Fleet management technology company DigiCore says international expansion remains a vital component of its future plans.
Commenting on the group`s financial results for the year to June, CEO Nick Vlok says this is despite the fact that a change in strategy from entering new countries to a focus on existing markets contributed to growth in the past year.
"Building on our UK success, we intend to take a 50.1% shareholding in our UK distributor. This capital injection will allow the business to grow to the next level in the lucrative UK market," he adds.
Earlier this year the group said it was benefiting from new vehicle sales across all sectors continuing to grow in many global markets, as well as a high fuel price worldwide.
This had encouraged more companies to implement the group`s C-track system to optimise vehicle usage and fleet productivity.
Also contributing to a 30.5% increase in turnover (from R193.86 million to R253.05 million) was the acquisition of a European subsidiary with effect from 1 January, as well as the supply of new and more cost-effective technology to customers, says Vlok.
An operating profit of R64.63 million before interest, depreciation and amortisation compares with a prior-year profit of R34.55 million, while the group`s pre-tax profit rose to R57.68 million from R29.05 million.
Attributable earnings of R40.93 million compare with R24.3 million previously. Earnings per share rose from 11.7c to 21.1c, while headline earnings grew from 12.2c to 21.1c. A final dividend of 4c has been declared, bringing the total for the year to 6c a share.
Cash on the balance sheet amounted to R48.6 million at the end of the fiscal year, compared with R46.19 million a year before. This was despite the payment of dividends totalling R20.1 million and the investment of R5 million in the UK subsidiary.
DigiCore`s net asset value increased from 63.8c a share to 75.3c a share, while the net tangible asset value dipped slightly from 53.2c to 52.6c a share.
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