18/09/2018

Smart Metering Systems plc (AIM: SMS.L) is pleased to announce its interim results, which show continued growth in the six months to 30 June 2018.

Financial highlights

  • Revenue increased by 27% to £46.7m (H1 2017: £36.8m)
  • EBITDA increased by 29% to £23.4m (H1 2017: £18.1m)
  • PBT increased by 9% to £10.1m (H1 2017: £9.3m)
  • Total annualised recurring revenue2 increased by 43% to £69.3m (H1 2017: £48.4m)
  • Pre-exceptional EBITDA1,3 increased by 26% to £23.6m (restated H1 2017: £18.7m)
  • Pre-exceptional EBITDA1,3 margin at 51% (restated H1 2017: 51%)
  • Underlying PBT1,3,4 increased by 5% to £11.4m (restated H1 2017: £10.9m)
  • Underlying earnings per share1,5 decreased by 15% to 8.40p (restated H1 2017: 9.92p)
  • Interim dividend of 2.00p per ordinary share, an increase of 15%

1 In 2017 the Board took the decision to change the presentation of the underlying performance measures to include other operating income. The Board believes this income is an integral feature of the replacement of meters, particularly prevalent during the current smart domestic rollout, and will occur with greater regularity on an ongoing basis.
2 Annualised recurring revenue refers to the revenue being generated at a point in time. Revenue refers to generated by meter rental and data contracts.
3 Pre-exceptional EBITDA and underlying PBT figures are presented under our revised approach to include other operating income.
4 Underlying PBT is before exceptional items and intangible amortisation.
5 Underlying earnings per share is profit after taxation but before exceptional items and intangible amortisation, divided by the weighted average number of ordinary shares in issue.

  30 June 2018
units

31 Dec 2017
units 

Percentage
increase
December 2017
30 June 2017
units
Percentage increase
June
2017
Total gas and electricity metering and data assets 2,523,000 2,031,000 24% 1,678,000 50%
Gas meter portfolio* 1,568,000 1,273,000 23% 1,064,000 47%
Gas data portfolio 129,000
126,000 2% 118,000 9%
Electricity meter portfolio 465,000 309,000 50% 166,000 180%
Electricity data portfolio 361,000 323,000 12% 330,000 9%

* Includes assets under management for 3rd parties

"The first half of 2018 has seen us continue to grow the business at record levels, in addition to which we are delighted to have recently signed a significant smart meter contract on an exclusive basis with a large independent energy supplier.  At the heart of this success is the strength and track record of our full end to end capability to both install, and subsequently own and maintain, our portfolio of assets in the domestic smart metering and I&C markets.

I am delighted with the progress over the last 6 months and we will continue to invest in our business to capitalise on the domestic smart metering rollout programme.”

Alan Foy Chief Executive Officer

Download full results (PDF)

Download presentation (PDF)

For further Information:

Smart Metering Systems plc
Alan Foy, Chief Executive Officer
David Thompson, Chief Financial Officer
0141 249 3850

Cenkos Securities plc
Neil McDonald
Beth McKiernan
0131 220 6939 / 0207 397 8900

Kreab
Matthew Jervois
020 7074 1800

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