Result of AGM

RNS Number : 7353C

Sanderson Group PLC

10 March 2011

 



FOR IMMEDIATE RELEASE                                                                                                                                     10 MARCH 2011

SANDERSON GROUP PLC

Result of AGM

At the Annual General Meeting of Sanderson Group plc ("Sanderson" or "the Group"), the software and IT services business specialising in the multi-channel retail and manufacturing markets in the UK and Ireland, held at 10.00am today, all resolutions put to shareholders were duly passed.

Chairman, Christopher Winn, made the following statement to shareholders on current trading and outlook:

"Following a good finish to the 2010 financial year, I am pleased to report that the Group has made a steady start to the current year.  Sanderson has a robust business model with pre-contracted recurring revenues accounting for over half of total turnover and cash generation being close to 100% of Operating Profit.  

At the beginning of March, the Group launched its 'UnityExpress' products on a "Software as a Service" ('SaaS') basis, initially targeting smaller manufacturers looking to move to their first or second enterprise-wide systems.  This represents a new and exciting market sector for Sanderson and builds on previous successful initiatives - 'Business Assurance' for retailers, 'Factory Automation' for manufacturers and recently 'Green IT' products.   Across the Group, nine new customers have been gained in the current financial year up to the end of February, compared to 28 during the whole of the previous year.

Sanderson continues to innovate with new products and services, has a good reputation for delivering quality service and support and continually works to improve its competitive market position.  The Group is currently undertaking a further capital investment in its Milton Keynes managed service centre in order to improve this platform for growth.  Managed service and hosting revenues have now reached more than £3million per annum, representing just over 10% of turnover, all of which has been generated organically from the Group's existing customer base.

Whilst market conditions continue to be challenging, a higher level of sales prospects, a strong order book and good cash generation provide the Board, both with a cautious but confident trading outlook, in line with management expectations, as well as, the opportunity to further significantly reduce the Group's bank debt during the rest of the financial year."

For further information please contact:

Sanderson Group plc	02476 555466
Christopher Winn, Chairman
Charles Stanley Securities - Nominated Advisor and Broker	020 7149 6000
Mark Taylor
Winningtons Financial Paul Vann/Tom Cooper	0117 985 8989 or  07768 807631

 

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