Multi channel retail and manufacturing software provider Sanderson has released another positive trading update ahead of its AGM today, continuing the pattern of improving performance exhibited since its refinancing in the middle of last year (see Sanderson refinances).
The sale of its RBS epos solutions business to Torex Retail (the deal closed in January), enabled it to repay its bank debt and left £4m cash on the balance sheet. With business going well overall – at the end of February order intake was up 10% on the year ago figure – the company is feeling confident and has raised the annual dividend for the year by over 50% to 1.2p.
Securing growth is still front of mind, given the uncertain state of the retail sector and the company is planning to capitalise on its successes around multi channel ecommerce software with increased investment, and by expanding its presence in the online, catalogue and internet sales sectors. Revenue from its retail vertical (the bulk of its business) fell 4.2% in FY11 (see Sanderson hits the mark in full year) so focusing efforts on building the e-sales sector is prudent.