News blog

Pennant International Group

• BY: Andrew Hore |
• POSTED: 11/03/2014 |

Training systems and software supplier Pennant International Group has increased its 2013 profit by two-fifths.

In 2013, revenues grew from £14.5m to £18.7m, while pre-tax profit jumped from £1.6m to £2.25m. Most of the revenue growth and all of the profit improvement was from the training systems division. The software division also improved its revenues and profit. The data services division made a lower profit contribution.

Higher debtors meant that there was a cash outflow during the year but net cash was £1.16m a the end of 2013. The dividend has been raised from 2p a share to 2.6p a share.

More than £20m worth of orders were taken in 2013.

House broker WH Ireland expects a further improvement in profit to £2.4m in 2014. Four-fifths of the £20.1m of revenues are already covered. 

At 93.5p a share, Pennant is valued at £24.6m. The shares are trading on 13 times prospective 2014 earnings.

Download the latest AIM Journal from http://wwww.hubinvest.com/AIMPDFFebruary2014_53.pdf