EG Solutions lifted on expected revenue increase

Shares in back office software company EG Solutions rose after the company said it would lift first half revenues in a trading update.

EG Solutions shares were up by 1.49% to 68p at 1157 BST after the company said it would post about £3.6m in revenue for the first half.

This was 16% higher than last year’s first half revenue of £3.1m.

The AIM listed company said it would post a loss before tax of approximately £0.3m which it said reflected investments undertaken before its placing in January.

The company said its order book of multi-year contracts to be recognised over the next 3-4 years had risen to £15.5m from £13m from the year before.

In a separate announcement EG Solutions said Robert Joseph Krakauer had joined its board, effectively immediately, to replace Spence Mallder.

FinnCap said in a note trading had so far met its expectations, and EG Solutions had invested significantly since raising funds in January.

“The improving order book as well as new product launches - expected in September - are evidence of their positive contribution,” FinnCap said.