Up-for-sale banking and healthcare software group Misys yesterday said it was in "transition" after reporting an expected fall in full-year profits.
The Evesham-based group said it faced the prospects of higher growth in its key markets.
Pre-tax profits excluding exceptional items for the year to May 31 fell to £69 million from £73 million on sales of £953 million compared with £855 million the year before.
The market consensus fore-cast was for underlying pretax profit of £66 million.
Misys announced on Tuesday that it was to open its books after receiving approaches for all or parts of the business.
The group was put in play on June 9 when it announced the board had received overtures from senior managers interested in launching a buy-out.
Since then a private equity team comprising General Atlantic Partners and Permira has made an approach and US rival Sungard has also regis-tered an interest.
Analyst estimate that Misys comes with a price tag of about £1 billion.
Yesterday's financial results cap a turbulent year for the company, which began restructuring after disappointing interims.
It announced it would in future be focusing on its core banking and healthcare areas and would be selling off non-core operations. It sold its general insurance business for £182 million cash in March but abandoned the search for a buyer for Sesame, an offshoot that provides technical and administrative support to financial advisers.
Steve Vaughan, chief executive of the banking division, walked out in April, less than two months after he was appointed, due to "material differences" over strategy.
Chief executive Kevin Lomax said yesterday: "Our businesses are in transition to higher growth market areas.
"We have continued to invest in building our business to create long-term value.
"We are encouraged by the initial progress we have made but recognise that there is more to do.
"We are firmly focused on increasing growth and value for shareholders."
Mr Lomax said the group had made good progress in its core banking division, signing 30 new customers so far this year, with good opportunities for growth, particularly in fast-growing "developing" economies. Misys said it was unable to comment further on the bid situation, citing takeover rules.
Adjusted earnings per share fell to 14.3, slightly ahead of the 14.2p consensus figure, from 14.8p a year earlier.
"Misys delivered results in line with expectations and guidance. The highlight was EPS at 14.3p," said Shore C apital analyst George O'Connor, who repeated his "buy" recommendation on the stock. "Progress with the take-over/MBO is the main event determining the share price and in that there is no update," he added.
Within Misys' divisions, healthcare raised like-for-like operating profit by nine per cent to £49 million, while banking operating profit fell by ten per cent to £37 million due to contract delays.
Misys raised its full-year dividend by five per cent to 7.18p per share.