Despite prevailing economic uncertainties and driven by demand from emerging markets, recruitment software group Dillistone delivered record results for the half to June.

First-half figures from the company behind FILEFINDER, a suite of software systems used by executive recruiters in 53 countries, Hays and Norman Broadbent among them, demonstrated growth across every metric.

Pre-tax profits powered ahead by 44% to £949,000 on turnover increased almost a third to more than £2.5m, boosted by orders taken towards the end of 2007, while cash balances increased by 33% to more than £2m. From a 46% rise in EPS to 12.3p, investors were treated to a 40% hike in the interim dividend to 3.5p.

Jim McLaughlin, chairman and finance director, described the results as ‘our best performance to date’, with growth across all geographic regions reported. Asia, where revenues rose by 47%, provided a standout performance. Elsewhere, the company delivered 36% growth in Europe, 29% growth in the UK and a 21% revenue advance in the USA.

Improved earnings quality was another key feature, with high-margin, high-visibility recurring revenues increasing by 31% to 43% of the top line total, buoyed in part by increasing take-up of the company’s software-as-a-service product.

Upgraded forecasts for 2008 point to 6% pre-tax profit growth to £1.3m and 17.1p of earnings, placing debt-free Dillistone on a prospective price-to-earnings ratio of just 10.4. That is too low a rating for a strongly cash-generative counter, whose shares traded at more than £3 less than a year ago, proving its ability to grow its global market share.

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Dillistone	AIM	£9.45m	175.00p	0.00p
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