Integrated Research Limited (ASX: IRI) shares will be on watch this morning after releasing some FY19 profit guidance.
Integrated Research describes itself as the leading global provider of proactive performance management software for critical infrastructure, payments and communication ecosystems. The company has been operating since 1988 and now has over 250 employees across five countries with 1,000 organisations as clients in more than 60 countries – some of them being Fortune 500 businesses.
What Did Integrated Research Reveal?
Integrated Research said that whilst it was only in the early stages of preparing its financial reports for the year ending 30 June 2019, it could reveal some FY19 guidance based on internal management accounts.
The report still needs to be audited, but the company anticipates both record revenue and record net profit after tax (NPAT).
Integrated Research expects to be able to report that total revenue will be in the range of $100 million to $101.5 million, which, if achieved, would represent growth of 10% to 12%.
Management expect licence sales to be in a range of $61.5 million to $63 million, that would represent growth of 17% to 20% growth. The strongest performance was from the company’s ‘Payments’ product line.
In regards to the FY19 profit after tax, the company expects it to be in a range of $21.2 million to $22 million which would be growth of 10% to 15% from FY18’s profit of $19.2 million.
The company doesn’t expect to make any other announcements until the release of its FY19 result on 22 August 2019.
Is Integrated Research A Buy?
Integrated Research’s share price has been a very strong performer in 2019, it’s risen by 97% before the reaction to today’s news. In very early reaction the Integrated share price has fallen over 13%.
Integated Research isn’t priced expensively at only 20 times 2020 Financial Year’s estimated earnings, but the profit isn’t as much investors were hoping for.
After the market has finished sending Integrated Research down, it could be worth having a look at. But, the growth shares in the free report
below could be even better picks.
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