Newry software firm First Derivatives sees sales and profits soar again
NEWRY-based software firm First Derivatives saw its sales soar by more than a third in the first half of this year as it gears up for another record-breaking trading period.
Buoyed mainly by organic growth, revenues at the company - which provides trading and risk management software systems and consulting services for many of the world's leading financial institutions - were up 34 per cent from £53.8m in the first half of 2015 to £72.4m this time.
And profit before tax came in at £7m - a 52 per cent uplift on last time (£4.6m).
The firm, founded by Brian Conlon in 1996, reported revenue growth in its managed services and consulting division of 21 per cent to £43m, driven by full year impact of increased consultant numbers and a number of managed services contract wins.
First Derivatives chairman Seamus Keating said: “We're pleased to report another period of strong growth for the first half of the group’s financial year.
"We delivered on our strategy in a number of important areas; winning larger, multi-year contracts in managed services and consulting, extending the capabilities of our software and, through additional investment in sales, marketing and people, laying the foundations for further growth.
"We have also made significant progress in extending our reach beyond financial services, deploying the proven strengths of our Kx software assets."
He added: "The second half has started positively and the high visibility within both consulting and software gives the Board confidence in a continued strong performance for the full year.”
In the six months to August 31 First Derivatives also revealed software revenue growth of 60 per cent to £29.4m, with recurring license revenue up 45 per cent to £13.6m.
The company now has more than 1,000 employees, and as well as offices in Newry, Belfast, Dublin and London, it operates in the US, Canada, Australia, Japan, Singapore, Hong Kong and Dubai.
First Derivatives is listed on both AIM market in London and Enterprise Securities Market (ESM) in Dublin.