NCC Group declared dividends of £9.8m paid in the period (H1 2021: £8.8m) comprised the final dividend for FY21 of 3.15p. The Board is declaring an unchanged interim dividend of 1.50p per ordinary share (H1 2021: 1.50p).
Other financial highlights include:
Revenue grew +14.2% at constant currency (+10.7% actual rates), driven materially by the acquisition of IPM.
Revenues excluding the recent IPM acquisition grew +7.2% on a constancy currency (+3.8% actual rates):
o Good revenue growth in Assurance of +8.8% at constant currency (+5.2% actual rates).
o Software Resilience (exc. IPM) declined -3.3% at constant currency (-4.9% actual rates); sales capability now back at full strength and expect return to growth in H2.
IPM integration progressing to plan and business performing in line with expectations.
Gross margin (%) increased 2.3% pts mainly due to the IPM acquisition, Assurance gross margin up +1.2% pts.
Free cashflow prior to acquisition costs of £6.4m is £20.0m, compared to £15.1m in the prior period, delivering cash flow conversion before acquisition costs of 99.2%.