Felicia Tan Tue, May 31, 2022
Hong Kong-based IT services and software products provider Azeus Systems has reported earnings of HK$48.5 million ($8.4 million) for the FY2022, 105% higher than FY2021’s earnings of HK$23.7 million.
Earnings for the 2HFY2022, too, surged 144% y-o-y to HK$31.0 million.
Basic earnings per share (EPS) for the FY2022 stood at HK$1.62.
The group has also declared a first and final dividend of HK$1.62 per share for the period.
Lee Wan Lik, executive chairman of Azeus, says, “We are delighted to have achieved strong performance, backed by growth in both our business pillars. Azeus Products, our growth engine, has continued to make good strides globally as we expanded into more territories and added new product features and modules.”
“It is noteworthy that we recently secured our single largest contract of over HK$1 billion for the implementation and maintenance of the Hong Kong government’s Central Electronic Recordkeeping System with our product, Convene Records, which will further enhance our recurring income stream for resilient growth,” he adds.
During the FY2022, revenue increased by 22% y-o-y to HK$217.7 million, mainly due to the strong growth seen in the group’s products and IT services segments. Revenue from Azeus’ products segment increased by 23% y-o-y to HK$139.4 million, while revenue from its IT services segment increased by 21% y-o-y to HK$78.2 million.
For the 2HFY2022, Azeus recorded a 24% y-o-y increase in revenue to HK$122.2 million thanks to the robust growth seen in its products segment.
Gross profit for the FY2022 grew by 28% y-o-y to HK$157.6 million, while 2HFY2022 gross profit increased by 31% y-o-y to $93.4 million.
The higher gross profit was attributable to a higher gross profit margin. The group’s gross profit margin rose by three percentage points for the FY2022 to 72.4%, and four percentage points for the 2HFY2022 to 76.4%.
Profit before income tax increased by 67% y-o-y to HK$49.0 million for the FY2022 and was up by 74% y-o-y to HK$31.3 million for the 2HFY2022.
As at March 31, cash and cash equivalents stood at HK$198.7 million.
Looking ahead, Michael Yap, CEO of Azeus, says the group will continue to look into growing its product segment.
“With the growth of our flagship product, Convene, and new product offerings such as Convene Records, we are excited with our growth potential and look forward to expanding our footprints globally,” he says.
As at 2.31pm, shares in Azeus are trading flat at $8.02.