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RNS Number : 6735G Aptitude Software Group PLC 28 July 2021 28 July 2021 APTITUDE SOFTWARE GROUP plc ( ' Aptitude Software ' or ' the Group ' ) Interim Results for the six months ended 30 June 2021 Aptitude Software Group plc ( LSE : APTD ) , a specialist provider of finance transformation and automation software , reports its unaudited results for the six months ended 30 June 2021 . Financial Highlights Six months ended 30 June 2021 2020 % Change Annual Recurring Revenue¹ at 30 June £ 32.2m £ 29.1m² + 11 % Software and subscription revenue £ 16.7m £ 14.7m + 14 % - Implementation and solution management £ 10.9m £ 14.4m -24 % services revenue Total Revenue £ 27.6m £ 29.1m -5 % Cash and cash equivalents £ 46.8m £ 30.9m + 51 % Adjusted Operating Margin 18.5 % 17.5 % + 1 % Adjusted Operating Profit³ £ 5.1m £ 5.1m Statutory operating profit £ 4.7m ₤ 4.5m + 4 % Interim ordinary dividend per share 1.8p 1.8p Continued new business success across all the Group's key regions and strategic products driving year on year growth in Annual Recurring Revenue ( ' ARR ' ) of 11 % on a constant currency² basis Software and subscription revenue , the strategic focus of the Group , grew 14 % to £ 16.7 million ( H1 2020 : £ 14.7 million ) , representing 61 % of total revenue ( H1 2020 : 51 % ) for the six months ended 30 June 2021 Adjusted Operating Profit of £ 5.1 million ( H1 2020 : £ 5.1 million ) ahead of the Board's forecasts for the first half , driven by the strengthening of implementation services revenue above forecast , leading to an increase in profit expectations for the full year of approximately 10 % Strong balance sheet with cash of £ 46.8 million ( H1 2020 : £ 30.9 million ) , net funds 5 of £ 45.4 million ( H1 2020 : £ 29.2 million5 ) and no bank loans . This financial strength positions the business well for acquisition opportunities whilst also providing confidence to our clients and prospects Interim dividend of 1.8 pence per share ( H1 2020 : 1.8 pence per share ) Strategic and Operational Highlights : A number of multi - year subscription agreements signed with insurers for the use of Aptitude Insurance Calculation Engine and Aptitude Accounting Hub to drive strategic compliance in addition to providing the foundation for wider finance automation Continued new business success with Aptitude Revenue Management , a product well positioned to address the demands of the subscription economy ; including a growing number of clients in new industry verticals , increasing the size of Aptitude Software's addressable market Continued upsell within the client base , including both the sale of new products and Solution Management Services Increased levels of activity in all regions , a trend first experienced in North America in Q4 2020 , although some sales cycles remain extended due to the impact of the pandemic Further growth in the proportion of clients adopting Software - as - a - Service ( ' SaaS ' ) , capitalising on the increasing stimulus for organisations to undertake finance transformation in the cloud . SaaS subscription fees now account for 26 % of the total ARR on 30 June 2021 ( 30 June 2020 : 19 % ) The partner programme , a key source of new business opportunities in all regions , continues to progress with further partner enablement achieved in the first half of the year Continued investment in the Aptitude Innovation Centre in Poland , an increasing focus of activity for the Group Commenting on the results , Jeremy Suddards , Chief Executive Officer , said : ' The Group made continued strategic and operational progress in the first half of 2021 with all key products and regions contributing to a good new business performance , capitalising on the accelerated move to the cloud . Particular success was achieved with the insurance market in both APAC and Europe as a more typical business environment returned in those markets . Aptitude Software continues to benefit from a focused portfolio of product and service offerings , a now established SaaS capability , increasing worldwide presence and a strengthening partner network . With ever increasing stimuli for organisations to drive greater automation into their finance functions , these assets and capabilities position the Group well to be able to fully realise the growing opportunity ahead in both its existing verticals as well as in new sectors . ' Contacts Aptitude Software Group plc Ivan Martin , Chairman 020-3687-3200 Jeremy Suddards , Chief Executive Officer Philip Wood , Deputy Chief Executive Officer and Chief Financial Officer Page 1 of 14