Turnover from continuing operations in the financial year 2020/21 grew to £20.3m and to £4,013 operating profit, our strongest performance and a continuation of recent trends. In 2020 we were placed 35th in the Sunday Times Profit Track table of fastest growing companies in the UK.
The bedrock of our business remains the strong and continuing relationships we have with our clients. Annual recurring revenues in 2020/21 covered 99% of our total costs and these revenues provide the financial stability on which to base future development and growth.
Turnover is increasing, recurring revenue is at an excellent level and all other key financial indicators are in good shape. Prospective business is at an all-time high.
Research and Development
Trace is first and foremost a services company and to maintain our position we aim to continue to deliver ‘best of breed’ software. Top quality software requires continual investment and we allocate approximately 15% of our annual salary costs to research and development. We will continue in our drive to provide existing and future clients with the highest quality software, matched by the best delivery and support that the market can offer.
The group operates in 3 diverse market sectors and is financially well balanced across its operations. This provides a good buffer against any downturns in specific industry areas.