RWS Annual Report 2022 web - Flipbook - Page 40
Chief Financial Officer's Review
INTRODUCTION
The Group has made significant progress during
2022. The Group successfully integrated the
acquisition of SDL and laid out an ambitious
Accelerated Growth Strategy. During 2022
revenue growth, coupled with improved margins,
has supported strong cash generation. A strong
platform has been built for further progress in
2023 and beyond.
During 2022 total revenue grew by 8%, operating profit by 50%, and
adjusted profit before tax by 17%. Results were supported by an
extra month of SDL in 2022 when compared to 2021, the successful
execution of the synergy and integration programme, as well as
favourable foreign exchange movements. Strong performance in
the Language and Content Technology division helped to offset the
regulatory impact of the introduction of the Unitary Patent in the IP
Services division. The Group has identified a number of key growth
levers, such as eLearning and Data Annotation, and is investing behind
these levers to drive future growth. We are also investing to transform
our back office efficiency to enable this growth. We are encouraged by
the early impact of our pricing programme, which aims to mitigate the
impact of cost inflation. The Group continued to enhance its portfolio
with the acquisition of Liones Holdings B.V, whose flagship product
Fonto, is a leading authoring solution for mission-critical documents.
The Group continues to be highly cash generative, resulting in an
increase in net cash (excluding lease liabilities) from £45.3m as at 30
September 2021 to £71.9m as at 30 September 2022, notwithstanding
significant acquisition costs, and costs associated with delivering
synergies following the acquisition of SDL. Net cash including lease
liabilities is £25.2m – significantly improved from an equivalent net
debt measure of £6.2m as at 30 September 2021.
Rod Day
INTERIM DEPUTY CHIEF
FINANCIAL OFFICER
40
RWS — Annual Report 2022
