very pleased with the 2017 results as they clearly demonstrate that the changes driven by management are having the positive impact anticipated. Our Customers, partners and the broader team at Tribal are seeing the benefit of a clear long-term strategy and commitment to the Education Sector”
Full details of our results and full year performance can be found in the Investor section of the website.