IMImobile Q1 profits rise following 3Cinteractive acquisition
Cloud software group IMImobile posted improved first-quarter profits on Thursday with its recent acquisition of 3Cinteractive boosted overall trading.
For the three months ended 30 June, gross profits were up 30% year-on-year, driven by both 3Cinteractive acquisition in August and its existing cloud communications products business, which delivered gross profit in line with the same period a year earlier despite the "challenging" environment.
Volumes and activity levels in its core sectors counteracted the those in the industries most adversely affected by the Covid-19 pandemic. However, the AIM-listed company highlighted it was now also seeing "a steady recovery" in the impacted sectors since late May.
IMImobile added that it had continued to operate at full capacity on deployments that drive future recurring revenue streams for a mixture of existing and new blue-chip clients.
"The results of the first quarter, together with a good visibility of earnings, underpins the company's confidence in achieving good year-on-year gross profit growth, including organic growth in the cloud communications products business, in the full year to 31 March 2021," said IMImobile.
As of 1110 BST, IMImobile shares had shot up 7.29% at 316.50p.