Tracsis plc - Interim results for the six months ended 31 January 2008

28 Apr 2008

Tracsis Plc (AIM: TRCS) the specialist provider of labour optimisation software, is today issuing interim results for the six month period to 31 January 2008.

Key Points:

  • Successful placing and admission to AIM on 26 November 2007 raising £2 million.
  • Trading in line with expectations - revenue in the period of £271,000 (6 months ended January 2007: £257,000).
  • Operating profits in the period of £14,000 (6 months ended January 2007: £116,000) after including £89,000 of exceptional and associated costs relating to our admission to AIM.
  • New client wins include Virgin Rail Group, Cross Country and Southeastern Railway.
  • All existing clients retained for year including First Group buses, First Scotrail, National Express East Coast, Northern Rail, Southern Railway, Arriva Trains Wales and Translink, demonstrating a high level of under-contract recurring licence revenue.
  • Continued investment into product development and research activities, including additional TrainTRACS functionality for short-term planning optimisation to help our clients increase their operational capabilities.
  • Board strengthened by the addition of three Non-Executives.

Chief Executive Officer John McArthur, commented:

"Tracsis has made good progress over the last six months. The business has delivered another period of growth whilst at the same time coming to market via an AIM flotation.  We have secured significant relationships with Virgin Rail Group, Cross Country, Southern Railway and Southeastern Railway which are further endorsements in our product suite from some of the largest operators in the industry. Looking forward to our year end, we are in a good position to deliver continued growth and are in the favourable position of having complete customer retention, high recurring revenue, and a strong balance sheet."

Tracsis Plc
                               Tel: 0845 125 9162
John McArthur, Chief Executive Officer

Nexus PR                                  Tel: 0207 451 7050
Nicholas Nelson

Zeus Capital                              Tel: 0161 831 1512
Bobby Fletcher
Alex Clarkson

Notes to editors:

Tracsis PLC is a provider of resource optimisation software to transport companies in the passenger rail and bus industries. Their product suite can be used to automate and optimise the process by which labour schedules are created and allows for this activity to be done with greater speed and with a high degree of efficiency over existing methods.

Tracsis has contracts in place with some of the largest transport operators throughout the UK and operates a revenue model that provides for a high percentage of recurring revenue. The company's goal is to become a leading provider of operational planning software to global transport markets.

Chairman's and Chief Executive Officer's report

We are pleased to report our interim results for the six month period to 31 January 2008.   The period has been one of continued good progress, with growth and further penetration into our core transport markets. We continue to invest in our TrainTRACS and BusTRACS products and are in the process of strengthening sales and marketing channels.

Tracsis has achieved a number of key milestones in the past period:

  • Secured contractual relationships with a further 3 passenger train operating companies (TOCs) - Virgin Rail Group, New Cross Country (Arriva) and Southeastern Railway (Govia).
  • Carried out extensive product development which allows our software to be used for short term planning (STP) exercises within the rail industry.  These enhancements significantly broaden the scope of our product and increase the value of our software offering.
  • We continue to explore opportunities into new markets, such as fleet optimisation in the aviation market, where Tracsis software has the potential to generate substantial efficiencies for prospective clients.
  • Strengthened the board with the appointment of Rod Jones as Chairman, and John Nelson and Charles Winward as Non Executive Directors. Rod is currently Chief Executive Officer of Proactis Holdings plc, an AIM quoted provider of spend control software.  John is Chairman of First Class Partnerships; a strategic consultancy business which services the UK and International rail industries. Charles is an Investment Manager at IP Group plc, a listed company specialising in the commercialisation of intellectual property from research institutions.

Financial overview

Revenues in the period increased to £271,000 from £257,000 for the same period last year. The operating profit for the period has reduced £14,000 in comparison to £116,000 for the six months ended 31 January 2007, after additional costs totalling £89,000, relating to flotation, AIM regulatory and IFRS2 share accounting costs. Spending was in-line with budget for the period as the Company has maintained tight cost control.

Taking into account the effect of these items, the profit generated from sales is comparable to the same period last year, and this has been achieved in spite of some 3 months trading disruption during the IPO process. At 31 January 2008 Tracsis had cash balances of £2.27 million (six months ended 31 January 2007: £379,000) and remains entirely debt free.


The directors are grateful to our staff, management and customers for their continued support, without which our progress would not be possible. We welcome our new Non-Executive Directors to the business and believe their combined experience will accelerate our growth in the future.

Our investment into Tracsis, our products and our people positions the Company well for further growth and continued shareholder value.

Rod Jones                                John McArthur
Chairman                                 Chief Executive Officer

The full text of this announcement is available on RNS.