“Ansys has delivered a solid performance for the period reflecting the group’s successful turnaround, with the major divisions returning to profitability,” the company said.
“The Tedaka acquisition was effective 9 December 2013. As a result, the majority of the movement in the statement of comprehensive income and statement of financial position is due to the Tedaka business combination.”
The technology-driven engineering solutions developer further indicated that during the period, its revenue grew 193 per cent to 80 million rand from 27 million rand for the same six-month period in 2013.
(READ MORE: Ansys sees drop in revenue generation)
“The group's performance reflects aggressive growth across the board. The order book, including major new contract awards, totals 400 million rand at the date of this announcement compared to 190 million rand as reported on 29 May 2014,” Ansys said.
“The group intends to be a centre of engineering excellence and is focussed on research and development in order to remain at the forefront of innovation in its areas of operation.”
[DATA ANS:Ansys], which designs, develops and supplies technology solutions in the rail, mining, defence and telecommunications sectors, reported an operating profit of 1.3 million rand for the six months ending 31 August 2014 from a loss of 3.3 million rand in 2013.
It also saw a profit before taxation of 794,000 for the 2014 period from a loss of 3.5 million rand for the same period in 2013 and a basic loss per share of 0.09 cents in 2014 from a loss of 1.65 cents in 2013.
“Tangible benefits are evident following the group’s restructuring programme concluded in the previous period and Ansys is well positioned for growth. The group expects continued performance in the second half of the year, buoyed by strong prospects in some sectors,” the group said.
“Our major customer Denel is sitting with an order book of 31 billion rand and they require companies such as Ansys to assist in executing it.”
Ansys added that mining is expected to remain constant, with the challenging market conditions in the local mining sector continuing to restrict demand.
“Where necessary, the group's skilled resources in this segment will continue to be redeployed to segments of the business where demand is stronger, given the synergy of skills,” it said.
(READ MORE: Ansys acquires technology firm for R93.2 million)
“The acquisition of Tedaka has exposed Ansys to the robust telecoms market and has balanced the group's revenue model with faster turnaround projects. Ansys has implemented cost improvement measures which should start to yield benefits in the second half of the year,” the company added.