Published on: February 16, 2023

Flying start to FY23

Idox’s results for the year ended 31 October 2022, released on Thursday 26 January, showed a strong performance in line with guidance given in the November trading update. Revenue of £66.2m was an increase of 6% on FY21, driven by strong growth in the public sector business; within this, recurring revenues grew by 12% to £40.5m. Adjusted EBITDA of £22.5m, up by 15% from £19.5m in FY21, was at an improved 34% margin (FY21: 31%) driven by operational improvements, acquisitions and mix. Year-end net debt of £6.7m was reduced slightly (FY21: £8.1m), impacted by Covid VAT deferrals, tax payment timings and acquisition payments. Following this strong FY22 performance and guidance that the start of FY23 has been encouraging, we leave our FY23 and FY24 forecasts intact and introduce estimates for FY25, retaining our forecast of double-digit organic growth for the year ahead – growth that could well be augmented by further acquisitions.