In last quarter to December 31, 67% to total revenue generated was recurring
Gas metering service provider Energy Assets Group (EAG) has reported strong third quarter revenue growth, accounting for 39 per cent of annual revenue to date.
Revenue for the three months to December 31, 2012, was £4.9 million, taking revenues for the year to date to £12.5 million – up 32 per cent on the £9.5 million reported at the same point a year ago.
And recurring revenues for the quarter totalled £3.3 million – 67 per cent of total revenue generated.
The Livingston-based company, which was listed on the London Stock Exchange in March 2012 with a £57 million market capitalisation, said recurring revenue for the year to date is up 40 per cent on last year to £8.4 million or 67 per cent of total revenue against 63 per cent last year.
Last November, EAG reported a 27 per cent rise in revenues for the six months to September 30 to £7.6 million, and a 28 per cent rise in pre-tax profits, before exceptional items, to £1.8 million.
Last October, EAG acquired the entire share capital of EA Energy Solutions Ltd - formerly Gazprom Global Energy Solutions Ltd – which “significantly added to the meter portfolio growth prospects” the group said.
EAG added: “In addition, the number of meter points from which data is collected on behalf of our customers has been more than doubled and the new partnership with Gazprom forged by the acquisition offers the opportunity to increase our Automated Meter Reading (“AMR”) portfolio and Siteworks activities.
“Integration of this business into the group is progressing well.”
Commenting on the latest figures, chief executive Phil Bellamy-Lee said: “I am delighted to be able to report a strong operational and financial performance in the year to date, reflecting good organic growth across our three business divisions.
“The group continues to expand its I&C metering portfolio and increase its market share in line with its primary strategy and we maintain our position as the leading independent MAM, by number of meters owned and managed, within the UK industrial and commercial (I&C) gas sector.
“This position remains secure and has been further cemented through our continued growth in the year to date.
“We have further strengthened our market position through our acquisition of EA Energy Solutions Ltd and are confident of additional future opportunities with other major gas suppliers together with the opportunities arising as a result of government regulatory requirements to ensure meters in the UK are advanced or smart.
“These opportunities place the business in a robust position for the delivery of our long term strategy. We also continue to evaluate the range of technologies now at our disposal following the acquisition so that we can target specific market sectors and extract maximum value.
“Overall, the group remains well funded and we are confident that our highly competitive business model will secure our continued growth prospects into the future.”
EAG said its meter portfolio had increased by 3,500 units between October 1 and December 31, 2012, to around 76,000 units in total – a 28 per cent rise on the 63,000 metres reported at the end of the third quarter last year.
EAG provides meter asset management (“MAM”) services to 26 gas suppliers within the UK I&C gas market.