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Empired's NZ business, Intergen, lifts sales three per cent in 2019

Empired's NZ business bounces back from a tight patch in 2017/2018
Russell Baskerville (Empired)

Russell Baskerville (Empired)

ASX-listed ICT service provider Empired has reported increased New Zealand sales from its Intergen business.

The company told shareholders yesterday that NZ sales grew three per cent to A$61 million with EBITDA of A$6.8 million.

A highlight of the year was winning A$12 million-plus contract with the NZ Department of Internal Affairs. That contract involves reimagining how citizens access services securely online, building a platform and managing and enhancing it for seven years. 

Intergen also won news contracts with Fire and Emergency NZ and the NZ Police, regaining momentum lost after the 2017 election.

Intergen's Microsoft Dynamics business was up 10 per cent on 2018 and 30 percent in the second half of 2019 over the first half, Empired told shareholders.

Dynamics was Empired's highest margin business, the company said.

In its outlook for 2020, Empired said the New Zealand business was performing well and its growth trajectory was was expected to expand.

The company also expressed confidence in its Cohesion SaaS-based content management platform, now being used by several NZ government agencies including Oranga Tamariki and the Ministry of Primary Industries.

During the year, Empired grew its Cohesion user base from 7000 to 11,500 it reported, and was building a sales pipeline across the ditch as it prepared to launch the software there.

Intergen appears to have shaded Empired's Australian business, which saw sales fall from A$116.7 million to A$116.5 million during the year while EBITDA fell from A$11.1 million to A$8.4 million.