Fusion Corporate Partners

Smart Metering Systems plc, a metering services company has announced final results for the 12 months to 31 December 2012.

Financial Highlights

• Revenue increased by 32% to £21.0m (2011: £16.0m)
• Recurring meter rental increased by 40% to £9.3m (2011: £6.6m) representing 44% of total revenue
• Gross profit increased by 50% to £13.3m (2011: £8.9m)
• Gross profit margin increased by 8% to 63%
• Adjusted EBITDA* increased by 59% to £9.0m (2011: £5.7m)
• EBITDA margin increased by 7% to 43%
• Basic earnings per share increased by 77% to 5.18p (2011:2.93p)
• Final dividend of 1.15p per ordinary share making 1.65p for the full year
• New banking club arrangement announced on 2 August 2012 for £45.0m with Barclays Bank PLC (lead bank), Clydesdale Bank PLC and Lloyds Bank PLC, replacing all existing facilities
• Available cash resources of £31.1m at 31 December 2012

(*Excluding exceptional items and fair value adjustments).

Operational Highlights

• Total meter portfolio increased by 34% to 341,000 (2011: 254,000) of which 95% are domestic, with substantial growth since half year (H1 2012: 283,275) and currently over 365,000
• Increase of 74% in capital investment in meter assets to £16.0m (2011: £9.2m) an increase in average monthly run rate of meter installations to £1.3m investment in 2012 (2011: £0.76m)
• Increase in annualised recurring meter rental revenue as at 31 December 2012 of 42% to £10.8m (2011: £7.6m) and at 28 February 2013 £11.5m.
• Increase of 26% in Asset installation revenue to £11.8m (2011: £9.4m) of which Gas Connection business increased turnover by 10% to £6.5m (2011: £5.9m)

Alan Foy, Chief Executive Officer, commented: “In our second year since our AiM admission we have delivered another strong set of results against our strategy of ongoing accumulation of meter assets and the introduction of our smart meter technology ADM™. Our second half performance in particular has been very pleasing building on contracts won in 2011 and 2012. We continue to strengthen our team and our financial resources and look to 2013 for another successful year.”

More information here.

UK, Scotland, Glasgow