Belfast IT provider Kainos on course for double digit revenue growth

In a trading update on Thursday, Kainos said it expects pre-tax profits to grow by between six and 12 per cent this year.

BELFAST-based IT firm Kainos said it remains on course to record a pre-tax profit of between £63 million and £66.5m in the current financial year.

In a trading update on Thursday, the software unicorn said its business since April 1 had performed “very strong”.

The board of Kainos said it expects its results to be in line with current consensus forecasts, which anticipates revenue of between £335.7m and £373.4m for the full year ending March 31 2023.

That would represent an annual increase of between 11 and 23 per cent.

The board said it should leave the IT provider with an adjusted profit before tax of £62.7m to £66.5m, a year-on-year rise of between six and 12 per cent.

Kainos now primarily operates two specialist business areas: Digital services and its Workday practice.

The digital services end of the group includes multi-million pound digital transformation projects for the likes of the NHS in England, while Workday includes a suite of financial management and HR software.

In the update, delivered on Thursday, Kainos said: “Trading in the period has continued to be very strong across both business areas as new and existing clients maintained high levels of investment in digital solutions.”

The IT firm said its Workday end is performing well in in the US and Europe.

“Our Workday products, comprising Smart Test, Smart Audit and Smart Shield has maintained its very strong growth trajectory as it continues to expand its international client base.

“While we are cognisant of the global macroeconomic landscape, our robust pipeline, strong balance sheet and significant contracted backlog underpin our confidence in our outlook. As a result, we believe that we are well-positioned for further growth and remain confident in our strategy.”