Technology research and advisory firm Information Services Group has reported a 3.6% decline in revenue for the full year to December 31st 2020, to $265.8m. Profit, in the form of adjusted EBITDA, eased off 4.6% to $31.5m for the year, but hit record levels in the last two quarters.
Fourth quarter EBITDA was $9.6m (up 12%), on revenues of $65.5m (down 2% at constant currency), and the firm reduced debt by $10m during the period, while securing improved credit terms. Asoa Pacific revenues bucked the trend with a 15% rise at constant currency. Adjusted net income more than doubled to $4.8m.
Chairman and CEO Michael P. Connors (pictured) focused on the latter part of the year in his comments: 'ISG delivered significant profit improvement in the fourth quarter, capping a strong second half that saw the firm achieve its most profitable six months ever, with record adjusted EBITDA of $20 million'. Connors says clients are moving from a stage where digital tech was used 'to reduce costs and enhance efficiency', to one where it is more fully leveraged 'to radically transform their business, enhance customer engagement and turbocharge growth' - resulting in more call for ISG's advisory services. He concludes 'For 2020... We are well positioned as a firm and confident of our growth prospects going forward'.
For the first quarter of 2020, ISG is targeting revenues of between $64m and $65m, and adjusted EBITDA up around 50 percent to c.$5m'.
Web site: www.isg-one.com .
All articles 2006-20 written and edited by Mel Crowther and/or Nick Thomas unless otherwise stated.