Anite 'still in merger talks' as earnings leap

Anite, an IT consultancy and services company, confirmed it was still in talks with a potential merger partner as it reported yesterday a 51 per cent jump in profits combined with an upbeat outlook statement.

John Hawkins, the chief executive, said: "I am confident that by pursuing our current strategy and increasing the percentage of managed services through our own applications, we will continue to deliver above average growth in the current year." He said the company's core markets were performing "positively" and that its business was now "well balanced and geographically diversified." Anite provides IT consultancy, software and services to the telecoms, travel, public sector and finance markets.

In the year ended 30 April, Anite recorded a pre-tax profit, before goodwill and exceptional items, of £20.7m up from £13.7m in the previous year. Sales were £192.4m up from £159m. The figures were ahead of analysts' forecasts and helped push up shares in Anite 4p to close at 131p.

Analysts at Dresdner Kleinwort Wasserstein said they believed Anite made an unlikely takeover candidate due to its "disparate structure." They thought it more likely that Anite would merge or buy another business.