MADE TECH (MTEC) – Business Services
| Price: 26.5p +1.9% | P/E: n/a |
| Market Cap: £39m | Yield: n/a |
The AIM-listed provider of technology services to the UK public sector put out a strong trading update for the six months to 30 November showing 27% growth in revenue to £27.7 million.
The firm also predicted EBITDA for the first half would be up 33% to £2.4 million thanks to operational efficiencies, while net cash at the end of the period was £11.9 million, up 31%, thanks to continuing strong cash flow conversion.
Thanks to positive 1H trading, the company now sees FY26 results ‘significantly’ ahead of the current consensus.
Our View
We would have expected the shares to bolt higher on such a bullish trading update, but maybe the fact sales bookings were slightly softer than the prior year has raised doubts among investors, even though the contracted backlog is still £74 million giving good coverage into FY26 and FY27.
We like companies which serve the public sector as they tend to get paid in full and on time, and in the case of Made Tech they are having a positive impact on government processes which makes all our lives that little bit easier.
Read the press release here: https://investors.madetech.com/
Disclaimer: This content is for information only and is not investment advice. Always do your own research before investing. Click here to see full disclaimer.
