Adapt IT posts improved earnings

Adapt IT has reported a 14% improvement in headline earnings per share for the year ended 30 June 2018.

This was on the back of a 36% growth in turnover to R1.35-billlion and a 39% increase in earnings before interest, tax, depreciation and amortisation to R270.1-million. Organic growth from continuing operations was 13% and acquisitive growth — mainly last year’s Micros purchase — made up the remaining 30%.

Profit attributable to equity shareholders grew 38% to R122-million.

The company said it has accepted an offer to purchase its shares in CQS GRC Solutions in May and realised a profit net of tax of R17.6-million.

It acquired the LGR group with effect from 1 June. LGR is a specialist solutions provider with an exclusive focus on the global telecommunications industry.

During the year, Adapt IT took advantage of its “undervalued” share price to buy back 9.3 million shares — 5.8% of issued shares — at an average R7.84/share, using cash of R73-million to do so. About 1.1 million of the shares repurchased were issued as consideration for the acquisition of EasyRoster, with the rest held as treasury shares.

The company said it will pay a gross dividend of 17.1c/share on 21 September.

The shares were trading up 5% at 1.54pm on Thursday at R7.35.  – © 2018 NewsCentral Media

• This is a developing story … check back soon for more