CSG (ASX:CSV) has achieved 30 percent growth in revenue for the half year financial year ending 31 December, the Northern Territory-based services provider has announced.
Revenue for the company reached $111.9 million and half year profit after tax was $12.3 million, a growth of 11 percent, compared to the previous corresponding period.
In a statement to the ASX, CSG CEO Denis Mackenzie said the IT services division had contributed to growth but margins for the division has weakened.
New "revenue at lower margins" was to blame but the figures remained in line with forecasts.
Mackenzie who said he was "pleased with company's organic growth" said IT services has a continued strengthened pipeline of opportunities in Australia.
The company's print services division also contributed to growth thanks to "significant sales of new equipment, said Mackenzie.
"The strength of the business model continues to show through. "We are beginning to see some real synergies between the divisions," he said.
The recent acquisition of KMBS and LSL in New Zealand also placed CSG in an strong position attributing to a decline in debt for the first half due to equity raising for the transaction.
Debt will rise in the second half of the year when the transactions settled, said Mackenzie
Meanwhile, the tender win for two Northern Territory government contracts has positioned the company well for the future, he said.
CSG was unavailable for further comment at the time of publication.
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