Reckon announces share buyback scheme

The listed accounting software provider is doing a buyback as part of its capital management strategy after posting a 10% jump in net profit for the half-year.

Listed accounting software provider, Reckon, is buying back up to 10%, or more than 129 million, of its shares, after posting a 10% jump in net profit after tax (NPAT) for the half-year ending June 30.

The company, which has posted NPAT of $10.2 million for the period, said that it was generating “strong operating cash flow” and the share buyback was part of its capital management strategy.

Reckon, which part of the Uncapped 100, has posted revenue of $49.5 million for the half year, a 3% increase in revenue earnings on the previous year.

CEO Clive Rabie said that Reckon was now in a “unique position in the market by offering clients the choice of desktop, hosted and cloud business solutions.”

With solid growth across the core areas of the business, Mr Rabie said Reckon was looking forward to the full release of its clod offering, Reckon One.

Reckon has announced an interim dividend of four cents for the half year ending 30 June, 2013, a 7% increase over the prior year interim dividend. 

The company's share price slid by 1.2% to $2.50 in morning trade.

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