• Group revenue increased by 4,3% to R180,9 million (2010*: R173,3million)
• Profit before tax declined by 4% to R15 million (2010*: R15,6 million) \
• Headline earnings per share up 21% to 11,46 cents (2010*: 9,45 cents)
• Earnings per share up 4% to 11,36 cents (2010*: 10,93 cents)

* All 2010 comparative figures are the annualised equivalent of the 16 month prior reporting period, which resulted from a change in year in 2010, in order to provide a meaningful comparison.

JSE listed Adapt IT Group today announced its annual results, a 4,3% increase in revenue to R180,9 million against R173,3 million for the annual equivalent of last financial year to 30 June 2010. Profit from operations declined by 4% to R15 million. The interim Earnings Per Share (EPS) were higher than the comparable period at 11,36 cents per share, with Headline EPS (HEPS) 21% higher at 11,46 cps (9,45 cps).

The Group declared its 9th dividend of 2,84 cents per share, representing a four times cover ratio.

The Adapt IT Group is made up of three subsidiaries, namely Adapt IT Solutions, ITS and ApplyIT, all of which provide a variety of specialised IT solutions and services across a range of business environments.

Sbu Shabalala, CEO, Adapt IT Holdings says that despite challenging market conditions, the company showed a resilient financial performance this year. “We continue with our sustainable growth and diversification strategy of organic and acquisitive growth and we have progressed in gaining market share and attracting new customers ensuring a leadership position within the markets we service.” He says that the group seeks further earnings enhancing acquisitions, of a sizeable nature, that will complement existing businesses and improve customer and product diversity.

Shabalala says achievements in the past 12 months include being ranked as the most empowered ICT company listed on the JSE in April this year. The group also increased interest in education service provider ITS Holdings to 100% by acquiring 49% non-controlling interest and full integrating the ITS business. “ITS has successfully aligned with the group both strategically and from a governance perspective,” said Shabalala. “In addition, ITS outperformed expectations reporting a 42% increase in profit before tax of R14,7 million (2010: R10,3 Million).”

“We believe the group is well placed to show a marked improvement on its performance in the 2012 financial year,” says Shabalala. “We enjoy the benefits of a strong financial position, a recurring revenue model and low capital expenditure requirements, which position our company for long-term success.”

Shabalala says that the long-term objective for investors is to enhance shareholder value through growing profit sustainably. “The group will continue to generate cash, prudently manage its financial position, and continuously acts to improve operating efficiencies and streamline operational processes going forward.”