ISG Buys and Automation Drive Growth
US-based holding company Information Services Group (ISG) has announced results for the second quarter and first half ended June 30th 2017, with revenues up 15 percent at constant currency to $68.0m, in part reflecting an acquisition in December.
Revenues were $40.0m in the Americas - up 26 percent; up 6% to $21.5m in Europe; and down 9% to $6.6m in Asia Pacific. Overall, second-quarter 2017 adjusted EBITDA was up from $7.0m to $8.0m, an increase of 14 percent.
First half revenue rose 24 percent at constant currency to $134.6m, while first half adjusted EBITDA was up 45% to $15.0m
ISG was founded in 2007 as an acquisition vehicle by former Nielsen exec Michael P. Connors, and since then has acquired TPI, Compass, STA Consulting, and more recently emerging IT trends analyst Saugatuck Technology and subscription-based research, advisory and benchmarking firm Experton Group AG. In December, it announced it was spending $74m to acquire US-based Alsbridge Holdings, which like TPI is an outsourcing advisory firm - this last buy, in particular, will have fed into the group's figures for 2017.
Chairman and CEO Michael P. Connors (pictured) said the firm's 'focused investments in the high-growth area of Digital Services, including Robotic Process Automation (RPA), are delivering strong results, with more than 35 percent of firm revenue generated by such services in the quarter and growing'.
Connors says the firm projects 'a further increase in RPA revenues to exceed a run rate of $15 million by year-end', while the company reaffirmed its revenue forecast of $270-290m and updated its forecasted adjusted EBITDA growth to 60-75 percent ($32-$35m).
ISG employs more than 1,300 professionals operating in more than 20 countries, and is online at www.isg-one.com .