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Reckon Limited (ASX:RKN)

ALERT: Price-sensitive ASX Announcement for RKN
Current share price for RKN : $0.445 -0.1 (-18.35%)+
Announcement
Release
11 Feb 2025 8:15AM
Price at Release
$0.545
Full Release
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Summary
The document is the Preliminary Final Report for Reckon Limited (RKN) for the year ended 31 December 2022. It includes the company's financial results, key highlights, management discussion, and financial statements. The report outlines Reckon's continued focus on business simplification, growth in recurring revenue, and updates on its product offerings and strategic initiatives. It discusses the completion of the sale of Reckon's Accountants Group to The Access Group, the company's improved financial position with a strong balance sheet and reduced debt, and continued investment in cloud software solutions. The report also details the company's financial performance, including revenue, profit, cash flow, dividends, and outlook for future operations.
Key Points
  • Reckon Limited released its Preliminary Final Report for the year ended 31 December 2022.
  • The company completed the sale of its Accountants Group to The Access Group, significantly improving its balance sheet.
  • Recurring revenue increased, particularly from cloud-based solutions.
  • The company reported revenue from continuing operations of $49.7 million and net profit after tax of $27.6 million, reflecting the gain from the Accountants Group sale.
  • Strong cash flow generation, with operating cash flow of $19.7 million.
  • Net debt substantially reduced to $14.7 million post-sale.
  • Final dividend declared at 7 cents per share, fully franked.
  • Management highlighted ongoing business simplification and investment in software.
  • Focus remains on expanding cloud offerings and growing the Business and Legal Groups.
  • Outlook includes continued simplification, investment in product development, and leveraging strong financial position for growth.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.