IT consulting company CPT Global (ASX:CGO) returned to profit in FY11, but its showing failed to meet board targets.
CPT reported a profit for the year of $1 million, compared to a $3.1 million loss a year earlier.
Revenue grew 1% to $38 million, with a stronger performance in the US counterbalancing declines in revenue from CPT's Australian operations, despite the rising AUD-USD exchange rate. Margins also improved in Europe and in Australia.
But in the company's financial report, chairman Fred Grimwade said CPT Global's performance “is still to reach targeted levels...Despite some positive developments, CPT continues to struggle to deliver satisfactory returns for our shareholders,” he said.
That said, CPT declared a dividend for FY11 of 2.5 cents per share, compared to no dividend last year.
Regarding CPT's outlook for FY12, managing director Gerry Tuddenham said the company forecasts steady growth in Australia and faster growth internationally. But he said the result for the year will depend on the timing of new business wins.
“Any delays in project starts will hold up growth to a later time in the year, whilst many starts at the same time may create challenges to gear up for each engagement,” he said.
CGO shares closed unchanged on Thursday at $0.540.