Remote meetings LoopUp Group reported a 16% rise in operating profit as revenue nearly doubled boosted by the acquisition of MeetingZone.
For the year ended 31 December 2018, operating profit jumped 16% to £0.9m. Revenue surged 96% to £34.2m and earnings (EBITDA) rose 121% to $7.7m.
For the year ended 31 December, the company reported a loss before tax of $70.6m from $97.9m a year earlier and revenue fell to $234m from $370.4m a year earlier, in line with guidance.
'2018 was a transformative year for LoopUp, with the acquisition of MeetingZone significantly increasing the scale and profitability of the business,' the company said.
Overall gross margin on the group's core conferencing revenue grew from 76.7% in 2017 to 78.2% in 2018. But certain other revenue streams acquired as part of the MeetingZone acquisition operated at a lower margin, pressuring overall gross margin to 70% for the year from 76.7% a year earlier.
'We're delighted to announce strong results at the end of a busy, exciting and transformational year for the Group. MeetingZone is now bedded in organisationally, with greater cost savings delivered than envisaged at the time of acquisition and the transition to the LoopUp platform progressing positively,' said Steve Flavell and Michael Hughes, co-CEOs of LoopUp Group.
'We continue to see strong demand for the LoopUp product from our target market of mid-large enterprises and professional services firms. We've started 2019 with healthy pipelines and we're confident in our ability to deliver continued strong growth.'
At 8:29am: (LON:LOOP) Loopup Group Plc share price was +25p at 392.5p