This morning Hansen Technologies Limited (ASX: HSN) reported its half-year results for the period ending December 31 2018. Below is a summary of the results with comparisons to the prior corresponding half year.
- Net profit of $12.9m, down from $18m
- Operating revenue of $112.4m, down from $118.4m
- Adjusted EBITDA of $28.5m, down from $33.8m
- EBITDA margin of 25.3%, down from 28.6%
- Adjusted earnings per share 9 cents, down from 11.7 cents
- Free cash flow of $10.1m
- Interim dividend of 3 cents per share
- Net debt of $0.6m, gross outstanding debt of $22.7m
- Reconfirmed full year outlook for revenue slightly down & expense base flat
The Hansen share price is down 8.3% in response to a relatively disappointing result for investors used to consistent if moderate growth from this founder led software billings business.
Hansen has also pursued an acquisitive growth strategy over the years and given around 18% of it is still owned by the Hansen family it's unlikely to take excess risks in over-extending its balance sheet or pursuing risky acquisitions.
At $3.10 on a market value around $666 million it looks reasonably good value for a well run business, with a decent track record and outlook.
