UPDATE: Wynyard shares extend gain to new record after 2013 sales meet forecast
By Paul McBeth
Jan. 13 (BusinessDesk) - Shares of Wynyard Group extended their recent rally to a new record after the intelligence software developer said it met its forecast sales target of $21.5 million last year.
The shares rose as high as $2.10, and recently traded at $2.05, up 7.9 percent on the day. That adds to last week’s surge of some 64 percent and values the company at $210.3 million.
The Auckland-based company, which was spun out Jade Software last year, today said annual sales rose more than 62 percent revenue in 2013. It also said the board will review its 2014 and 2015 business plans and targets in the first quarter of this year, according to the statement. Wynyard’s offer document projected 2014 revenue of $27 million.
“The couple of wins they’ve had are obviously highly impressive,” said Mark Lister, head of private wealth research at Craigs Investment Partners in Tauranga. “They’ve delivered on what they said they’d do, and that’s always important for a new company.”
In November, Wynyard brought forward recruitment of new sales and services staff to manage next year’s growth pipeline, adding between $1 million and $1.5 million to the forecast operating expenditure of $25 million for the 2013 calendar year.
Chief executive Craig Richardson said “the number of new opportunities materially increased in the fourth quarter of 2013 and we took steps in November to build capacity to qualify and service this increased demand.”
Wynyard will announce its full year results on Feb. 24.
Fund manager Milford Asset Management, which holds the stock, last week said the shares could climb to $2 apiece this year as investors factor in the company’s growth prospects.