Tracsis reports solid revenue growth

The price of shares in AIM-listed transit service Tracsis (LON:TRCS) climbed 4.65% to 608p (as of 14:25 GMT) after it announced that revenues for the six months ended 31st January rose by 41%. Operating profits for the half year were up by 8%, but the payment of an interim dividend has been deferred in the current climate.

CEO Chris Barnes commented: “We are pleased with the first half performance which was in line with expectations. All of the acquisitions from 2019 performed well, and we were also delighted in March to have completed the iBlocks acquisition which increases our rail technology product portfolio and takes us into exciting new areas of the rail industry. Despite the recent Covid-19 crisis, our Rail Technology & Services business currently remains resilient and we are in the final stages of negotiating several large multi-year software and hardware contract opportunities. Our Traffic & Data Services division is however being majorly impacted by Covid-19 and as a result we have taken a series of actions to mitigate the impact on the business as much as possible, with the full year outcome currently under review. The Group continues to have substantial cash balances and strong cash flow“.