accesso Technology Group PLC’s unscheduled profit and revenue upgrade has been greeted with 12% jump in the share price.
The revelation that trading at the electronic ticketing and queueing solutions group is now at pre-pandemic levels also sparked a flurry of positive broker coverage.
“We view accesso as well-positioned to capture the growing e-commerce and digital solution trends,” said Shore Capital in a note to clients.
“It has a growing global client base and a diversified offering that collectively can address consumer/ business demand across leisure, entertainment, and cultural markets.”
Shore repeated its ‘buy’ recommendation, pointing out the shares are currently trading at an attractive discount to the wider software-as-a-service industry.
Peel Hunt also repeated its ‘buy’ advice in the wake of accesso’s update.
It said: “As previously flagged, accesso is taking advantage of this newfound interest in its technology solutions and is deploying additional resources across implementation, development, and customer support.”
Earlier, accesso raised its 2021 revenue forecast to at least US$117mln, representing a full recovery to 2019 trading levels.
In a statement ahead of its interims next week, the ticketing and virtual queuing specialist said cash earnings (EBITDA) will be “significantly ahead of current market expectations” for the half-year and 12-month period.
“The group is currently deploying additional resources across technology implementation, product development and customer support to calibrate for the new demand,” investors were told.
“As previously signalled, these investments will have a limited impact on cash EBITDA in 2021; their full annualised effect will be felt in the 2022 financial year.”
accesso said through July, August and the Labor Day holiday period it had built on its “excellent first-half performance and continued to capture high demand for its technology solutions”.
At 1 pm, the shares were changing hands for 930p, up 102p.