IQGeo Group PLC (AIM:IQG)’s strong first-half performance has been hailed as “excellent” by analysts, prompting a host of forecast upgrades.
Having lifted revenue expectations for the first half of the year, IQGeo’s Monday trading update was met with glee from finnCap analysts, who themselves raised revenue and profit guidance for the coming two years.
AIM-listed IQGeo should pen revenue of £40.2mln come the year-end, 22% higher than previous estimates, finnCap said in a note, after the software solutions firm tipped interim incomes would sit around £20mln.
For 2024, finnCap bumped the figure up by 14% on previous guidance, predicting revenue would hit £43mln.
Gross profit could well then come in at £24mln and £27mln respectively in 2023 and 2024, analysts forecast, marking a rise of around 10% on previous estimates.
“We expect platform economies of scale will drive strong growth in pre-tax earnings and free cash flow in 2023 and beyond,” brokers explained.
finnCap also upped IQGeo’s share price target to 350p, a prospective rise of 15% on Monday’s opening.
“We look forward to further detail in the first half results in September," finnCap added, including news on "additional contract wins and expansions, and attractive M&A opportunities”.