StockMarketWire.com - RWS Holdings said it remained confident of another record year as it posted record revenues for the first half of 2019, with strong performances across all of its divisions.

Total revenue increased 10% on an underlying like-for-like basis to £172.3m while adjusted pre-tax profit was expected to be at least £35.5m, a 24% increase on the prior year.

As such, adjusted pre-tax profit was expected to be at least £35.5m, a 24% increase over the prior year. This growth has been driven by stronger results from RWS Moravia and an improved performance at RWS Life Sciences.

"We have had an excellent first half with double-digit underlying revenue growth from our two largest divisions. Following last year's assimilation and rebranding of Moravia, we are encouraged by the strong performance from this division in the first half and the associated uplift in margins," said Andrew Brode, RWS Chairman.

Revenue at RWS Moravia grew 10% over the period, with the margin improvement reflecting the growth in demand for higher value localisation services from several of its top technology clients, favourable exchange rates and overhead cost reduction resulting from last year's restructuring combined with an ongoing focus on operational efficiency.

RWS Life Sciences also had a good first half, with revenue increasing 6% and revenue from its specialist and high-value linguistic validation offering climbing 26%. Following the transfer of Moravia's life sciences clients, revenue from these accounts had grown by 16%, the company said.

The first half also saw a strong sales performance from RWS IP Services (+13%), with its European patent filing offering performing particularly well. The PCT translation business also had a good first half, and its operations in China (+27%) and Japan (+20%) saw continued strong growth.

The company said it continued to enjoy excellent cash generation and that it had reduced its net debt to £63.9m. This followed the $6.0m acquisition of Alpha Translations Canada Inc. on 17 January 2019, and the final dividend payment of £16.4m for the financial year ended 30 September 2018, which was paid in February.

The company would report its half-year results on 11 June.








At 8:46am: [LON:RWS] RWS Holdings PLC share price was +24.5p at 566.5p



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