Profit Up 24% at First Derivatives

Newry Company First Derivatives have announced very healthy financial results for the six months ending 31st of August 2014 with profit (before tax) increasing by 24% from £3 Million in 2013 to £3.7 Million this year.

The profit came from an increased revenue of £37.5M up from £34.4M in 2013.

It follows increased investment in sales capacity, strong growth in consulting, a growing number of contracts won in Market Surveillance as well as a continuing investment in software products.

Last week the company announced their purchase of a majority stake in Kx Systems that will open up a range of new opportunities in Big Fast Data.

Seamus Keating, Chairman of First Derivatives, commented: “The high revenue visibility in our consulting division combined with the software deals we are working on or have signed during the first half of the year underpin our confidence in meeting market expectations for the full year. The second half has started strongly across the Group, both in terms of business performance and growth in our sales pipeline. We expect a modest enhancement to adjusted earnings in the current year from the Kx Systems transaction, with greater impact in the year to February 2016, despite increasing investment in Kx to maximise its growth potential.

In summary, the Group is well positioned to deliver in the current year and beyond with numerous business development opportunities to accelerate our growth. We view the future with confidence.”

Commenting on the  outlook for the coming period Chief Executive Brian Conlon added "Our high visibility over revenue in our consulting division combined with the software deals signed during the year to date underpin our confidence in meeting market expectations for the full year. The second half has started strongly across the Group, both in terms of business performance and growth in our sales pipeline. We expect a modest enhancement to earnings in the current year from the recent purchase of a majority stake in Kx Systems, with a more positive impact in the year to February 2016 even after significant investment in Kx to maximise its growth potential.

"In summary, the Group is well positioned to deliver a solid performance in the current year and beyond with numerous business development opportunities to accelerate our growth."