Software group Aveva shares rise as business bounces back
Shares in Aveva pushed higher this morning after the software group reported strong growth in the second half following an initial pandemic-induced hit to trading.
Aveva, which specialises in industrial software, posted revenue of £820m for the year to the end of March — a decrease of 1.6 per cent but in line with expectations. Adjusted earnings rose 4.4 per cent to £226.4m.
The London-listed firm suffered a significant impact in the first half of the year due to disruption sparked by the outbreak of Covid.
But the firm bounced back in the second half, posting double-digit revenue growth.
Cambridge-based Aveva also pointed to the successful takeover of OSIsoft, the US tech firm it snapped up for $5bn in March.
The full-year results included 13 days of trading for OSIsoft since the completion of the acquisition.
Aveva also issued a bullish outlook, saying the business environment had improved in most major markets. The company added that it was confident in its outlook for 2022.
The software giant proposed a final dividend of 23.5p per share, a small increase on the previous year. Shares jumped almost five per cent in early trading.
The upbeat figures follow a period of management upheaval at Aveva, with boss Craig Hayman stepping down this month after three years at the helm.
He was replaced by Peter Herweck, an Aveva board member and former senior executive at major shareholder Schneider Electric.
“The last year has been transformational for Aveva. The group reacted quickly to the Covid crisis, so that despite a challenging first half, the second half saw double-digit revenue growth,” said Herweck.
“The acquisition of OSIsoft has established Aveva as a clear global leader in operational industrial software, further enhancing our ability to lead the digital transformation of the industrial world, with a more diversified customer base, supporting their energy transition and sustainability journeys.”