Craneware: Firm developing software for US healthcare firms reports rosy results

Craneware, the company which develops and maintains software for US healthcare firms, has reported a set of rosy results.

The AIM-listed company reported an eight per cent increase in adjusted profit before tax, revenue and earnings, it told markets this morning in its interim results release.

The firm’s revenue increased to $91m (£72m), up eight per cent, while earnings before interest, taxes, depreciation, and amortisation (EBITDA) also jumped eight per cent, to $27.5m (£21.7m). Pre-tax profit grew 13 per cent to £4.7m.

The company, which is engaged in the development, licensing, and support of computer software for the United States healthcare industry, has seen its share price boom by 52.35 per cent in the past six months.

The ‘Value Cycle’ solutions firm noted a number of factors for its recent strong performance, including its recently launched Optimization Suites scheme, an increase in sales to both existing and new customers, and continued investment.

Looking ahead, it said the “market backdrop [was] strengthening with US healthcare and hospital customers re-focusing on their future”.

It noted there were “continued and growing high levels of contracted recurring revenue,” and that it was “confident in delivering results for the year in line with current consensus and see clear potential for growth acceleration in the near term”.

Keith Neilson, CEO of Craneware plc, commented: “Our growth in the first half of the year is tangible evidence of the return of healthcare providers’ focus to their strategic priorities and their increasing investment in technology to provide the insights to achieve them.

“Through our investments in the Trisus platform, Craneware is well positioned to support our customers in this transformation of the business of US healthcare, providing us with a sizeable opportunity and growth lasting for the long term.

“We have entered the second half of the year with good sales momentum and focus. We remain confident in the delivery of results for the year in line with current consensus, further growth acceleration over the near term, and our ability to create further long-term value for all stakeholders.”