BANGALORE - British identity checking business GB Group Plc is comfortable with analysts' forecasts for its current financial year, helped by growth across all areas of the business, Chief Executive Richard Law said.
The company on Tuesday said it expects a minimum of 75 pct of its total revenue to come from online services in the current year.
Our brokers forecast growth of up to 28 million pounds of revenue in the current year...of that growth, the vast majority will come from online services, Law told Reuters.
GB Group also said it was comfortable with analysts' consensus forecast for adjusted pretax profit of 2.0 million pounds for the year to end-March 2010.
The company, which derives a third of its revenue from online gaming, a third from mobile telecoms and the remaining from financial services, said it expects revenue from online gaming to be higher than last year.
During this fiscal year, we expect quite a lot of additional revenue from the online gaming sector because we expect the U.S government to open up the U.S. market after online gaming was banned a few years ago, Law said.
Earlier on Tuesday, the company swung to a full-year pretax profit, helped by a 23 percent rise in revenue, and raised its dividend by 15 percent.
The company also said revenue of 3.4 million pounds ($5.59 million) in the current year-to-date was about 400,000 pounds less than a year ago.
The same period last year included a one-time settlement of licence arrears of 350,000 pounds, the company said.
For the year ended March 31, the company reported a pretax profit of 1.4 million pounds, compared with a loss of 400,000 pounds a year earlier. Revenue came in at 23.8 million pounds.
Profit before tax and share-based payments for the year stood at 1.7 million pounds, compared with a loss of 200,000 pounds a year earlier.
GB Group declared a dividend of 1.15 pence per share, up from 1 pence a year before.
The company, which had a year-end cash balance of 4.5 million pounds, said it was not looking at any acquisitions at the moment.
We don't have any plans. We are very focused on our organic growth, the CEO said.
However, GB Group said it sees potential in the online retail and government markets.
There is a need in every major market for identity verification. We think government and online retail hold a lot of potential for us... and these are markets we will be developing into next year, Law said
GB Group shares were down 4 percent at 22.75 pence at 1203 GMT on the London Stock Exchange. ($1=.6082 Pound)
(Additional reporting by Kumar Alagappan in Bangalore; Editing by Anne Pallivathuckal, Anil D'Silva)