Working Systems reports triple digit revenue and profits growth

Stan Beer
Thursday, 01 September 2005 07:01

IT Industry - Listed Tech

Health systems provider, Working Systems Solutions (ASX:WSS), has announced its second consecutive year of triple digit earnings growth and profitability.

In the preliminary final report for the year ending 30 June 2005, Working Systems posted EBITDA of $2.16 million, an increase of 118% on the previous year, as profit margins continued to climb. Revenue rose 40% to $9 million on the back of a 77% rise in licence fees for the company’s software systems.

Chief executive officer Mathew Cherian said the results demonstrated that the company was firmly established on a path of sustainable growth and was well positioned to take full advantage of the opportunities opening up for its e-health software systems as well as solutions for selected non-health markets.

“In 2003, WSS announced the commencement of a 3-year plan to transition from a product development focus to sales development,” Cherian said. “The goal was to achieve profitability and sustainable annual earnings. WSS has achieved this with over 100% earnings growth in each of the last two years.

“Current sales pipelines across our product sets in Australia and overseas are at healthy levels and the company remains committed to achieving our growth targets, subject to economic conditions and normal business risks.”

Cherian said a particularly pleasing aspect of the strong results was that the increased revenue and profits had occurred despite the fact that some major health projects had been delayed by matters unconnected with the company. When these and other large-scale e-health rollouts gained momentum, the market would experience tremendous growth. The company’s Global Health portfolio of software systems is well positioned for these opportunities and has won significant new business during 2004-2005. The company also began its export sales program.

WSS shares closed up 2.5c to finish on 10.5c in a day of thin trading.