25 May 2012

Netcall in upbeat mode

24/11/2011 Miles Nolan

At its AGM held earlier today, software specialist Netcall (NET) has issued an upbeat message with news of a strong start to the year.

The AIM counter develops and sells end-to-end customer engagement software to clients ranging from the public sector to large corporates. Current trading is in line with expectations, but of more interest its sales orders are 'significantly ahead' of this time last year.

Thanks to a number of new blue chip names, in addition to several police forces, local authorities and NHS trusts, Netcall is in rude health. Strong cash generation has also helped boost its net cash pile by £1 million to £6.87 million. Speaking to Growth Company Investor finance director James Ormondroyd said 'things are going in the right direction' he added that the company is 'still looking' for potential acquisitions.

We highlighted the attractions of Netcall in the current issue of Growth Company Investor at 19p. The latest news cements our argument, but due to recent market volatility the price has proved lacklustre of late - up 0.625p to 17.25p today. House broker Evolution continues to place a 25p target on Netcall. Buy.

Tags: AIM market, Annual General Meeting, Growth company, Solid trading update

Sector: Software & Computer Services

Companies: Netcall

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