Industrial software firm Aveva confident as end-markets improve

LONDON: British industrial software company Aveva said the business environment had improved in most of its major markets following disruption caused by COVID-19 in the first half of its last financial year, giving it confidence about the year ahead.

The company, which completed the acquisition of OSIsoft just before its year-end, met expectations by reporting revenue of 820.4 million pounds ($1.16 billion), down 1.6%, and adjusted earnings of 226.4 million pounds, up 4.4%, for the year to end-March.

Chief Executive Peter Herweck, who joined from majority shareholder Schneider Electric at the beginning of the month, said the company was "very bullish" on end markets like data centres, power transmission and distribution, and renewables.

"We do see a stabilisation in mining," he said in an interview. "If you look at the raw material prices they have really sky-rocketed over the last year or eight months; that will surely bring investment."

He said it remained to be seen how quickly soaring container freight costs would drive growth in shipbuilding, an important end-market. "We hope to see something this year," he said.

Shares in the company, which have risen by 3% in the last 12 months, rose as much as 5% on Tuesday following the results.