Cerillion ( (GB:CER) ) has issued an update.
Cerillion reported interim results showing a sharp decline in first-half revenue and profit due to the timing of high-margin software licence recognition, but also unveiled record new orders and backlogs that underpin confidence in meeting full-year targets. New orders more than doubled to £39.6m, driven by a landmark £42.5m, five-year subscription contract with Omantel, lifting the back-order book to £82.1m and supporting a 15% rise in the interim dividend despite revenue falling 14% to £18m and adjusted EBITDA dropping 38%.
Management expects material licence revenue to be recognised in the second half, with a strong balance sheet, rising annualised recurring revenue and a record £271m new-customer pipeline positioning the group for further growth. The Omantel win, alongside ongoing implementations such as Ucom in Armenia and the latest Cerillion 26.1 product release, is seen as reinforcing the firm’s product-centric model and enhancing its competitive standing in large telecom transformation projects, particularly in the Middle East.
The most recent analyst rating on (GB:CER) stock is a Buy with a £2015.00 price target. To see the full list of analyst forecasts on Cerillion stock, see the GB:CER Stock Forecast page.
Spark’s Take on CER Stock
According to Spark, TipRanks’ AI Analyst, CER is a Outperform.
The score is driven primarily by strong financial performance (high margins, low leverage, and solid cash generation). Offsetting this, technical indicators are mixed with negative MACD and an overextended stochastic reading, and valuation is only moderate given a 26.85 P/E and ~1.08% dividend yield.
To see Spark’s full report on CER stock, click here.
More about Cerillion
Cerillion is a London-headquartered provider of mission-critical billing, charging and customer relationship management software, serving mainly the telecommunications sector, with additional customers in utilities and financial services. The company, which spun out of Logica and joined AIM in 2016, has around 70 installations across some 45 countries and operates delivery centres in the UK, India and Bulgaria, with a sales presence across Europe, the U.S., Asia and Australia.
Average Trading Volume: 118,512
Technical Sentiment Signal: Buy
Current Market Cap: £413.6M
For detailed information about CER stock, go to TipRanks’ Stock Analysis page.
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This story was written using TipRanks's AI tools and reviewed by a TipRanks editor.