A company increasing its annual dividend is a bit of a rarity at the moment, but that is exactly what oil and mining services group, Getech (AIM: GTC) did today - and the shares reacted.
Getech reported preliminary results for the year ended 31 July 2008. Financial highlights included a 15.9% increase in revenues to £4.13 million, profit before tax rose 11.7% to £0.9 million and earnings per share jumped 19.2% to 2.17 pence. The data, studies and interpretation services group also reported a 80% increase in cash levels to £1.69 million and confirmed that it would increase its dividend by 8% to 1.3 pence.
Peter Stephens, Non-Executive Chairman of Getech, summarised:
"We anticipate that the demand for gravity and magnetic data will continue to remain strong. With the acquisition of additional data marketing rights during the year, we expect this area to continue to provide a major revenue stream.
The feedback from our latest geological studies is very positive and we are optimistic about sales in the coming year. Marketing of the South Atlantic study (our largest study to date) commenced in September 2008 and initial reaction to this product is very favourable. Further major studies over East Africa, Circum*Arctic, Taoudenni Basin and South East China are planned to be completed and marketed in the first half of 2008/9."