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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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Business & education services

Eckoh says UK and US divisions both growing again

Orders overall are well ahead of this time last year

Eckoh PLC (AIM:ECK, OTC:EKTPF) said its UK call centre business has returned to growth in 2022 while orders across the group were well ahead of this time last year.

AIM-listed Eckoh added business started to pick up in the second half of its last financial year and this has carried over into the current twelve months.

US demand had been especially strong, driven by increasing regulation, while acquisition Syntec was on track and performing as expected.

The benefit of focusing on large international customers and contracts was also starting to show through and the order pipeline includes several large blue-chip organisations.

Revenues in the year to end-March 2022 rose by 4% to £31.8mln, with adjusted operating profits up by 10% at £5.2mln.

Pre-tax profits dropped to £2.3mln from £3.5mln but included £1.85mln of one-off costs for the Syntec acquisition and restructuring.

Going forward, Eckoh reiterated it expects revenue and profit this year to be significantly higher driven by strong organic annual recurring revenue (ARR), operational efficiencies and benefits of the Syntec integration

Nik Philpot, chief executive, added: "Eckoh has made significant progress in the last 12 months.

“We have shown the resilience of our business model, with growth in revenue and operating profit and improved quality of earnings with the completed exit from our Support activity.

“Our momentum is underpinned by fast-growing recurring revenues, with an excellent performance in our US business and a return to growth in the UK.

“We have started the year strongly.”

The dividend rises by 10% to 0.67p.

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