Accesso Technology Group (LON: ACSO) has released its Full Year 2023 financial results, which show key metrics. The company’s revenue increased by 7.0% to US$149.5 million compared to FY 2022. However, net income decreased by 24% to US$7.69 million, resulting in a profit margin of 5.1%, down from 7.2% in FY 2022. Earnings per share (EPS) also declined to US$0.19 from US$0.24 in FY 2022.
Accesso Technology Group’s revenue exceeded analyst estimates by 1.4%, and EPS surpassed estimates by 78%. The Ticketing segment was the main driver of revenue, contributing US$104.0 million, accounting for 70% of total revenue. General & Administrative costs were the largest operating expense, totaling US$94.5 million, making up 86% of total expenses.
Looking ahead, accesso Technology Group is forecasted to experience an average annual revenue growth of 7.2% over the next three years, compared to a 10% growth forecast for the Software industry in the United Kingdom. Despite this positive outlook, investors should be aware of two warning signs that could impact the company’s future performance:
Firstly, there is increasing competition within the software industry in the UK, with many new players entering the market and offering similar products and services as Accesso Technology Group’s Ticketing segment. This could lead to decreased market share and lower revenues for Accesso Technology Group in the future if it fails to innovate and differentiate itself from competitors effectively.
Secondly, there are concerns about economic uncertainty and inflationary pressures affecting businesses across various industries globally, including software companies like Accesso Technology Group
