Tuesday 02 March 2021

*UKHotViewsExtra* Pandemic pressures stifle Civica’s streak

Civica logoCivica’s revenue for the year ended 30 September 2020 fell by 0.1% to £424.9m (2019: £425.6m)—the first time it hasn't achieved year-on-year revenue growth since the Civica brand was launched in 2002. The first half of the financial year saw strong growth, but this slowed in the second half as the pandemic hit. Overall, however, business held up well without recourse to any government schemes and it retained its unbroken record of profit growth.

Gross profit improved by 0.4% to £346.4m (2019: £345.1m), operating profit before amortisation and exceptional items was up 6.5% to £85.6m (2019: £80.4m), and EBITDAE improved by 4.6% to £93.1m (2019: £89.1m). EBITDAE margin improved to 21.9% (2019: 21.2%) as its Centum operational excellence programme continued to make progress.

Revenue in the UK, which represented 77% of total revenue, grew slightly to £327.6m (2019: 327.3m). Revenue from its Australia and SE Asia business fell 2% to £90.0m (2019: £91.8m), but its smaller North American business improved by 14.5% to £7.4m.

UKHV Premium logoAlthough the pandemic brought significant challenges, it has accelerated digital transformation in the public sector and has led to greater acceptance of cloud-based solutions. Civica has demonstrated resilience during the crisis and is strongly positioned to benefit from associated market changes (e.g. 75% of new customers sales in 2020 were cloud-based).

TechMarketView subscribers, including those signed up to UKHotViewsPremium can read more about Civica's performance and prospects here. If you are not yet a subscriber, please contact Deb Seth to find out how to access this and much more.

Posted by Dale Peters at '08:32' - Tagged: results   saas   software   covid-19   public+sector