‘Demographic Trend’ Investing Company

Quoted on the AIM Market (AIM) of the London Stock Exchange (LSE), Limitless Earth Plc is an investing company with a particular focus on sectors where changing demographics are important drivers of growth. The directors have extensive contact bases and many years of experience in setting up, managing and growing businesses across a wide range of sectors, including health and wellness, energy, media, real estate, finance, internet and leisure. Limitless has so far made four investments, all of which are privately-held (Exogenesis Corporation, Chronix Biomedical, V-Nova and Saxa Gres SPA), and with all the investments offering significant growth opportunities, we classify Limitless Earth shares as a growth stock.

Progressing as expected

Sanderson Group has announced a trading update, covering the six months ended 31st March 2017. Results are in-line with management expectations, with revenue increasing by 10.5% to £10.90m (H1 2016: £9.86m) and operating profit (before amortisation of acquisition-related intangibles, share-based payment charges and acquisition-related costs) increasing by 5.4% to £1.55m (H1 2016: £1.47m). The software and IT services group said it is confident of making further progress during the remainder of FY17. We keep our forecasts pretty much unchanged, albeit adjusting our tax payments slightly after speaking with management. We continue to classify the shares as a hybrid growth and income stock, with the shares offering investors exposure to the high-growth Enterprise Resource Planning software market, as well as offering a decent prospective dividend yield of 3.4%.

Interims In Line With Expectation

Sanderson Group has announced its interim results for the period ended 31st March 2016. The results are in line with expectations, with revenue and adjusted operating profit increasing by 11% and 5%, respectively. The software and IT services company stated that it is confident in making further progress and delivering trading results for the full-year (ended 30th September 2017) in line with market expectations. Accordingly, we reiterate our forecasts for the full year and continue to classify the shares as a hybrid growth and income stock, with the shares providing exposure to both the high-growth enterprise resource planning software market and a decent dividend yield of 3.7%. 

AGM Supports Growth Prospects

Reporting at its Annual General Meeting, Sanderson Group announced that it has made a solid start to the current financial year ending 30th September 2017, with sales order intake in the first four months of the year increasing by 8% on the comparable period a year earlier. The software and IT services group which specialises in multi-channel retail and manufacturing markets added that it remains confident that it will make continued progress in the current financial year. The announcement is in-line with our expectations, and we keep our forecasts unchanged. With the shares offering investors exposure to the high-growth Enterprise Resource Planning software market, as well as offering a decent dividend of 3.6%, we continue to classify the shares as a hybrid growth and income stock.

In-line With Expectation Profits

Sanderson Group has announced its results for the 12-months ended 30th September 2016. Revenue came-in better than our expectations, increasing by 11% to £21.32m (2015: £19.18m), although adjusted operating profit was in-line with our expectations, increasing by 12% to £3.69m (2015: £3.30m). Another key highlight was a better than expected dividend payment of 2.4p (forecast of 2.3p), up by 14% on a year earlier. The board remains confident that the company will make further progress and deliver trading results which are at least in-line with market expectations for FY17. Accordingly, we have upgraded our FY17 forecasts and issued forecasts for FY18. We continue to classify the shares as a hybrid growth and income stock, with the shares offering investors exposure to the high-growth Enterprise Resource Planning software market as well as a decent prospective dividend yield of 4.11%.