www.smartfocus.com
smartFOCUS Group PLC (LSE:STF) is the creator of train of thought analysis, intelligent marketing software and leading edge digital marketing services that give highly intuitive email, RSS, SMS and microsite capability.
* Everything we offer is designed with marketing in mind
* Our company is built on both marketing experience and technical expertise
* We develop and support our own technology
Headquartered in the UK, we operate globally from offices in Europe, Asia and the US – including our specialist US News & Media subsidiary smartFOCUS Astech. As well as high profile media brands our clients include leading financial services, telecoms, retail, utilities, travel and online gaming companies.
Stockbrokers reflect on positive smartFOCUS results
Through their respective notes to investors, London-based stockbrokers, FinnCap and Arbuthnot securities commented on smartFOCUS Group (AIM: STF), which earlier today reported solid results for FY 2009. In the 12-months ended 31 December 2009, the company said it continued to shift its revenue model towards ‘Software as a Service’, commonly referred to as ‘SaaS’.
In this morning’s results, smartFOCUS reported that revenues in FY09 climbed 15% to £11.9m (FY08: £10.4m), with 66% of total revenues now generated from SaaS contracts (2008: 50%). The demand for SaaS software helped smartFOCUS swing to a full year pre-tax profit of £0.5 million from a loss of £1.2 million in 2008. Diluted earnings per share (EPS) improved from a loss of 1.87p in 2008 to earnings of 0.28p in 2009. Net cash at year end improved to £2.4m (2008: £1.5 million).
FinnCap noted that the results highlight the significant progress made over the past 18-months, and said the results were broadly in-line with consensus forecasts. Similarly Arbuthnot said the reported profit-before-tax (PBT) was in-line with its expectations, whilst reported revenues were ahead of its expectations.
FinnCap commented that smartFOCUS is a profitable and cash generative multichannel marketing software company that has made the transition to a SaaS model. According to Arbuthnot, with the adoption of the SaaS model the quality of the company’s earnings has improved.
In this morning’s results smartFOCUS Chief Executive Chris Underhill commented, “During 2010, smartFOCUS expects to capitalise on this position with further new products and releases while, at the same time, extending our distribution channels internationally”.
The respective broker commentary pointed to a number of areas where the company may benefit in the coming year. FinnCap highlighted that smartFocus plans major product releases during the year, to include the launch of a social networking product suite which may enable major networks such as Facebook, Twitter and linkedIn monetise their user base. While Arbuthnot believes the company is well-positioned with a strong software suite, especially in the faster-growing online areas and analytics.
