GBST records $56.7 million in total revenue
Financial services software and platform provider, GBST has recorded a revenue increase of two per cent to $56.7 million in the first half of the 2015-16 financial year, despite the impact of delays to a number of projects.
Announcing its results for the period, GBST reported an operating earnings before interest, taxation, depreciation and amortisation (EBITDA) of $8.5 million at the upper end of guidance provided in October, 2015.
Net profit for the first half was $2.3 million after restructure and other non-operating expenses of $2.5 million.
As a result, the GBST board declared an interim dividend of 5.5 cents per share fully franked, which was consistent with the final dividend paid in the second half of the 2015 financial year.
GBST managing director, Robert De Dominicis, said the result reflects GBST's strategy for building long-term recurring revenue streams.
"We are pleased to have implemented a record number of projects for new clients in the past 12 months," he said.
"In Australia, we began migration onto GBST Composer of about $3 billion in assets for a major banking and wealth management group, and commenced implementation of GBST ComposerWeb for one of the world's leading asset managers."
De Dominicis said that while the business has undergone major structural changes — including allocating capital to focus on products and markets where GBST has "proven strengths" — there was still more work to be done.
"The quality of GBST's revenue continued to improve and licence fee annuity income contributed almost two-thirds of the total," he said.
"These changes have resulted in expenses which were necessary to put in place the foundations for a stronger business going forward."
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