CPT Global Limited (ASX: $CGO) Half-Year Financial Report

CPT Global Limited (ASX: $CGO) has released its Appendix 4D Half Year Report and Financial Report for the Half Year Ended 31 December 2023. The company reported a 30% decrease in revenue to $11.3m and a profit before tax of $0.2m with a net profit after tax of $0.3m. The announcement was authorised for release by the Board of Directors of CPT Global Limited.

Executive Commentary on HY24 Performance and Strategic Initiatives

HY24 was a challenging time for CPT, with earnings falling short of our expectations. Acknowledging the issues at hand, we are proactively implementing strategies to address this downturn. Despite the obstacles, we are confident in our ability to overcome them and emerge stronger as an organisation. During HY24, CPT focused on key actions to drive progress and achieve success, including enhanced client engagement, market diversification, regional business adaptation, investment in talent, mainframe test coverage software, strategic organizational restructure, leadership and sales team changes, and cost control and business performance.

Financial Performance and Outlook

The revenue for the half year ended 31 December 2023 was $11.3m, a 30% decrease on the previous year. Profit before tax was $0.2m with a net profit after tax of $0.3m. CPT Global's performance resulted in a decrease of net tangible assets to $2.8m compared to $2.9m at June 2023. The company continues to actively manage its cash balances, utilize its funding facility, and monitor aged receivables to effectively manage its cash flow. Looking ahead, strategic changes are positioning CPT Global for growth and higher profits in the coming fiscal year, with a noticeable rise in market optimism and spending. The focus shifts to converting opportunities as the company works to strengthen its industry position.