Information Services Corporation (TSX:ISV) (ISC) has reported a rise in first-quarter revenue helped by a contribution from its new Ontario Property Tax Assessment Services division formed following the acquisition of Reamined Systems Inc in June 2022.
For the quarter ended March 31, 2023, ISC saw its revenue rise by 11% to $49.1mln, with continued growth in transactions and customers in the Services segment also contributing to the overall revenue increase over the prior year. This was partially offset by a decrease in the Saskatchewan Land Registry revenue as transaction volumes trended toward pre-pandemic levels.
The company reported adjusted EBITDA of $14.5mln for the quarter compared to $14.6mln at the same stage in 2022. Net income fell from $7.4mln to $6.9mln due to higher amortisation related to intangible assets from acquisitions in 2022, as well as higher net finance expense.
The company had cash of $24.2 million as of March 31, 2023, compared to $34.5 million as of December 31, 2022, with total debt of $56.1 million compared to $66.0 million as of December 31, 2022.
Meanwhile, in a separate statement, ISC said its board of directors has declared a quarterly dividend of $0.23 per Class A Limited Voting Share, payable on or before July 15, 2023, to shareholders of record as of June 30, 2023.
In the results statement, ISC CEO Jeff Stusek said: “We are pleased with our Q1 2023 financial performance, highlighted by continued revenue growth across our businesses despite the return of Saskatchewan Land Registry volumes to pre-pandemic levels."
Late in the fourth quarter of 2022, ISC's wholly owned subsidiary, Enterprise Registry Solutions Limited, implemented integrated registry platforms for the Government of Cyprus, launched the States of Guernsey online Register of Charities and Non-Profit Organisations, and completed the development of corporate registry technology for Bonaire, Sint-Eustatius and Saba, all of which run on the RegSys platform.
ISC is a technology solutions company that provides registry and information management services for public data and records, including land titles, vital statistics, and corporate registries.
Contact the author at jon.hopkins@proactiveinvestors.com