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Acquisitions help Ebix to record revenue

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US-based software provider Ebix increased revenue by 11% to $US91.5 million ($86.7 million) in the second half, as acquisitions in the second quarter aided sales.

Profit for the half fell 10% to $US33.75 million ($31.97 million), with the previous corresponding half having been boosted by one-off gains and a tax benefit.

Chairman and CEO Robin Raina says the record revenues were boosted by the acquisitions of Planetsoft and Australian company Fintechnix, which contributed one month’s revenue to the result.

“We added new business lines and made significant product extensions to our core capabilities in the US and internationally,” he said.

“As we integrate these acquisitions tightly, we expect increased synergies coming out in terms of improved margins for the company.”

The group’s exchanges business, which accounts for 80% of revenue, grew by 15% to $US72.8 million ($68.96 million).

Ebix Australia MD Leon d’Apice told insuranceNEWS.com.au the Australian arm posted a strong performance in the second quarter.

He says there has been “a seamless integration” of Fintechnix, which was acquired in June and provides web-based processing in life insurance and wealth management.

“We are working on a number of initiatives with the team from there and we expect to see some of these come to fruition towards the latter part of this year,” Mr d’Apice said.