Turnover jumps at First Derivatives

Turnover at Newry-based software and consulting group First Derivatives rose by 56 per cent to £17.7 million for the first six months of 2010.

This compares with turnover of £11.4 million for the same period a year earlier.

Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 16 per cent to £3.9 million from £3.4 million while the company recorded an operating profit which was up 3.3 per cent from £3 million to £3.1 million.

Pretax profits for the six months under review rose by almost 6 per cent to £3.2 million from £3.1 million while the firm announced an interim dividend of 2.9 pence per share, a rise of 5.2 per cent from the 2.75 pence per share given last year.

The company said that sales of its flagship Delta software produce rose by 158 per cent during the first half of 2010 while capital markets consulting sales were up by 26 per cent.

"Over the last twenty-four months the Group has been in a period of transformation, investing in R&D and infrastructure to allow it to offer software products as well as services to its client base and ensure it has a strong platform to facilitate global expansion. This major investment program has been implemented without impacting profitability and we have maintained the growth momentum of previous years," said chief executive David Anderson.

"The pipeline for our Delta range of software products is encouraging and with the continued expansion of our consulting division we remain confident of achieving profits for the year in line with market expectations," he added.