Staffordshire-based IT software and services company eg solutions said trading in the current financial year has been positive and that it generated first half sales of £2.2 million, in line with market expectations.
In an AGM statement yesterday, non-executive chairman Rodney Baker-Bates said the firm was adopting a cautious outlook due to the unpredictable market conditions.
Nevertheless, he added that progress in the beginning of the year had been good and that the firm continued to win new contracts.
“Although UK market conditions remain challenging, we secured three new contract wins within the first trading month of the 2008 financial year.
These agreements with Nationwide Building Society, Co-operative Financial Services and the Co-operative Travel Group continue to progress well and we remain firmly focused on securing other similar new business opportunities in the UK,” he said.
“Our overseas expansion also continues to progress well with South Africa proving to be a particularly worthwhile target market; both in terms of an investment and as focal point for on-going business development.
“In April, we announced another new contract win in this country with a major life office – the fourth to be secured by the company since the start of the current financial year,” he added.
Mr Baker-Bates said the Penkridge company would also be introducing a series of initiatives to ensure overheads remained under strict control and this would be a key focus for the foreseeable future.
Investors reacted favourably to the statement and shares were up almost seven per cent yesterday, closing at 23.5p, a rise of 1.5p.