Craneware maintains double-digit growth

Craneware expects to report increases in both revenue and adjusted EBITDA in the range of 15% to 18% for the six months to the end of December, continuing the double digit growth delivered in the prior year.

The group said there had been strong underlying sales growth which had been extended by a significant new contract with one of the largest healthcare provider networks in the US.

It said this contract was expected to deliver in excess of $16m of revenue over its initial five year term as Craneware's Value Cycle solutions were utilised by over 75 new facilities across the network.

Renewals by dollar value have continued at over 100% in the period.

It said that in accordance with the company's revenue recognition policy, the majority of the revenue resulting from both new and renewal sales successes would be recognised over future periods, adding significantly to the group's long term visibility of revenue under contract.

Chief executive Keith Neilson said: 'These results, including a contract with one of the largest healthcare providers in the US, demonstrate the ongoing momentum we are experiencing in the business.

'The strength of our solutions and the value they deliver to all strata of customers, including large and complex health systems, allows us to support our customers as they address the challenges resulting from the continued evolution of the US Healthcare market.

'We are playing an increasingly strategic role in assisting healthcare providers as they look to improve and sustain their financial performance, whilst mitigating operational and compliance risks.

'These factors combined with our financial strength and high levels of visible revenue for future years, gives management confidence in its ongoing ability to deliver increasing stakeholder value this year and in the future.'