The fall-out from the banking crisis is still hobbling growth at financial services and healthcare software provider Misys but the company is encouraged by growth in its order intake.
Revenue in the six months to the end of November rose 29% to Ј361m from Ј280m a year earlier, but was down 1% on a pro-forma constant currency basis. Pro-forma adjustments assume Allscripts healthcare operations were combined on 1 June 2008.
As reported revenue at Allscripts was up 2% from a year earlier, while the Treasury and Capital markets arm saw revenue improve by 1%. The Banking division, however, saw revenue slide 11%.
profit before tax tumbled to Ј40m from Ј67m the year before, when results were boosted by an exceptional gain from the sale of Misys Healthcare Systems as part of the merger with Allscripts Healthcare Solutions.
Order intake during the period was up 47% (10% on a pro-forma constant currency basis) to Ј240m from Ј164m a year earlier.
‘There is heightened orders activity in Allscripts as the onset of federal incentives for the adoption of US Electronic Health Records draws closer. In Treasury & Capital Markets we are also seeing significant orders growth as customers see the benefits they can realize through investing in Misys trading, loans and risk management solutions,’ chief executive Mike Lawrie said.
In response to subdued demand in the Banking market and a switch by the banks to fee-earning activities the company has renewed its product portfolio and is seeing ‘a growing pipeline for our new products in mobile banking, trade services, transaction banking and business intelligence.’
The company said it remains confident of hitting full-year earnings growth targets.