SilverBridge has continued its profitability trend, posting a R1.9 million after tax gain in the first half to December, and is now focused on growing its top line.
The group, which went through a torrid time a few years ago, attributes its bottom line gains to improved efficiencies, which aided operational expenditure. The company, which provides software solutions to the financial services industry, reported revenue 6% lower, at R39 million.
CEO Jaco Swanepoel explains this was mostly because the company has taken a strategic decision to enable its clients and partners to implement and support its software at two of its large support clients.
Swanepoel says, despite the lower income, SilverBridge had a "very good" six months and continued on its recovery path. He notes profit was up 315% year-on-year. "We're very happy with that."
The group spent about two years on becoming more efficient and trimming costs. A few years ago, after a difficult period, it went through a retrenchment phase.
Swanepoel says operating expenses are now 11% lower without any further staff cuts, and rental income, which is annuity-based, is growing, moving from R17 million in the first half of the previous year to R19 million.
SilverBridge is now more focused on the top line, says Swanepoel. He notes the second half is usually better than the first, but does not want to be over-confident.
"Building annuity revenue remains an ongoing goal. Making implementations simpler and improving our quality, as well as that of our partners, will support this. We continue to actively develop our partner channel, and refine the tools and processes to enable efficient delivery."
Swanepoel adds SilverBridge has embarked upon a number of strategies to ensure profitability in the years ahead, not least of which was the establishment of its Connect services business.
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